Measuring organizational performance is as much about tracking a company’s key performance indicators (KPIs) over time as it is about understanding how they stack up against those of competitors. In the sports and live event industries this translates to comparing your KPIs to those of other properties in your sport or similar event types.
Turnkey Intelligence’s clients have always been interested in seeing how their metrics compare in the sports & events space. Incorporating the Net Promoter Score* (NPS) into their set of KPIs has provided many of them with a great reference point on their position in the industry.
According to its inventors, Fred Reichheld, Bain & Company and Satmetrix, the Net Promoter Score is a customer loyalty measure showing highest correlation with repeat purchases and referrals and one of the best predictors of future growth
The NPS has long stopped being a secret among Fortune 500 companies. As such, I am no longer surprised when the post-interaction survey of my cell phone provider consists of just one question: How likely am I to recommend THE COMPANY to friends or colleagues?
In the sports and live events world, use of NPS in the organizational consumer feedback strategy has gained traction only in recent years. Our experience with NPS among pro teams has demonstrated it is a much better indicator of customer loyalty than overall satisfaction (which tends to be more of a function of the last interaction or experience with the brand). Among ticket plan holders, NPS typically is more strongly correlated with renewal intent and actual renewal figures than overall satisfaction.
When utilizing the NPS question among pro sports teams we often tweak it a bit and instead of the team itself, we ask how likely the respondent is to recommend attending TEAM games.
How likely are you to recommend attending TEAM games to friends and colleagues?
Properties committed to fully utilizing the NPS idea, ask a follow up question and try to understand what prompted respondents to provide the score they did (What is the most important reason for the score you gave?). Lastly, the property offers to contact detractors in an attempt to amend any negative experience and improve customer perceptions. See netpromoter.com, The Ultimate Question by Fred Reichheld