Driver analysis

The driver analysis identifies the critical success factors that drives satisfaction and loyalty the most – and where you get the greatest return on your investment.

Not only do you gain a clearer understanding of the reasons behind the responses – you also gain a solid basis for prioritising your initiatives. The driver analysis is based on collected information about customers’ experiences, attitudes, and behaviour.

Typically, the data comes from customer surveys covering areas such as product and service quality, company image, social responsibility, and value for money – to name just a few examples. This data is then analysed using a statistical method. At Loyalty Group we use the PLS, or Partial Least Squares model.

Partial Least Squares

PLS helps identify the most significant input variables, such as quality, image, and so on, that influence the output variable – in our case customer loyalty. PLS does this by analysing the relationship between the many input variables and the output variable. In other words, it shows how important product quality is to customer loyalty in concrete, quantitative terms.

The results are plotted on a prioritisation map divided into four quadrants.

This means you should focus your efforts on the areas that drives customer loyalty the most – and naturally start with those where you are underperforming. For all main areas, the sub-questions can also be plotted to provide an even more detailed overview before you prioritise your initiatives.