SPH Analytics conducts Net Promoter® Score (NPS®) studies for hundreds of health plans and provider organizations each year. Introduced in 2003 in a Harvard Business Review article as a simple measure for customer loyalty that correlates with revenue growth relative to competitors, NPS has become increasingly prevalent in healthcare as an additional approach to CAHPS for measuring member/patient experience and loyalty.
The key premise of NPS is that word-of-mouth is the most effective method to increase awareness of any product or service and an NPS survey gauges the likelihood that the customer will speak positively about a company. While an NPS survey can incorporate many questions, the ultimate NPS question is: “How likely are you to recommend the organization to your family and friends?”.
The NPS Scoring Methodology
The NPS scoring methodology is on a scale of 1-10 and uses the notion of “promoters”, “passives”, and “detractors”. Respondents are grouped as:
- Promoters (score 9-10) are loyal enthusiasts who keep buying and refer others, contributing directly to increased business
- Passives (score 7-8) are satisfied but unenthusiastic customers
- Detractors (score 9-10) are unhappy customers who can impede growth by negative word-of-mouth and contribute directly to decreased business.
The Net Promoter Score is calculated by subtracting the percentage of customers who are promoters from the percentage of customers who are detractors. The overall score ranges from -100 (All Detractors) to +100 (All Promoters)
SPH’s NPS Analysis
In addition to conducting NPS surveys via omnichannel outreach, SPH provides meaningful, actionable insights via its online dashboard and detailed reports to help your organization pinpoint the highest priority areas to fix. Analysis includes segmentation by key demographics and key rating questions, correlation of attribute scores to overall satisfaction, and the ability to monitor improvements over time.
Apart from highlighting issues and trends at an aggregate level, SPH’s dashboard allows for member/patient-level drill-down, to help with taking specific actions. For example, your goal with Promoters is to maintain their enthusiasm and learn ways to create more customers who feel this way, perhaps by engaging them with your organization as patient advisory board members, and by rewarding and recognizing team members who make promoters feel special. For Passives, your goal is to improve services or processes to delight them, solicit their input to find out what to do better, and convert them into Promoters. With Detractors, you should learn from them to understand root causes of their dissatisfaction. SPH’s online service recovery workflow tools route complaints in real-time to staff members for follow-up.