NPS : Net Promoter Score

I have always put customer’s satisfaction with our product or service first. Indeed, when I started my career in the 90s, it was a very hot topic. Various measuring methods have been developed and implemented in order to evaluate and track the users and customers’ satisfaction, like the Mystery shoppers, satisfaction surveys, etc.

However, despite the success these concepts have reached their time, the priorities have changed. These have adapted to today’s accelerated changes. As a consequence, the new important indicator is the NPS, or Net Promoter Score.

Thus, it is worth wondering what has exactly changed since then. The boom of ICTs is one of the most important reasons, but giving more details about the origin of that change is not the goal of this post. The only thing known for sure is that today having satisfied customers is no longer enough, and it is important to go a step further in our relation with them. Consequently, it is important to keep in mind that an ‘only satisfied’ customer can be lost eventually. He can easily stop being seduced or become totally attracted by other channels or by your competitors.

How do you calculate NPS?

Let’s take an example:
“Considering your experience with our product/service/brand, how likely would you recommend it to a friend or your family?”
This is a typical question you may find in a customer satisfaction survey. The answer would be chosen among a scale of values, for example from 1 (not at all likely) and 10 (extremely likely). Resumining it, the 10 values could be grouped as follows:
– Low probability (values 1-3)
– Medium probability (values 4-7)
– High probability (8-10)

Nonetheless, the criteria to be followed with the NPS is not the same. In the case of the NPS, medium values are simply ignored; they are not taken into account. The criteria to define a ‘medium value’ change as well. To calculate the NPS, the grouping would be the following:
– Low probability (values 1 – 6)
– High probability (values 9-10)

Indeed, the categories are polarized. The customers who gave us neutral marks (7 and 8) are not important. The most important are those who give us the best marks (9 and 10, these respondents are Promoters) and those who give us the lowest marks (6 and below, they are Detractors).

Before the NPS, we would only have done a statistical average and got an average value X. With the NPS, we also calculate an average but we only take into account the values described above (from 1 to 6 and 9-10). The result (Y) is the store, establishment, company or product’s NPS score.

NPS : Example

It is going to be clearer with an example.
Let’s suppose that to the same question as in the previous example, we have obtained the following answers from 10 respondents:
{9, 7, 8, 6, 6, 9, 8, 10, 4, 9}

With these values, the average is 7.6/10. However in the case of the NPS, as we only take the values given by promoters and detractors, the calculation has to be done as following:
– Highest marks [9-10]: 4 respondents, 40% of the total.
– Lowest marks [1-6]: 3 respondents, 33% of the total.
[40% – 33% = 7] => So the store’s NPS is 7.
The results have to be interpreted differently as well. For instance, an NPS score above 0 starts to be acceptable, while a score above 50 is considered as excellent.

What does the NPS means?

What could explain that?

The main reason is related to the new commercial and technological paradigm. Having a ‘reasonably satisfied’ customer is not enough anymore, even less an unsatisfied one. We have to try to reach excellence in the way we treat our customer and we want them to be amazed. His experience in our store or while he uses our product has to be unique, rewarding and humanly pleasant.

It has to be like this because of the numerous competitors against which we have to develop our economic activities every day. The risk to lose a customer is now a lot higher than before because of the competition and the use of the new technologies. If we don’t impress our customers, another company will.

Moreover, treating the customer like that has another advantage, as the respondents who give us the highest marks 9 and 10 in survey questions like showed previously are customers who might eventually actively recommend our products to their relatives. This is why our salespersons have to seek the highest marks possible, ideally a 10 score every time. How to reach that goal?

First of all, excellent marks come with an excellent treatment: give a professional image when needed but be close to your customer when required. There is no question to be chewing gum, avoiding eye-contact or making calls while you are talking with a customer. You have to be respectful towards him and serious while doing your work. Thus, it is important to perfectly know the product you are selling and correctly and convincingly answer to the customer’s questions. It is essential to give a feeling of security and to be close to the most loyal customers. It is not acceptable not to call a customer you see every day by his name.

