Big-bang CX redesigns are risky, expensive and often miss the mark. Process plant engineers know better, they extract incremental improvement continuously, and so should you. Here's how Transactional NPS lets you do the same thing for customer experience, starting with your worst-scoring touch-points.
Fader and Hardie's CLV models are well known in marketing academia and largely ignored in marketing practice, partly because the source papers are dense, partly because nobody distils the actionable steps. Here they are for retail and other non-contract continuous-purchase customer bases, what data you need, the assumptions to check, and how to use the results.
Charity donations, magazine subscriptions, event re-attendance, mail-order purchases, non-contract, discrete-transaction relationships are everywhere, and the standard CLV formula doesn't fit them well. Here's the Fader-Hardie model for that quadrant translated into actionable steps, with the data you need and how to use the resulting customer-value forecasts.
You're running transactional NPS, customer comments are pouring in, advocates are being identified, and you're doing nothing to turn them into sales. Day in, day out, customers are putting their hands up to recommend you, and you're not handing them the tools. Here are three concrete steps to convert advocates into revenue, starting now.
Net Promoter only generates value when employees engage with it, and they don't, by default. The CustomerGauge User Group surfaced five practical engagement plays that consistently work. Here they are: brand the program, give it local spin, share transparently, run "please contact me", and use NPS to break down cross-functional silos.
Every transactional customer feedback program looks rosy on day one and runs into the same six problems by month three, patchy customer data, soft staff buy-in, customer communication, cross-functional friction, change resistance, and target-setting. Here are the six, plus the fix for each. None of them is a reason to delay starting.