I recently wrote a blog about apples and oranges as a comparison with satisfaction and dissatisfaction. In that blog, I particularly related how the NPS metric was making a large assumption about satisfaction and dissatisfaction that doesn’t appear to be appropriate. I am going to take a deeper look at these two parameters. I think […]
The Tyranny of the Urgent
I have a somewhat unusual combination of education and job experience. I think I am one of the few college professors who have worked in industry as a service manager in a line management position. From that background, I have had the opportunity to consult with a number of service managers in the computer industry. […]
Apples and Oranges: A Problem for NPS
I think we have been missing the mark when we use NPS as a critical measurement for customer satisfaction. The challenge to this metric is that it appears to be combining “apples and oranges.” The metric is defined as the difference between attractors and detractors. That is the problem! What makes this an apples and […]
CSAT vs CES: Does It Matter?
Many commercial businesses that provide after-sale services seek ways to improve customer loyalty through their customer service organizations. In addition, companies want to utilize their resources as productively as possible. Since there are many dimensions to customer service, companies want to understand how best to utilize limited resources. The basic premise that most companies rely […]
Loyalty Models, Part 2
In the previous blog, the general form for the construction of a loyalty model was postulated. A base equation hypothesized that loyalty could be described by measuring the strength of the relationship between the company and its customers. A sub-model was proposed to show that the strength of the company-customer relationship could be explained by […]
Building a Loyalty Model
The kind of loyalty model I will be discussing in the next several blogs is a basic business model that is often used in strategic management. The basic premise of the model is that customer loyalty leads to profitability. The purpose of this model is to develop an understanding of the business components that contribute […]
Another Look at Your Customers
In my previous blog I discussed the tyranny of the urgent and why is such a limiting perspective in understanding customers. I closed the blog by pointing out that the focus should always be on all your customers not just the ones who have urgent concerns. In this blog I will point out several techniques […]
Who Are You Listening To?
The “tyranny of the urgent” is a phrase that is commonly used when working in a service environment. The phrase reminds people that “urgent” requests often take priority over “important” requests. Service managers often find themselves in the role of “firefighting”—putting out “the fires” of customer complaints. Before the manager realizes it, the firefighting consumes […]
Illegal Loyalty Programs
What could be illegal about a customer loyalty program? It seems that almost every business has some form of loyalty program. There are loyalty programs for grocery and clothing stores, airlines, and just about every other business that would like to create some form of relationship (loyalty) with their customers. An article written by Tim […]
Words Have Value, Too!
A lot of time and energy is spent quantitatively analyzing the results of surveys. The survey may be based on metrics such as customer satisfaction, NPS, customer effort, or customer experience. This quantitative analysis may take on many dimensions of statistical methodology. However, the comments that are made associated with the individual scores are seldom included in […]