In today’s competitive business landscape where 89% of businesses compete primarily based on customer experience, tracking how your customers feel about your brand can help you stand out. Customer service metrics such as the Net Promoter Score (NPS) can help determine customer satisfaction. Here, we’ll share why a good NPS is important and tips for improving yours to earn more customers.
Why Is a Good NPS So Important?
NPS lets you gauge customer loyalty by looking at their likelihood of recommending your brand on a scale of 0 to 10. The scores are then grouped into three categories. Scores that are between 0 and 6 are known as detractor scores, 7-8 are the neutral scores, and 9-10 are the promoter scores.
To calculate your NPS, you omit passive scores and then use the following formula: NPS = % of Promoters – % of Detractors. For instance, if you surveyed 100 individuals and found 75 gave you a promoter rating, 10 gave you a neutral rating, and 15 gave you a detractor rating, you would calculate your promoter (75/100 x 100= 75%) and detractor (15/100 x 100= 15%) rating percentages and subtract your detractor rating from your promoter rating (75%-15%) to get an NPS of 60. NPS scores range from -100 to 100, with scores above 60 rated as very good.
When used as a customer service KPI, NPS can offer the following advantages:
- Helps you determine what you need to do to improve the overall customer experience
- Leads to massive growth potential from repeat customers
- Allows you to see how your customers feel
- Gives you a competitive advantage and helps you reach new customers
- Lowers marketing costs by using promoters as brand ambassadors
5 Tips on How To Improve Your NPS
Leverage Promoters
If you want to know how to improve NPS quickly, then leveraging promoters is the quick answer. NPS helps you identify your biggest champions. A Salesforce report found that 72% of happy customers will tell six or more people about a brand. To ensure your promoters stay loyal, consider giving them a referral code or encouraging them to leave a review on relevant sites. Also, remember to ask specific questions about your brand, what they feel you are doing well, and what you need to improve.
Engage With Detractors
Detractors are unlikely to recommend your business and might even leave damaging reviews. Engage with them to determine what went wrong and offer to resolve their complaints. If done right, engaging and offering support to your detractors can change their view about your brand, and could even turn them into promoters.
Send Surveys at the Right Time
Be sure to send NPS surveys at the right stage of their customer journey. NPS surveys are meant to track how customers feel after using your products or services. If you sold a product, waiting a while before sending out surveys will give them time to use the product and determine how they feel about it.
Follow Up Quickly
Not everyone will want to answer follow-up questions, but be sure to ask. If a customer permits you to follow up with them about their responses, do it quickly when the memory of your products or services is still fresh. If you were engaging with a detractor, fast follow-up shows that you are committed to making the situation right.
Make Sure Everyone Knows Their Part
Everyone is responsible for creating a great customer experience. Working with your employees to provide a great customer experience and engage with both promoters and detractors ensures that your customers’ needs are being met quickly and consistently. The idea is to work together to listen to your customers and meet their needs so you can retain them.
Take Your Customer Experience to the Next Level With Aktie Now
NPS helps you measure customer experience and satisfaction, allowing you to make improvements as needed. At Aktie Now, we are dedicated to helping you transform your customer experience through our customer service consulting services. Contact us today to learn more about our CX Consulting services and how they can help raise your NPS.
