NPS (Net Promoter Score) is often used as the gold standard metric for measuring customer experience. Rightfully so, as this metric strongly correlates to business growth. According to Bain Research, the NPS leader in a category outgrew competitors by a factor of two on average. Specifically, NPS indicates a customer’s likelihood of repurchase and referral of a good or service (Bain). Customers who rate strongly are referred to as promoters. These promoters drive real value between increased engagement, purchases, and referrals. With the challenging margins and competitive nature of automotive sales and service, driving customer experience and promoters are critically important. There are many ways to foster engagement and increase NPS throughout the automotive lifecycle.
A new car sale is just the beginning of this cycle, We’ve found a correlation between engagement and increased NPS, that drive home the need to expand use cases past the first point of sale. Improved customer engagement can come in different forms, from volume to quality to customization.
Creative product solutions enable you to integrate into your customer’s day to day experiences and boost positive user engagement, sales, and ultimately revenue. In the auto industry it’s essential to continue to build customer applications throughout the vehicle lifecycle. A great opportunity to increase these touchpoints after the new car smell is through extended warranty and benefits programs. Our Extended Benefits offering allows dealers to extend roadside coverage beyond the traditional warranty period, expanding the window for engagement and driving additional repair revenue. With a customer program renewal rate of over 60% the effectiveness of our product’s impact on brand loyalty speaks for itself.
But it isn’t just quantity that matters, but also the quality. Ensuring that customer interactions are positive ones is paramount as we find that customers are loyal to brands that provide a superior customer experience (Fivestars.com). Great experiences can be shaped in a number of ways, but one of the keys is to make life easier for your customer in their time of need (Forrester).
One of the most powerful tools our clients have at their disposal is the Swoop Dealer Portal and the capabilities that come along with it. Picture this, a customer is broken down on the side of the road and calls into your dealership looking for help. With Swoop, you are able to instantly create a tow job that seamlessly arranges a service provider, updates your customer, and enables their vehicle to be towed to your facility for a repair. The program can be configured with the option to charge the tow directly to the customer or offer it as a complimentary part of your service. Not only are you reaping the revenue of the ensuing repairs, but more importantly, you have now become the hero in your customer’s story, building untold brand affinity.
One customer, William F. recalls his roadside experience as hassle free. These types of experiences are usually frustrating to say the least, but I experienced none of it. Will absolutely sing the praises of [brand] when the situation calls for it.” And the research shows that this is a common response,“71 percent of people recommend a product or service because they received a ‘great experience’,” proof that these exceedingly excellent experiences make all the difference. (Convince & Convert Consulting)
Getting personal with your customers to build brand affinity
In the 21st century having an omni channel strategy that includes digital is table stakes (McKinsey). With digitalization also comes the ability to personalize, and according to the New York Times, “customers now want customization”. While customization may sound intimidating, it provides an opportunity to build good brand experiences with your customers in a highly engaging way.
In the automotive space there’s opportunity to anticipate a driver’s needs based on many vehicle statuses. Agero’s Digital Coupons product can help tailor offerings when it comes to roadside assistance, providing customers with coupons specific to their particular issue type just in the nick of time. Imagine a customer calling in for help with a flat tire, being updated that a provider is on the way to assist, followed by a notification offering them 20% off new tires.
This timely support helps your customer navigate a challenging situation and correlates to a NPS boost of nearly 20% based on internal Agero data.
As auto companies look to connect with their customers it starts with having a diverse set of product offerings that fill needs across the lifecycle. Once products meet customer needs, it’s all about adding value in your delivery through high quality interactions and a personalized offering. Learn more about the diverse product offerings Agero can provide here. Combine this portfolio with our best-in-class tech and premier customer support and you have a winning combination for improved NPS.
Meet the Author: Frank Klemovitch - Senior Director, Product Management