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      What is a Detractor?

      A detractor is a customer who is highly dissatisfied with a business and may engage in behavior that harms the business financially. For example, detractors often write bad reviews, criticize brands on social media, and tell friends and family not to buy from the company.

      In addition to negative word-of-mouth activities, detractors impact the bottom line in other ways. Detractors turn over at high rates – they often make just one purchase before they churn, making for a less profitable relationship. They make fewer purchases and are more price sensitive than satisfied customers. Detractors can also be more expensive to serve, because they are inclined to contact customer service. All in all, detractors are a drag on business growth.

      Detractors are identified by their Net Promoter Scores® (NPS®). A Net Promoter survey asks one simple but insightful question: “How likely is it that you would recommend [brand] to a friend or colleague?” Customers answer the question using a 0-10 scale where zero means not at all likely. Anyone whose response is zero through six is a detractor.

      To lessen the negative financial impact of detractors and recoup their acquisition and service costs, companies should focus on turning detractors into promoters (the other end of the NPS spectrum). Unlike detractors, promoters are highly satisfied customers who recommend businesses and products to friends and colleagues. To change negative perceptions, organizations should focus on optimizing CX and the customer journey. In particular, businesses should close the loop with individual detractors and address their grievances with positive action.

      How NICE is Redefining Customer Experience

      NICE offers the industry’s only unified AI platform for customer service automation. CXone Mpower revolutionizes how organizations automate customer service from start to finish—with channels, data, end-to-end workflows, and enterprise knowledge converging to improve customer experience at scale. With domain specific AI trained on the industry’s largest CX dataset, an open framework with endless integration possibilities, and a complete suite of advanced AI applications, CXone Mpower is one platform built for organizations of all sizes to deliver seamless customer service experiences, boost operational efficiency, and drive better outcomes.

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