1Cadence Education, Inc.

 Dissatisfied customers tell an average of people about their bad experience. Once it’s posted on social media, that number explodes!  Up to 90% of dissatisfied customers will not return and never tell the truth about why.  Up to 95% of dissatisfied customers do not complain to the company, they simply go to a competitor! 2Cadence Education, Inc.

 1. A willingness to build a relationship with you.  2. The overall satisfaction our customer’s experience.  3. A willingness to recommend you to others.  4. A resistance to switch to a competitor. 3Cadence Education, Inc.

 78 Infant rate of $199/week x 2 children = $31,  78 Toddler rate of $186/week x 2 children = $29,  156 Preschool rate of $161/week x 2 children = $50,  Grand Total of $ 110,  **78 weeks = 15 months, 156 weeks = 30 months. This calculation does not include after school care.  Add one child enrollment as a result of the families’ referral:  Total becomes$165, Cadence Education, Inc.

These are the most important interactions from the parent’s perspective; they make a difference to satisfaction and retention. What do you think some of these might be? 5Cadence Education, Inc.

 Use a current tuition sheet to complete the LTV worksheet provided. Identify moments of truth that would be universal for all schools. Consider:  Parent Orientations  Transitions to the next classroom  When a staff member leaves the school  Annual tuition increases What are some of the best practices that we should be implementing during these times or transitions to ensure we retain parents? 6Cadence Education, Inc.

7 Happy Families Happy Employees Increase in occupancy Increase in family retention Increase in employee retention Increase parent referrals Satisfied Parents and Staff Cadence Education, Inc.

Net Promoter System is a commitment to keep Cadence Education focused on earning the loyalty of both families and employees. Loyal, passionate families = tenure families, contributing suggestions and sing praises about our schools to friends and colleagues. Loyal, passionate employees = dedicated, innovative, and enjoy going the extra mile to delight families. SatisfactionLoyaltyAdvocacy Cadence Education, Inc.8

NPS is a simple, powerful metric that is intuitive at all levels of the organization. Improvements are achieved through an organizational focus on improving the Family experience, creating Promoters and reducing Detractors.

Cadence Education, Inc. PromotersDetractors Reduce the Detractors: Closing the loop Fix the broken parts Reduce the Detractors: Closing the loop Fix the broken parts Promoters Detractors Promoters = Loyal and passionate customers 10

11 Eight questions: 1.How likely are you to recommend us to a friend or colleague? 2.What is the primary reason for the recommendation score? 3.Overall, how satisfied are you with your child care experience from the following? - Director, Assistant Director and Primary Teacher 4.Is there any feedback you would like to provide regarding your school’s management team or school staff? 5.Please rate physical condition of your school. 6.Is there any feedback you would like to provide regarding the physical condition of your school? 7.What is the most important improvement our school can make that will make you more likely to recommend us? 8.Would you like the Regional Director of your school to contact you? Cadence Education, Inc.

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 The Company average for retaining our families is as follows: ◦ Do these averages surprise you? ◦ What steps can we take to improve retention? 13 Age at Enrollment Average Enrollment Time (Weeks) Cadence Education, Inc.

 The “People” aspect of the child care business is really what it is all about. Think of parents as individuals. Once we think that way, we realize our business is our parents and the relationships we form. Putting ALL the focus on how great the building LOOKS leaves out the most important component: each individual parent. It’s all about relationships!  Absolute Excellent Service is the lifeblood of the child care business. You can offer promotions and slash tuition prices to bring in as many new parents as you want, but unless you can get the families to stay, your business won’t be profitable for long. 14Cadence Education, Inc.

 If you are passionate about your school and the service you provide, you can generally enroll anyone. The essence of Absolute Excellent Service is forming a relationship with parents – a relationship that the individual parent feels she would like to pursue. The passion starts with you!  What component of our Brand Promise do you need to build a strategic plan for improvement? 15Cadence Education, Inc.

 Know your school’s BCA’s and share them with your staff.  Recognize the school’s areas of opportunities and work with your RD to create a strategic plan for improvement while continuing to excel at what you do well.  Make those Good News Calls!  Continue to work with staff and build that culture where staff want to come to work everyday. What does that look like for your school? 16Cadence Education, Inc.

 Always “close the loop” with detractors.  Make an action plan to respond to the satisfaction surveys and FOLLOW THROUGH.  Ensure ongoing and PROACTIVE communication.  Manage those online reviews – partner with Marketing!  Share the scores and involve staff in discussions! Keep our Brand Promise at the fore front of your mind! 17Cadence Education, Inc.

 The Ultimate Question 2.0 by Fred Reichheld  The Simple Truths of Service by Ken Blanchard and Barbara Glan  50 Powerful Ideas You Can Use to Keep Your Customers by Paul R. Timm 18Cadence Education, Inc.