I always believe that every business should operate on the basis of maximising their customer experience. When I first begin my entrepreneurial journey, I focused so much on making customers “happy”. Even when ridiculous requests came, I tried very much to accommodate them in order to please my customers. It took me 3 years to realise that while some customers are not worth having, it is extremely important to study and leverage on your customer experience to drive business growth.
Net Promoter Score (NPS) is by far the most straightforward and accurate way of gauging how happy your customers are with your services. What I really like about this is that thousands of companies have adopted this, making it easy to compare your scores against other industry players. For those of you who are new to the NPS concept, here’s a summary of how it is derived:
Why and how customers give you a high rating on the likelihood of promoting you still remains as a paradox to me. Understanding the Asian culture, good is not enough for customers to recommend you. You need to be outstanding. At HUONE, satisfaction is not just about making sure the meeting room is clean and stocked with stationeries when you arrive. These are the hygiene factors. I believe what our customers look out for is a combination of excellent customer service (of going the extra mile) and support to help them achieve their meeting or event objectives.
In the hospitality industry, the average has been 0. Before you start thinking that we hospitality folks suck at what we do, I need to clarify that NPS ranges from -100 to 100. A score of above 0 is good and a score above 50 is excellent. Many international hotel chains have an average NPS of less than 10. HUONE Singapore currently has a very satisfying score and every day, we work towards bringing that score up. Even though we are above the industry average by quite a fair bit, we know that we still have a lot to learn. It brings my team and I so much excitement when we run case studies on other venue providers and remind ourselves why it’s so important to remain true to our core.
Here’s my two cents about NPS and its most simplified application to businesses:
Please feel free to reach me at Joewin.tan@huone.events if you would like to chat more about NPS. Good luck!
Cheers,
Joewin