Net Promoter Score
Member Effort Score
That is the question.
The Number One Question
What is the difference between Net Promoter Score and Member Effort Score for Credit Unions?
There are multiple tools available for measuring member satisfaction in the credit union world: namely, the Net Promoter Score and Member Effort Score. You’ve probably heard these terms before, but do you know the difference between the Net Promoter Score and Member Effort Score, and why both of these measures matter? LiveSurvey is often asked to answer that question.
The Short Answer
The Net Promoter Score/NPS is a very general measure of overall member satisfaction. It asks the simple question of, “How likely are you to refer this institution to your family or friends?”
Member Effort Score, on the other hand, drills down to gauge the ease and simplicity of a particular task at your credit union, such as opening a checking account or applying for a loan. It’s about a specific member experience, as opposed to their overall impression.
Put simply, the Net Promoter Score is very broad, and the Member Effort Score is very focused. With the nuances of each being quite different, they provide unique insights into member satisfaction.
Net Promoter Score/NPS
The Net Promoter Score measure is a 0 to 10 scale that that pinpoints the likelihood of a member referring to the given institution or company to their family or friends.
The Net Promoter Score system puts all of its respondents into buckets. If you score between 0 and 6, you’re a detractor; between a 7 and 8, you’re neutral; and between 9 and 10, you’re a promoter.
The score is calculated by the percentage of promoters less the percentage of detractors, and that is what determines your Net Promoter Score. It’s an overall satisfaction index if you will.
Member Effort Score
The Member Effort Score specifically measures how much pain you put your members through to complete individual processes, by asking them to rank the experience as very difficult, very easy, and everything in between. It’s usually a five-point measure. This Member Effort Score is designed to help you improve your ease of use, and thereby improve your member satisfaction.
Do I Really Need Them Both?
Both the Net Promoter Score and the Member Effort Score are great measures of member satisfaction, and they both speak volumes. Together they can provide the most comprehensive view of your member satisfaction.
Top Pros of the Net Promoter Score/NPS:
- It provides a measure of overall member satisfaction.
- It provides data on how many of your members fall into each bucket of detractor, neutral, or promoter.
Top Pros of the Member Effort Score:
- It provides feedback on the ease of use of your processes, so you know exactly what is and isn’t working smoothly for your members.
- That feedback provides actionable information on what you can do to improve your ease of use, toward the goal of improving your member satisfaction.
We at Live Survey think the Net Promoter Score and the Member Effort Score each play a valuable role, and that both are great tools to use.