The Value of Number 1

In the real-time digital business world, we have the ability to measure more of everything. We track everything right down to the smallest detail, continually segmenting the data down to the tiniest sub-group.  The result is that we have a lot more companies that are number one at something and more and more companies market themselves as number one.

We are a nation of people that are in love with the idea of being number one and we’ll spend great sums of money, sell things at a loss and even mislead customers in order to be the statistical number one. Being number one in a market share segment or number one in volume doesn’t mean much to consumers, it might not even mean that you’re profitable. The only number one that really matters is being number one in the minds of your customers. Period.

If you strive to be number one with your customers, ask them if they would recommend you to others. There is a way to measure this called Net Promoter Score, NPS for short. Many companies are aware of this metric, but few seem to really embrace it as a measure for success. They are instead stuck on profits and profits are important. However, if you want to grow profits in a sustainable manner, focus on improving the experience you provide for your customers and continually strive to make them happy. Profits will follow.

According to the latest Satmetrix Net Promoter industry benchmark report, USAA Banking has the highest NPS score in the US. Their customers love them. More importantly, their customers recommend them to others in search of banking services. Amazon, a company that doesn’t really provide a bricks and mortar, face to face experience for their customers yet dominates their industry, boasts an NPS score that puts the online retail giant right behind USAA.  

If you want to be number one at something, why not strive to be number one in the minds of your customers? It’s the only number one that really matters.

Learn more about how you might measure up.
http://www.netpromoter.com/why-net-promoter/compare/