How to increase NPS?

For all these reasons, non-negotiable standards or protocols of attention are not enough anymore. Of course the question is not to leave them behind, but it is clear that more has to be done. The personalized treatment has to be an inescapable linchpin, thus the customer does not expect only intelligence (meaning skillfulness, rapidity and knowledge) but you also have to show emotional intelligence when you are dealing with him.

Appreciate his opinion, his preferences and, of course, his intelligence.

The goal is to be able to show emotional intelligence in every sale and in every commercial deal , independently of the salespersons’ level of motivation. The following question obviously is: how to do it?

How to show emotional intelligence in our stores when the HQ has failed to do its job properly and leaves us exposed to customers’ reactions?

How to get only 10 marks from our customers even when our store does not offer all the necessary amenities?

How to amaze our customers and make them be promoters when they are surrounded by so many companies offering the same product as ours?

What is my personal goal? Well, I want to contribute to the company’s happiness and to the retail sector’s excellence by seeking always 9 and 10 marks from our customers in order to reach the 50 score and above for the NPS.

Do you want to improve your NPS?

CapKelenn in luxury retail

CapKelenn is the primary certification in Retail Coaching worldwide, certifying managers in Retail to really become coaches for their sales teams, facilitating the transition towards a supreme clienteling savoir-faire. CapKelenn delivers the certification in 12 languages on all the 5 continents. CapKelenn accelerates change, thanks to people, with results that are fast, visible and sustainable, contributing to fertilize a client experience that is memorable and personalized.

Learn how to with our experts

CapKelenn in luxury retail

CapKelenn is the primary certification in Retail Coaching worldwide, certifying managers in Retail to really become coaches for their sales teams, facilitating the transition towards a supreme clienteling savoir-faire. CapKelenn delivers the certification in 12 languages on all the 5 continents. CapKelenn accelerates change, thanks to people, with results that are fast, visible and sustainable, contributing to fertilize a client experience that is memorable and personalized.

Area manager are a crucial piece in retail organizations as he/she transmits the management strategy to stores and restaurants. To do this, they travel often, and part of their management is done remotely, so their biorhythms need to adapt to specific management rituals. These rituals include visits to the units, weekly video calls, daily emails, area meetings, product launches, etc. The area manager needs to distinguish between the important and the urgent to increase the effectiveness of his rituals. We are going to detail some of these rituals and provide the keys so that they are properly developed to increase the positive impact on their teams and on their own management.

The email of the area manager

This common form of communication is an abuse in many companies, hundreds of emails are stored in the inbox of a area manager. We not only have to pay attention to quantity, but to quality: sometimes they are long, repetitive and boring. Some suggestions for writing emails are the following:

• The subject of the email must be precise (encompassing the general message) and short (no more than 6 words).
• Mark the option “urgent” when it is really urgent. If almost all are marked as urgent, that “urgency” is diluted.
• Capital letters and exclamation marks (!!) can be interpreted as aggressive.
• Bold, underlining and italics can be used sporadically to highlight something specific, without overdoing it.
• The body of the text should not be longer than 10-15 lines.
• The courtesy must also be kept in writing.
• If the topic is sensitive, it may be better to discuss it in person.
• The spacing between paragraphs gives a sense of order and structure.
• Use multiple shipping with caution, especially if it is sent to store managers and higher hierarchical positions.
• Spelling and style checking is a non-negotiable standard for an area manager.
• Be careful with humor or irony. The recipient does not see the writer’s face or hear a tone of voice to interpret the meaning. Emoticons can make up for it to some extent.
• It can be useful to use editing software to make the email attractive with photos, graphics, etc., especially with informational emails.

The weekly video launch on WhatsApp

How do you have to build this video message to make an impact?

• Positive and convincing tone, looking at the camera.
• Do not record against the light and the camera at eye level.
• Share the results of the previous week without boring you with details.
• Congratulate stores or restaurants on their KPI achievements.
• Express your gratitude to a seller who has agreed to change the store to cover a time off sick.
• Request initiatives for new promotions.
• Indicate which stores you will visit during the week.
• Duration of no more than 90 seconds.

