It’s easy to say providing “excellent” service is important. The hard part is justifying organizational expenses you hope will improve it.
We can help.
The MSR Group Advocacy Model and proprietary Net Advocacy Rating (NAR®) provide a direct correlation between customer feedback ratings and a better bottom line. Our clients have identified – and justified – the return on investment of their customer satisfaction measurement expenditures. These organizations are focusing on solidifying customer relationships and improving profitability.
How does it work? The Advocacy Model is based on two key questions that determine:
- Customer likelihood to recommend your company to friends and colleagues
- Customer likelihood to do additional business with you in the future
The customer base is then segmented into four categories depending on their answers: Advocates (extremely loyal and willing to tell others about the organization), Loyal (very satisfied and will continue to use the organization but won’t necessarily tell others about it), At Risk (dissatisfied and considering looking for a new company) and Critical (most likely to leave and least likely to recommend).
Increasing advocacy pays off
Advocacy isn’t just a “feel-good”concept. The MSR Group has validated the Advocacy Model using actual customer behavior with several clients, including longitudinal analyses to track customers over time.
As customers move up the Advocacy scale, they buy more of your products, interact with you more, use stickier products, and generate more revenue for your company.
On the other hand, as customers move down the Advocacy scale, they are more likely to defect and generate less revenue for your company overall.
Net Advocacy Rating (NAR®)
The APECS® system tracks your efforts to increase advocacy through your Net Advocacy Rating (NAR®), calculated by simply subtracting the percentage Critical and At Risk from the percentage of Advocates. The NAR® is an enterprise-wide metric that identifies how successful you are in growing and maintaining Advocates. NAR® is a fluid measurement, as it is dependent upon the customer experience over time, which is why it is important to measure and track on an ongoing basis and report in real time.