Conscientious business owners are often weary of automated communication platforms. And for good reason. As it is, our inboxes are continuously filled with junk courtesy of impersonal marketers. The last thing you want is to be grouped into the same category as those guys. So many of you steer clear of automation all together and opt instead to go at it alone.
But what happens is, as you grow, clients are communicated with less frequently. People drop between the cracks and an army of promoters fall by the wayside. But it doesn’t have to be this way. Automated systems like Rocket Referrals allow businesses to be more personalized with their communication. This is accomplished with intelligent algorithms that build profiles for individual clients and then automate purpose-driven contact by way of high quality touch points. It all begins by first building a profile of each individual client.
Rocket Referrals helps companies gain insight into their existing client base by way of the Net Promoter Score (NPS). This single-question inquiry is used to assess the amount of loyalty a client (or client base) has toward a company or organization. With loyalty being the desire to refer, be retained, and/or make repeat purchases.
Individual clients score a business on a scale of 0 to 10. All scores are then averaged to reach an overall NPS score for a business (from -100 to +100).
How likely is it that you would recommend [x business] to a friend or colleague?
0 1 2 3 4 5 6 7 8 9 10
Not Likely Very Likely
Respondents are grouped into three categories based on their score:
- Promoters (9-10)
- Passives (7-8)
- Detractors (0-6)
The NPS is useful to gain an overall picture of the loyalty of a business’ client base. This includes recognizing trends (both positive and negative) and gauging performance over time. In addition, the NPS can be used on a micro-level to hone in on specific clients. This allows maximum personalization of communication by speaking to clients based on their loyalty toward the company. Disgruntled clients can be identified and remedied, whereas promoters can be praised and leveraged for referrals.
Two key attributes make the NPS so effective at initiating effective communication with clients:
- An incredibly high response rate (an average of 40% of recipients reply to NPS surveys)
- Useful and relevant data (the NPS is indicative of actual client behavior)
Below is a graphic from the Dashboard of a Rocket Referrals user. It shows the overall likelihood of a client base to recommend the business – while also displaying the NPS for a user and how it compares to the business as a whole.
As NPS responses populate inside Rocket Referrals users are able to spot positive trends within their business. This could include behavior viewed favorably by clients – or identifying an employee that is resonating well. In this example Brittany is doing a fantastic job. Perhaps she deserves a raise?
On the other hand, the NPS will collect information on detractors – allowing the business to follow up with them individually. This is an extremely effective method of increasing retention by resolving issues that were otherwise unbeknownst. In addition, businesses can use this information to recognize common problems and work to overcome them and improve client retention. In the example below clients are upset with the lack of communication from their insurance agent (a very common issue, indeed).
Now that you have an idea who your promoters and detractors are you can get more personal with the communication you send their way. For example, you don’t want to communicate with detractors like everything is peachy. Rather, they should receive one-on-one phone calls addressing their concerns. This is, by far, the most effective way of turning that frown around. And you want to do this as soon as possible. Rocket Referrals, for example, will send you a notification the moment a detractor is spotted, so that you can solve the issue before it becomes malignant.
As for promoters, you should reach out to them at least five times per year to dramatically increase the chances that they’ll not only stick with you, but also refer you when the time is right. Every touch-point you deliver to your clients plays a huge role in reinforcing your brand and the perception of your business. The idea here is to keep you “top of mind.” You should constantly remind them that you’re working for them behind the scenes and are providing an ongoing service.
Your promoters are a burning source of referrals and written endorsements. That’s why you should target them with personalized communication intended to inspire them to take action. We’ve found that handwritten cards are a very effective way of doing just this. At Rocket Referrals we tailor loyalty cards to clients that have indicated they’re likely to refer a business. We include language intended to tip the scales just enough that they refer when the time is right.
But don’t limit communication to direct mail. There is a wealth of value in acquiring testimonials and online reviews. But make sure you’re only asking your promoters for this positive feedback! The last thing you want is to ask a detractor for an online review. At Rocket Referrals we have a very advanced method of segmenting promoters and getting them to actually provide you with positive feedback online.
If you’re curious how Rocket Referrals can do all this for you at the flip of a switch I encourage you to sign up for a brief demo. We’d love to help you get the most out of your existing clients. They are a great resource, don’t waste it!