Hello, this is Matsubara, CRM Evangelist.

"Let's increase customer loyalty."
—Many companies set this as a goal, but when it comes to actually measuring and improving loyalty, it tends to become vague.

This time, we will systematically explain how the three axes used by EMOROCO CRM Lite—emotional temperature, nurturing score, and NPS—relation with customer loyalty.

table of contents

1. What is customer loyalty?
2. Why cannot loyalty be measured by a single metric?
3.3. The three axes each capture different aspects of loyalty.
4.3 The true state of the customer revealed by combining the three axes
5. Specific improvement measures for addressing challenges in each area
6. The Relationship Between Loyalty and LTV (Customer Lifetime Value)
7. Practical workflow on the CRM
8. Frequently Asked Questions (FAQ)
9. Summary

1. What is customer loyalty?

Customer loyalty is not simply a term that refers to customers continuing to purchase or use a product or service.
Generally, it is thought to consist of the following three aspects:

Behavioral loyalty: How often are you actually using or purchasing these products?
Emotional loyaltyHow much affection and trust do you feel towards that company or brand?
Attitudinal loyalty: Do you rate it highly enough to recommend it to others?

Many companies struggle to improve customer loyalty because they try to capture these three aspects using only one metric.
Looking only at data on repeat purchases means you'll miss out on customers who are actually dissatisfied but continue to use the product out of necessity.

2. Why cannot loyalty be measured by a single metric?

Judging loyalty solely based on behavioral data such as sales and retention rates can lead to the following misunderstandings:

Just because someone continues to use a service doesn't necessarily mean they're satisfied (they might simply be paying high switching costs).
Even if satisfaction survey scores are high, actual behavior may not be commensurate with that score.
Even if the person in charge on the ground feels they have a "good relationship," this doesn't necessarily mean that it aligns with customer behavior or evaluation.

To bridge these three gaps, EMOROCO CRM Lite combines three different axes.

3. The aspects of loyalty that each of the three axes captures.

Nurturing score (capturing behavioral loyalty)
This is an objective metric calculated based on behavioral data such as the frequency of access to the portal, the time spent viewing and dwelling on content, and inquiries and requests for materials.
This reflects behavioral loyalty, specifically "how much they are actually involved."

Emotional temperature (detecting signs of emotional loyalty)
This is a subjective indicator that shows the level of relationship that sales representatives and others perceive through their daily interactions.
We record the subtle signs of emotional connection with customers, which are difficult to capture in numbers, as a gut feeling on the ground.

NPS (Capturing Attitudinal Loyalty)
 This is an indicator that shows customers themselves whether they would recommend this company to others.
This provides information that differs from the other two axes in that it represents the customer's own expression of intent, rather than behavioral data or on-site observations.
Regarding this integrated approachIntegrated Management of NPS and Emotional TemperatureBut I also explain it there.

4. The true state of the customer revealed by combining the three axes

By combining these three axes, we can uncover aspects of the customer's condition that were not visible with a single metric.

High Nurturing Score × High Emotional Temperature × High NPS
This customer is an ideal loyal customer, excelling in all aspects: their actions, on-site experience, and their own positive evaluation.
Maintaining this condition requires careful follow-up.

High Nurturing Score × Low NPS
Despite using it frequently, I feel like I wouldn't recommend it to others.
They may be continuing to use it out of necessity due to the high cost of switching and the lack of alternatives.
If left unchecked, there is a risk that they will abandon you the moment an alternative becomes available.

High emotional temperature × Low nurturing score
Although the person in charge feels they have a good relationship, the actual behavioral data doesn't show much activity.
There is a possibility that the person in charge is making assumptions.2-axis matrixThis is a classic example of the "immediately detectable lie" discrepancy explained earlier.

Everything is at a low level.
This is a situation where relationships are generally weak, and the risk of defection is high.
Repairing the relationship as soon as possible is necessary.

By combining these three axes, we can uncover "hidden dissatisfactions" and "assumptions" that might be overlooked with a single indicator.

5. Specific improvement measures for addressing challenges in each area

If the nurturing score is low
This describes a state of infrequent activity.
Effective measures include improving the usability of the portal, enriching its content, and increasing opportunities for user engagement.

When emotional temperature is low
There may be issues with the relationship with the person in charge on-site.
Changing the person in charge, reviewing the frequency of communication, and conducting thorough one-on-one interviews are effective measures.

When NPS is low
Regardless of their actions or on-the-ground perceptions, customers themselves may have underlying dissatisfaction.
It is necessary to directly interview customers to understand the reasons for their low ratings and use that information to improve the product or service itself.

The key difference from managing with a single metric is that each of the three axes requires a different approach.

6. The Relationship Between Loyalty and LTV (Customer Lifetime Value)

Improving customer loyalty ultimately leads to an increase in LTV (Customer Lifetime Value).
Increased behavioral loyalty leads to longer usage periods, increased emotional loyalty creates resistance to cancellation, and increased attitudinal loyalty leads to the acquisition of new customers through referrals.

Churn rate predictionThis system uses data from these three axes to detect early signs of customer churn that could damage LTV (Lifetime Value).
Continuously monitoring the three aspects of loyalty provides valuable leading indicators that cannot be obtained through one-off satisfaction surveys.

7. Practical workflow on CRM

In actual operation, the three axes are utilized in the following flow:

1. Behavioral data such as portal access and inquiries are automatically accumulated as a nurturing score.
2. The person in charge records the emotional temperature after each business meeting or phone call.
3. Conduct NPS surveys regularly or at key milestones to collect customer feedback.
4.2-axis matrix dashboardThen, periodically check the misalignment of the three axes.
5. Prioritize follow-up with customers where discrepancies have been found.

Implementing this entire process as an extension of daily sales activities will lead to a continuous effort to improve customer loyalty.

8. Frequently Asked Questions (FAQ)

Q. Of the three axes, which is the most important?
There is no superiority or inferiority.
Because each of these perspectives captures a different aspect, only by combining all three can we truly understand the customer's situation.

Q. How often should NPS (Net Promoter Score) be collected?
Depending on the industry and the frequency of customer contact, it is common to collect data about once a quarter, or at key milestones in major transactions.

Q. I'm having trouble getting emotional temperature input to stick. What should I do?
Simplifying the options and integrating them into the existing input flow is an effective approach.
For further information, please read How to implement emotional temperature input and establish it in the workplaceis explained.

Q. Is this three-axis approach related to patents?
Yes.
The concept of relational assets (RA), which integrates these three axes, has been filed as a business model patent.
For further information, please read CRM Patent Application Explanation .

9. Summary

Customer loyalty is a multifaceted concept that encompasses three aspects: behavior, emotion, and attitude.
By combining three axes—nurturing score (behavior), emotional temperature (emotion), and NPS (attitude)—it becomes possible to discover "hidden dissatisfactions" and "assumptions" that would not be visible with a single indicator, and to take appropriate measures for each.
This three-dimensional approach is the foundation for improving customer loyalty that EMOROCO CRM Lite provides based on CRM 4.0 theory.

EMOROCO CRM Lite costs ¥1,500 per user per month (minimum 3 users) and has no initial setup fee, with a 30-day free trial.https://www.emoroco.com/You can start from there.
IT implementation subsidy eligible tool number: DL07-0022934.

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Additionally, we publish useful articles about CRM 4.0 on note ( https://note.com/arcuss_crm ), so please check them out as well.

Related article

• The Science of Relationship Assetization
• Integrated management of NPS (Net Promoter Score) and emotional temperature
• CRM design to reduce customer churn