Concierge Users Become Net Promoters
The Challenge
Customers are dividing their time and attention between more brands than ever. On average, the ratio of fully-engaged customers to actively-disengaged customers in an organization is 0.8 to 1. But engagement is achievable. In world-class organizations, the engagement ratio is 8:1.2
A main indicator of engagement is the number of promoters an organization has. A promoter is a customer who is willing to recommend a company to a friend. This is measured by a Net Promoter Score which is calculated by subtracting the percentage of unhappy customers from the percentage of promoters. The average firm only has about a 5% to 10% Net Promoter Score (NPS).3
Circles' Solution
Because companies have limited interactions with their customers, Circles' Concierge service is a valuable tool to keep a brand at the top of their customer's mind. The interactions with Concierge create a relationship between the brand and customer because the service helps Circles' clients' customers with important tasks like planning an engagement dinner or researching the best vacation spots. Concierge and thus, the brand, become intertwined with its users' lives.
The Results
- Circles Concierge elevates the client and customer relationship producing more passionate customers who are more apt to recommend the brand to a friend than other customers in the industry
- Surveys from one Circles' client show their NPS scores are 20% higher than the average company in their industry
- Having engaged and loyal customers can lead to many positive business outcomes. Increasing customer retention by 5%, for example, can increase profits by 25% to 100% (See Right)4
1 Strativity Group
2 "Customer Engagement: What’s Your Engagement Ratio?," Gallup, October 2009
3 The Ultimate Question, Reichheld, Fred, 2006
4 "Listen to the Voice of the Customer," Destination CRM, April 2009
