NPS Blog

Webinar Q&A: How do loyalty and rewards programs affect NPS?

Fred and Rob discussed the upcoming book in a July 20 webinar. In this and subsequent posts, they answer additional audience questions from the webinar question-and-answer session.

Q: Specifically within retail, can you comment on any relationship you have observed between in-house customer loyalty/rewards programs (theoretically designed to drive increased loyalty) and the actual NPS feedback from customers?

Because the effects of rewards programs vary dramatically from industry to industry and from company to company, it is difficult to generalize. Moreover, it can be challenging to tease apart the impact on NPS of self-selection (customers who were already loyal tend to be more likely to enroll in a rewards programs than the average customer) versus the quality of the program and its impact on improving the connection between a customer and the company.

Nevertheless, in our client work, we have developed a robust framework for the deployment of rewards programs which takes into account important differences between industries and customer groups. To learn more, contact us.

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