Visiting stores: presence 100%

As a link between the headquarters and the points of sale, the area manager must take care of empathy and the visit itself. Visits must be scheduled so that store managers prepare them, although on specific occasions it may appear by surprise. So one goal of the visit is to empower the store manager. Perhaps it is he/she and not the area manager who has to write the report indicating the key figures, the diagnosis and the agreed action plan. The area manager will receive it and provide its added value, correcting and validating from their perspective.

The individual weekly video call

Many area managers travel thousands of kilometers a year, with the consequent fatigue, back pain and stress. Thus video calls with applications such as Zoom, WhatsApp or FaceTime can replace 1/3 face-to-face visits. To be effective, it is necessary:

• Fixed and structured schedule, with a duration of 15 minutes and breaks between sessions every 45 minutes.
• It is an ideal format for coaching because both people are seated and concentrated.
• The store manager generates commitments and sends a summary email in the next few minutes.
• Area manager has before him the scorecard and the commitments of the previous session.
• He can request a tour of the store with the phone, showing the merchandising, the store, the vendors …

The zone meeting

The zone meeting requires specific rules to be successful:

• Previous agenda: the regional director must send it a week before to those in charge so that they can insert topics if they need.
• Preparation: if the area manager is going to request specific interventions from his managers, he must notify them in advance.
• Roles: the timekeeper notifies when each participant has 1 minute left to speak and the secretary takes notes and sends them the next day.
• The pineapple of the word: only one person speaks at a time and the pineapple, like any other object, symbolizes the turn to speak.
• Animation in coach mode: the meeting leader can invite participants to reflect in writing and share their ideas. At CapKelenn we use “tests express”, written questions that require an answer on a scale of 0 to 10. For example: “How effective has the Christmas promotion been?”
• Check-in and check-out: the question “how are you?” allows you to calibrate the energy and “what do you take?” creates an environment of sincerity.
• Punctuality: the door closes at the indicated time. Everyone’s time is important.
• Alliance: the rules of the meeting are built between everyone (speaking turns, rest time, courtesy …).
• Games: ideal for re-energizing. There are many games, but an example can be: the coach hands each person a post-it and plays music. When he stops it, a circle is generated and each one places the post-it on the back of the closest colleague and writes a quality of this person.
• Walking coaching: retail lives on foot, so the area manager looks for animations so that participants get up and continue working. The area manager delivers mission letters to each group of 2-3 people, they go outside to talk about the mission. When they return, they should share the fruit of their reflection in 1 minute. This is how creativity is generated, benchmark.

The team video call with the area manager

A group videoconference can be an alternative to innovate and, of course, a necessity in the middle of a pandemic situation. Video call is practical, cheap, saves time and transportation costs, reduces carbon footprint, the visual impact is higher than the sound of a phone call, etc. But video call also has a number of rules:

• Clear invitation with access links validated by each participant.
• The area manager must create the group in advance and contact everyone in a single call.
• The “share screen” option is very useful for sharing visual and synthetic documents.
• Ensure the quality of the connection, being preferable the network cable instead of WiFi.
• Wear headphones to listen and make yourself heard better.
• Settle in a quiet place and avoid interruptions.
• It is advisable to connect 3 minutes before to offer a more relaxed space as if it were a meeting in person.
• The initial check-in (“how are you?”) and the final check-out (“what do you take?”) are doubly important.
• Speaking a little slower and modulate the voice.
• Perhaps humor does not work as well as in person.
• The area manager gives and recovers the floor. So he keeps everyone’s attention.
• Tests express are very useful for quick evaluations.
• ATROMI animation method: Accommodation (welcome and thanks); Topic (summarize what to talk about); Rules (rules during the session); Objective (what is intended to be achieved in the meeting); Method (phases of the meeting); Information returned (feedback, doubts and suggestions).

