Timing is a critical factor to consider when measuring NPS. If you send your survey too soon, the feedback you receive may only reflect your customers’ limited perspective at the time. If you send your survey too late (or too infrequently), you may miss your opportunity to address a customer’s concern before they churn — or even worse, spread negative word of mouth.
This is what Chime, a San Francisco-based mobile banking startup discovered while implementing NPS.
Launched in 2014, Chime’s mission has been to help members live healthier financial lives by reinventing banking from the ground up. With Chime you get a Spending Account, Savings Account, Visa debit card, and an app — that’s been featured by Apple as one of the top Money Management apps.
In addition to having no monthly minimums or fees, and a huge fee-free ATM network, what sets Chime apart is an Automatic Savings program that makes it easy for members to build their savings account. It works by rounding each purchase made on the Chime Visa debit card to the nearest dollar, and moving the round up into the member’s Savings Account. For example, if a customer were to make a purchase on their card for $19.25, Chime would round the total up to $20.00 and move $.75 from the members Spending Account into their Savings account. As an added benefit, every Friday Chime pays a 10% bonus on round ups for the week.
Since launching the Automatic Savings program, Chime has learned through their NPS efforts that this has become their members most loved feature.
With close to 200,000 members who’ve opened accounts, Chime has been growing rapidly over the last two and half years, particularly among young professionals who are looking for an alternative to the big banks as their primary bank account.
With that level of growth, the team at Chime recognized the critical importance of listening to their VOC (Voice of Customer) from an early stage of the company. They turned to Promoter to not only track changes in member satisfaction, but to also unearth key trends in the feedback from members.
As a result, they’ve used NPS insights to deliver new and improved features that are driving significant word of mouth and viral growth for the company.
Timing is everything
When Chime first started with their Net Promoter efforts, they grouped together active members on a quarterly basis and sent surveys out in a single batch.
For some companies, this is a perfectly reasonable approach to surveying your customers on an ongoing basis.
For Chime, they realized that by taking this approach, they were missing the opportunity to hear from new members at the most critical point in time in their lifecycle — the moment of truth.
In the customer experience realm, the “moment of truth” is the point in time in which a customer has been onboarded, has experienced the entirety of your product and is deciding whether they will continue on as a customer.The Moment of Truth is the most critical point in time to hear from your customers. Click To Tweet
This inflection point is different for every company as it’s based entirely upon the customer lifecycle.
For Chime, their ‘moment of truth’ was roughly 30 days after funds were deposited into the member’s account.
Based on their own internal data, they understood that members needed approximately one month of payroll direct deposits in order to fully experience and evaluate the product.
Timing the survey approximately one month after their first direct deposit rather than quarterly allowed Chime to capture feedback from members before they might potentially churn. It also meant that their NPS score declined slightly. “By surveying members earlier, we we’re able to get a broader and more accurate read on customer satisfaction. We found this to be the real score. Timing was critical,” said Kyle Daley, Head of Lifecycle Marketing for Chime.
However, key trends emerged, giving Chime the opportunity to address member concerns and increase their NPS score once again.
Trends can transform your business
After optimizing the timing of their surveys, Chime utilized the tools available within Promoter to drive deeper analytics and unearth emerging trends.
By adding category tags to each piece of verbatim feedback as it came in and assigning the appropriate sentiment, Chime was able to rank each category of feedback based on sentiment (positive, neutral and negative).
They discovered that among promoters, the feature members mentioned most as the reason for their high NPS score was the Automatic Savings program, which validated their product strategy.
More importantly though, Chime was able to identify and address negative feedback.
For example, some members commented about out of network ATM fees. In response to the feedback, Chime implemented a campaign to educate members about the Fee-Free ATM finder and ways to get cash back with purchases at retail locations. Six weeks after launching the educational campaign, Chime saw a 7 point increase in their overall NPS score, and a 41 point swing in their NPS score for customers that mentioned ATMs.
Chime has shown that addressing feedback from NPS surveys can create a meaningful impact in customer satisfaction in a very short timeframe.
NPS is a team activity
Chime has discovered firsthand and has proven to the rest of us how properly scheduled surveys and addressing the needs of your customers can positively impact the growth of your company.
NPS has become an essential part of both Chime’s growth and their customer lifecycle. And, like any important business initiative, teamwork and collaboration is critical to achieving the best results.
Chime has utilized Promoter’s integration with Slack to keep their entire team involved and engaged with their NPS efforts in real time. The integration has made it easy for the Chime Member Service team to quickly respond to feedback they receive, which is an essential step in a well-structured Net Promoter initiative.
According to Daley, in addition to the positive results they’ve seen from proper scheduling and trend analysis, Chime has seen a 10% increase in referrals from their promoters as a result of … get this — asking.
At Promoter, we call that an NPS trifecta.
If you’d like to see what Promoter can do for your business, sign up for your free account today!