D&M Research Wins Best Paper Award at AMSRS National Conference

Posted by  D&M Research Team

POSTED ON  September 11, 2017

D&M Research is proud to announce that our very own Robyn Ordman has won the Best Paper Award at the 2017 AMSRS National Conference. Robyn is the newest and youngest member of the D&M family and we are incredibly proud to see her making a mark at this early stage of her career.

Robyn’s winning paper was entitled “NPS – Are You Who You Say You Are?” Her research involved unpacking the Net Promoter Score, a market research metric that is interpreted in almost every industry as a measure of customer loyalty. The popularity and broad use of the metric have been attributed to its simplicity and transparent methodology of use.

Net Promoter Score assumes a subdivision of respondents into “Promoters” who provide ratings of 9 or 10, “Passives” who provide ratings of 7 or 8, and “Detractors” who provide ratings of 6 or lower to the question, “How likely are you to recommend X to a friend/family/colleague?” Subtracting the proportion of Detractors from the promotion of Promoters derives the NPS expressed as an integer.

NPS has attracted criticism from academic and market research circles, however, who question whether the metric is at all a reliable predictor of company growth. Other researchers have noted that there is no empirical evidence that the “likelihood to recommend” question is a better predictor of business growth than other customer-loyalty questions (e.g., overall satisfaction, likelihood to purchase again, etc.), and that the “likelihood to recommend” question does not measure anything different from other conventional loyalty-related questions.

D&M Research’s own experience across multiple industries has found that although “Promoters” typically say positive things, “Passives” and “Detractors” do not cite mainly neutral and negative reasons as expected. In fact, a large proportion of “Passives” have only positive things to say, while the majority of “Detractors” cite neutral reasoning.

Robyn’s research confirmed that NPS is not particularly reliable when used on its own, but goes a step further to suggest five ways that companies can get more from the NPS data they may already have. We have made these findings available for free through our downloadable white paper, “5 New Ways To Revitalise Your NPS Program“.

5 New Ways whitepaper

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