The public discourse of the area manager

Some networks organize conventions or launch events in which the area manager must present a speech. Speaking in public can be scary, so we’ve summarized a few tips to help improve:

• Rehearse and practice over and over again
• Record trials and analyze them to detect areas for improvement
• Abdominal breathing
• Drink water before speaking to relax
• The introduction and the conclusion are the two most relevant parts, so they have to be impactful and energetic.
• Visual technique of the M: look at 5 people united in the shape of an imaginary M. This gives the audience the feeling of covering the entire room.
• Rehearse storytelling: know how to tell anecdotes and test them before with friends. In addition, it is ideal that it includes a touch of humor.
• Non-verbal communication: modulate the voice to alter moments of energy with more relaxed moments; feet well anchored; straight body posture, etc.
• Silence generates authority and knowing how to handle times of silence is essential.
• Be inspired by professional speakers.
• Practice theater.
• Never apologize for not knowing how to speak in public.

The SAAR model

The area manager is also related to the top management with whom it has to be aligned. He has to help his boss decide and to do this he has to build trust and legitimacy. For this, the SAAR model can be applied:

• Situation: describe the current situation clearly, briefly and objectively.
• Alternatives: although viscerally you want to promote a solution, the data can raise several alternatives.
• Analysis: evaluate each alternative objectively and with data in hand. The cost, ROI and consequences of each alternative are measured.
• Recommendation: the area manager should involve, give his opinion as if it were his business.

This communication system generates a progressive trust between the boss and the area manager and can proactively give rise to feedback that positively affects the results. This method is, in short, an aid for decision making.

These recommendations are some of those that you can find in the book of Benoit Mahé Retail Coaching: how to boost KPI’s with Emotions.

CapKelenn in luxury retail

CapKelenn is the primary certification in Retail Coaching worldwide, certifying managers in Retail to really become coaches for their sales teams, facilitating the transition towards a supreme clienteling savoir-faire. CapKelenn delivers the certification in 12 languages on all the 5 continents. CapKelenn accelerates change, thanks to people, with results that are fast, visible and sustainable, contributing to fertilize a client experience that is memorable and personalized.

Psychological health has become essential in the current socioeconomic situation. Covid-19 is causing a series of human reactions that have an impact on the organization and on the profit and loss account of retail businesses. As well as on the mood of retail professionals. Stress situations are reproduced in stores that remain open and in merchants who have temporarily closed. If intersubjective relationships have characteristics of extraordinary complexity, intrasubjective relationships are no less.

Psychological health for retail shops

There are two factors of force majeure that have suddenly appeared in the retail sector: isolation and uncertainty. Both psychological illnesses manifest in physiological expressions such as difficulty sleeping, lack of appetite, anxiety, sadness, irritability, fear or panic. To help us deal with this situation of isolation and uncertainty, psychology, in its therapeutic, neurological and social aspects, stands out as a crucial resource.

Therefore, CapKelenn offers you a psychological health service applied to commerce. We want to anticipate psychosocial risks and accompany managers, franchisees and retail staff who are facing situations of tension and insecurity. Firstly, we offer management care for the couple and children for those who remain at home burdened by professional and family responsibilities. Moreover, we help dismissed employees using emotional management techniques.

Listening by a Retail Coaching professional allows the person to vent their fears and frustrations. First of all, to get out of the loop. Secondly,to be able to positively rebuild a personal and business strategy. Psychological support in retail has become a necessity to seek corporate wellness.

Current stress situations caused by the Covid-19

In his book The Art of Becoming Bitter, the psychologist Paul Watzlawick collects a multitude of harmful attitudes to ourselves. We still reproduce because they are apparently unconscious. These are behaviors that harm us, hindering our emotional development and, thereby, having a negative impact on our mental health. They do not seem to have a positive solution. Here are some reactions that retail professionals may be experiencing.

