Customer Advocacy Drives Business Growth

In association with
3rd Nov 2005

Word of mouth is found to predict sales growth for retail banks, car manufacturers, mobile phone networks and supermarkets in the UK. A telephone survey of a random sample of 1256 adult consumers in the UK found that both word of mouth advocacy rates (as measured by the Net Promoter™ score) and negative word of mouth were statistically significant predictors of annual 2003-2004 sales growth.

This paper suggests that the net promoter score as a measure of word of mouth advocacy may be useful not only in predicting sales growth, but also in predicting share performance and employee productivity. By Dr Paul Marsden, London School of Economics, Alain Samson, London School of Economics and Neville Upton, The Listening Company

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