It’s all in the NPS score
The brands that consumers are most loyal to
Everyone loves to complain about their bank, but two financial brands have come top of the Net Promoter Score loyalty benchmarking report.
First Direct (+73) and Nationwide Building Society (+43) lead this influential table, followed at Freeview and Tesco Mobile tied at (+38) Plusnet (+37) and LV (London Victoria Insurance) , tied with Hargreaves Lansdown (financial advisor (+3).
On the other hand, at the bottom of the pile was Royal Bank of Scotland, with the lowest loyalty score of all the companies analysed, at -19.
Satmetrix, the US company that produces the NPS scores, which are based on the propensity of customers to recommend products, analysed 60 UK brands for the benchmarking report.The brands included financial services, insurance, television, mobile and internet providers, identifying which companies consumers do business with.
First Direct, Tesco Mobile, Santander and Freeview all did well, with credit card provider MBNA rising rapidly through the ranks.
Satmetrix suggests that Tesco has the potential to win back customers with added services, such as Tesco Mobile (+38) and Tesco Bank (+23) which was only beaten by Santander (+28). MBNA had a low score of just +4, but it was better than other banks tracked. Lloyds, Barclaycard and Virgin Money were all lower.
EE and Vodafone are bottom for both mobile and internet services. EE scored -7 for mobile and -17 for internet, with Vodafone respectively scoring -1 and -18. Given the shifting market and the increased bundling of services in the mobile and media industry they face tough competition
Freeview is streets ahead of digital TV competition with a Net Promoter Score of +38, 25 points ahead of subscription services including Sky, Virgin Media, BT, and finally Talk Talk — which had the only negative score (-11) in the top five.
“The Net Promoter leaders are more likely to enjoy high customer retention, lower customer acquisition costs, and ultimately benefit from more sustainable growth,” explained Brendan Rocks, head of data science for Satmetrix. “Many of the companies at the bottom of the rankings have huge potential to improve, and Satmetrix’s research brings to light the areas of the customer experience where they lag competitors.”
The country’s top ten Net Promoter Scores (across all sectors) were as follows:
▪ First Direct +73
▪ Nationwide Building Society +43)
▪ Freeview, (television channels) tied with Tesco Mobile (mobile phone provider) both +38.
▪ Plusnet (television channels) (+37)
▪ LV, tied with Hargreaves Lansdown (+34)
▪ Santander credit cards, tied with Tesco Bank credit card (+28)
▪ Santander banking (+27)
The Satmetrix Net Promoter Benchmarks are based on survey responses from more than 11,000 UK consumers who rated their experience with the primary brands they use. The Net Promoter Score, or NPSR, for each brand is based on customers’ likelihood to recommend the company’s product or service in the sector being rated. NPS is calculated as the percentage of customers who are promoters, rating the company 9 or 10 on a 0-10 point scale, minus the percentage who are detractors, rating 6 or lower. Consumers also rated each brand on various aspects of customer experience, including product or service features, customer service and overall value, enabling Satmetrix to identify the key drivers of loyalty and recommendation.