Situations of tension in open chain stores

The shops that remain open during the health alert are those related to basic goods and services (food, telecommunications, health, transport, etc.). In addition, those whose functions can be performed by employees at home. The main causes of anxiety are fear of contagion, pressure from managers and the influence of negative client emotions. Some of the stress situations generated by the Covid-19 can be:

• “Clients convey their anxiety and fears to us, so I end the day with morale on the floor”
• “The incivism of clients crushes me”
• “We are working and exposed when our bosses give us orders from their homes, teleworking”
• “We fear for our health because we are exposed daily to a huge number of clients”

Situations of tension in closed store chains

A high percentage of the business fabric corresponds to shops and restaurants forced to close while the health alert lasts. Both store and restaurant chain owners and employees are facing numerous adversities. That creates a climate of tension, insecurity and fear:

• As regional director
  • “It is difficult for me to keep my team motivated and focused, who is working at home”
  • “Our product (fashion, luxury) is not essential. And although we could sell online, the team does not consider it appropriate” (cognitive dissonance)
  • “Our peak of activity occurs precisely on these dates. It’s frustrating to give up the year for lost and not being able to do anything”
• As an employee or store manager
  • “I feel lonely, isolated and without perspective”
  • “With my children at home, I feel overwhelmed. I only have moments of 10 minutes to communicate. My bosses can communicate in a shocking way in just 10 minutes”
  • “I have been fired, I fear for my income and how to face the expenses that still follow”

Therefore, these examples are illustrative of a generalized feeling of panic. It affects the cognitive level and paralyzes our positive reactions. As we observe, this psychological crisis transversely affects the entire retail sector: shops, restaurants, hotels, banks, etc.

Logotherapy

First of all, it is necessary to identify those actions that we produce or those inputs that we receive that undermine our self-esteem.Then, it is convenient to go to the conscious root to make sure that we ourselves are responsible for our happiness and our balance. Nothing is powerful enough to sink our morale.

In his monumental book Man’s Search for Meaning, the neurologist and psychiatrist Viktor Frankl recounted the brutalities he suffered in various Nazi concentration camps. Following these painful and traumatic experiences, he studied the human being’s attitude. Even devoid of everything, he transcends his difficulties because his dignity and freedom are indestructible.

Frankl developed a psychotherapeutic method, logotherapy, based on the search for the meaning of existence. So that we take responsibility for ourselves and for others through a positive perception of the world. It is time, therefore, that the managers and employees of chain stores face this negative situation caused by an external agent and take responsibility for their actions.

Psychological health in Retail

For the neurologist and psychiatrist Boris Cyrulnik, “pain is inevitable, suffering is optional.” After trauma such as that caused by the pandemic we are experiencing, a new personal and professional development must be rebuilt based on resilience in commerce. This concept refers to the ability of Retail professionals to overcome a difficult situation.

At CapKelenn, we want to accompany you and your team to manage a process that goes from initial panic to a vision for the future. We want you to take back the reins of your business. The phases that follow in this psychological development vary in intensity and duration according to people. But the ultimate goal is the same: to prevent professional exhaustion caused by emotions of stress and vulnerability to guarantee corporate well-being.

Through online or face-to-face workshops, we promote the sincere expression of emotions. This is the first step to unblock the atavistic fear that becomes resistant in our psyche. We drive the coach’s stance at key moments, including recognition, empowerment, and personal consideration.

The anticipation of psychosocial risk is intended for managers and employees alike. So that the retail coaching training acquired by the manager will help them apply it with their staff. In times of crisis, solutions have to be collective and psychological health in retail is essential to save the team and, with it, the store.

“If it is not in your hands to change a situation that causes you pain, you can always choose the attitude with which you face that suffering”.

CapKelenn in luxury retail

CapKelenn is the primary certification in Retail Coaching worldwide, certifying managers in Retail to really become coaches for their sales teams, facilitating the transition towards a supreme clienteling savoir-faire. CapKelenn delivers the certification in 12 languages on all the 5 continents. CapKelenn accelerates change, thanks to people, with results that are fast, visible and sustainable, contributing to fertilize a client experience that is memorable and personalized.

Viktor Frankl