What is
Winning on Purpose by Fred Reichheld about?
Winning on Purpose argues that businesses should prioritize enriching customers’ lives through the Net Promoter System (NPS 3.0), treating clients with the same care as loved ones. The book introduces the Earned Growth Rate (EGR), a metric linking customer loyalty to sustainable profits, and showcases companies like Apple and Mercedes-Benz that thrive by aligning purpose with customer-centric practices.
Who should read
Winning on Purpose?
This book is essential for CEOs, customer experience leaders, and teams implementing NPS. It offers actionable strategies for aligning organizational goals with customer love, making it valuable for professionals seeking to improve retention, employee engagement, and shareholder returns through ethical leadership.
Is
Winning on Purpose worth reading?
Yes—it provides a fresh take on NPS, correcting common implementation mistakes and introducing EGR as a measurable proxy for customer-driven growth. With case studies from Peloton to Amazon, it bridges theory and practice for lasting business success.
What is the Earned Growth Rate (EGR) in
Winning on Purpose?
EGR measures revenue from customer referrals and repeat purchases, reflecting “good profits” generated by loyalty. Reichheld advocates including EGR in financial reports to highlight sustainable growth over short-term gains, offering a tangible metric for NPS success.
How does
Winning on Purpose redefine business purpose?
The book asserts that a company’s primary purpose should be to enrich customers’ lives—not just maximize shareholder value. By treating customers like loved ones, businesses unlock loyalty, referrals, and superior shareholder returns.
What criticisms of NPS does
Winning on Purpose address?
Reichheld critiques companies for using NPS as a superficial metric rather than a cultural compass. He notes that 90% of organizations prioritize profits over customer well-being, missing NPS’s full potential to drive ethical, lasting growth.
How does
Winning on Purpose apply the Golden Rule to business?
The Golden Rule—treat customers as you’d treat loved ones—anchors NPS 3.0. Examples like Warby Parker show how empathy and quality service build promoters who fuel organic growth through referrals.
Which companies are highlighted in
Winning on Purpose?
The book features Mercedes-Benz, Apple, Amazon, Peloton, and Warby Parker as leaders using NPS to align purpose with profits. These firms prioritize customer love, achieving market-leading shareholder returns.
How does
Winning on Purpose differ from Fred Reichheld’s earlier books?
Unlike The Ultimate Question (focused on NPS basics), this book introduces EGR and emphasizes purpose-driven leadership. It expands NPS into a holistic system for cultural transformation, not just customer feedback.
What are “good profits” according to
Winning on Purpose?
Good profits stem from customer delight and loyalty, not short-term cost-cutting or aggressive sales. They’re quantified via EGR and reflect ethical practices that build enduring brand advocacy.
What steps does
Winning on Purpose recommend for implementing NPS?
- Audit your company’s purpose: Does it prioritize customers?
- Use open-ended feedback to identify improvement areas.
- Train teams to view customer interactions through a “loved one” lens.
How does
Winning on Purpose address modern challenges like digital transformation?
It argues that technological shifts (e.g., AI, e-commerce) amplify the need for human-centric practices. Companies like Amazon use NPS to balance scale with personalized care, ensuring digital tools enhance—not replace—customer relationships.