Satisfied customers are ideal for a business. They are necessary because they will share any positive experience they had with your product or service.
Customers with positive experiences tend to refer your product/service to friends and family. So, your customer's word means failure or success for your business. What is their way of knowing what they are saying? One of the ways to find out is by calculating the Net Promoter Score.
If you are not familiar with the net promoter score, does not worry will cover that in the article.
Let us get into it:
What is a Net Promoter Score?
Net Promoter Score (NPS) is a metric that helps to measure the customer satisfaction of the customers. The score ranges from -100 to 100. It measures whether the customer is willing to recommend your product or not to others.
As a brand, you can measure the overall customer satisfaction level of the customers. In an NPS, the customer gets asked a simple question
“On a scale of 0 to 10, how likely are you to recommend our business to a friend or colleague?”
Let us see how NPS gets calculated.
How does NPS gets calculated?
As we can see above, the Net Promoter Score gets calculated on the customer response to the NPS question.
The customers respond to this question from 0 to 10, where 0 is (not likely), 10 is (very likely). The customers who respond with a 9 or 10 are promoters. These customers are loyal to your business and will refer their friends and family.
Customers who respond 6 or lower are known as detractors. They continue to use your services despite not finding them satisfactory. They do not recommend it to your friends and family. Finally, some customers respond 7 or 8 are known as neutral. They are ok with your service and don't have much to say about their experience.
Once done with the responses, you can use the formula for the NPS calculation:
NPS score = % of Promoters – % of Detractors.
% of Promoters = # of Promoters / Total Respondents.
% of Detractors = # of Detractors / Total Respondents.
Where can you use NPS?
NPS measures customer satisfaction for your product/service. It helps in benchmarking, tracking experience, and customer relationships.
● Implementing NPS for benchmarking
Benchmarking your website with NPS is the ideal thing to do for your product/service. With the help of benchmarking, you can use NPS to measure customer loyalty. Benchmarking allows us to compare performance and processes that play a part in the NPS, and using NPS will only improve it. It leads to happier, loyal customers.
● Implementing NPS for tracking experience
Tracking the customer experience works well and allows the businesses to measure how the customers respond to the changes you have made in your product/service. You ensure the changes have a positive impact on the UX. It results in a better customer experience for the company.
● Implementing NPS for customer relationships
Building and maintaining customer relationships is one of the hard things to accomplish. Most customers have a specific relationship with the brands. But you can use NPS to your advantage. By implementing the NPS metric, you measure the defining traits to improve customer relationships on a unique scale and gain crucial user experience insight.
How to collect NPS on a website?
NPS gets based on a simple question, to collect the responses to calculate the net promoter score is complex. There are various ways to collect NPS for your brand. Here are the ways:
● Collect NPS via email
Collecting NPS surveys via email is one of the best approaches to getting customer responses. It works because you already have an email list of all your customers. Send your NPS survey via email after the customer made a purchase or used your service. You can send the link to the NPS survey directly to your email list. This method works because you can reach out to all your customers at once. I would recommend having the NPS survey in the email for better results.
● Collect NPS via website pop-up surveys
Using NPS surveys via pop-up surveys are an effective way to gauge the customer experience. As you have complete control over the deployment of the NPS survey, you can get the NPS score where you want it.
For example, you can implement it right after the purchase gets made during the checkout process. It allows you to gain insight into the whole user experience. You get to know more about the customer journey. By incorporating the pop-up surveys on various pages, you get to widen your response rates. If the customers face any issues with satisfaction, you can identify them and work upon them.
● Collect NPS via SMS surveys
You can reach the audience and measure the feedback effectively via NPS surveys via mobile apps and SMS. Mobile has transformed consumer behavior, and SMS is the quickest way to reach. SMSes generally have a 90% open rate. You can set up the NPS around the customer journey to maximize the effectiveness,
Best practices to use NPS strategically
● Track your NPS with the time
Tracking NPS provides transparency into your efforts and the improvements made over time. If your NPS score is negative or zero, you need to focus on collecting the customer’s feedback and improving the NPS with time. When starting you need to use the first set of results as the benchmark.
● Closing the feedback loop
Ensure that every customer has proper closure. A detractor leaves the details of the experience. Closing the loop means admitting the negative experience and taking action by resolving any issue with the customer.
● Inspect NPS results by segment
Analyzing NPS results by creating custom filters in various contexts will help the business. You can examine by customer type, promoters/detractors, and context. Segmenting the data allows you to understand your customers better and help you with the strategy.
Conclusion
Running an NPS survey means opening up as many lines of communication between you and your customers. The more opportunities you have to connect with your customers will provide touch point interactions you will understand. While the number is not as helpful, the strategies and tactics employed are critical for real impact.
Author: Kaumudi Tiwari
Bio: Experienced Content Writer and Digital Strategist, been in the IT Industry for the last 5+ Years. Associated with the Zonka Feedback. Passionate about writing customer experience, customer satisfaction, customer feedback, and net promoter score.
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