Remember when actress Sally Field won an Oscar for her role in “Places in the Heart” and in her acceptance speech, she famously gushed “You like me! You like me!?
You can find out if your customers really like YOU with a new metric from the man who brought you the “Net Promoter Score” also known as NPS (here’s a quick summary if you’re unaware of this tool).
Most senior executives are aware of the NPS developed years ago by Bain Consultant Fellow, Fred Reichheld. “High NPS, Reichheld argues….is a great—and certainly the clearest—predictor of market success… (but) NPS doesn’t go nearly far enough in determining whether a company is truly building lasting relationships with the people who pay the bills, and it’s not enough to develop useful business strategy—especially in a time of mounting economic headwinds.”
To fill this measurement gap, Reichheld’s recent book “Winning on Purpose: The Unbeatable Strategy of Loving Customers” introduces a new metric to complement NPS: “Earned Growth Rate” or “EGR” which is described “as a new “customer-based accounting” metric that allows companies to quantify (to an auditable standard) the strength of the relationships between a company and its customers.”
Do your customers REALLY like you? Maybe this executive summary introducing EGR from Chief Executive Magazine will help you find out. Learn more about “Fred Reichheld’s Measure of Love.”
And maybe, like Sally Field, you’ll know for sure that your customers really, really like you!!
