When done right, the Net Promoter Score survey is a great way to gauge customer loyalty and collect actionable customer feedback. Since the survey itself is short and sweet, more customers complete it, and analyzing the responses is a breeze.
In this blog post, we’ll talk about the importance of net promoter score, give some NPS question examples, and present net promoter score best practices.
Why Is Net Promoter Score Important?
For decades, Net Promoter Score (NPS) has been one of the most popular ways to measure customer loyalty and satisfaction. With just one question, it helps businesses understand where they stand in the customers’ minds. A high NPS is an indicator that customers are loyal to the brand, so the business has a satisfactory customer experience and doesn’t need to invest in expensive customer acquisition efforts.
Multiple studies show a correlation between high NPS scores and business growth. Naturally, a higher NPS often leads to increased customer retention, repeat business, and positive word-of-mouth.
Net Promoter Score Question Examples
The NPS survey involves asking customers a simple question to gauge their likelihood to recommend your product to others. Here are some examples of NPS questions:
- "On a scale of 0 to 10, how likely are you to recommend our product/company to a friend or colleague?"
- "How likely are you to refer our product/company to others?"
- "Would you recommend our product/company to others? Please rate on a scale of 0 to 10."
- "Thinking about your experience with us, how likely are you to suggest our product/company to someone else?"
- "How inclined are you to promote our product/company to people you know?"
- "If a friend asked you for a recommendation, how likely are you to recommend our product/company?"
- "If you were to rate the probability of referring our product/company to others, what score would you give, from 0 to 10?"
- "Considering your experience, how probable is it that you would advise our product/company to others?"
How To Improve Net Promoter Score?
Here are some strategies to help you improve your NPS:
Address detractor concerns
Criticism provided by detractors can be used as inspiration for product enhancements. After receiving negative feedback, reach out to your customers to ask for more information regarding their experience and work on resolving recurring issues.
Hyper personalization can do wonders for customer satisfaction and loyalty. Use advanced AI tools to analyze customer behavior and provide customers with personalized offers, content, and solutions that resonate with their specific preferences and needs.
Analyze feedback and run tests to identify bottlenecks and friction points in your customer journey. Streamline processes to make it easier for customers to interact with your brand and make purchases. Improving just one touchpoint can make a big difference in your customer experience.
Measure customer satisfaction
Along with NPS, track other relevant metrics such as customer satisfaction scores and customer retention rates. They will help you find the underlying reasons for dissatisfaction and measure the effectiveness of your improvement efforts.
To improve your NPS score, analyze the feedback provided by the respondents. Look for patterns, common issues, and recurring themes to identify areas that need improvement. With an AI-powered feedback analysis tool like Essense, you can find valuable insights in customer feedback in just one click.
Net Promoter Score Best Practices
Here are some best practices to consider when implementing Net Promoter Score (NPS) surveys:
The main NPS question should be straightforward and easy to understand so that the customers can give you a quick and honest response. Avoid using professional jargon, unnecessary details, or complex language.
Stick to the standard 0-10 scale for the NPS question. This consistency helps with comparability across different surveys and organizations while also providing customers with a wide range of response options.
Chances are your product performs better for a certain customer segment and worse for another. When analyzing NPS scores, segment your respondents based on demographic or purchase history to get more granular insights and tailor your strategies accordingly.
- Follow up with an open-ended question
Include an open-ended question like "What is the primary reason for your score?" This provides context to the NPS score and helps you understand the underlying reasons for customer satisfaction.
It’s important that you send NPS surveys at relevant touchpoints in the customer journey, such as after a purchase or interaction with customer support. This ensures the experience is still fresh in the customer’s mind.
- Close the loop with detractors
For customers who provide low NPS scores or negative feedback, reach out to address their concerns and show that you're actively working to improve. A personalized approach can help turn detractors into promoters.
Net Promoter Score Analysis
Analyzing Net Promoter Score (NPS) involves several steps to gain meaningful insights into customer loyalty and satisfaction:
1. Categorize responses
Sort survey responses into three categories: Promoters (score 9-10), Passives (score 7-8), and Detractors (score 0-6).
2. Calculate percentages
Determine the percentage of respondents in each category by dividing the number of respondents in each category by the total number of respondents.
3. Calculate NPS
Subtract the percentage of Detractors from the percentage of Promoters to calculate your NPS score. The result will fall within the range of -100 to +100.
NPS = % Promoters - % Detractors
4. Analyze comments
Review open-ended comments provided by respondents. These comments can offer valuable context and insights into why customers gave their scores.
Compare your NPS to industry benchmarks or competitors' scores to gauge your performance relative to others in your market.
6. Analyze the root cause
Dig deeper into the reasons behind low NPS scores. Look at customer feedback, identify common issues, and prioritize areas for improvement.
7. Regular review
Continuously monitor NPS and regularly review feedback to ensure that your improvement efforts are having the desired impact.
Net Promoter Score Software
There are many tools available on the market that will help you run your NPS survey and analyze the responses. You can use survey platforms like Typeform to create and distribute NPS surveys across various channels, including email, websites, and mobile apps. Other tools will help you categorize respondents into Promoters, Passives, and Detractors, visualize your findings, and calculate your NPS score.
With sentiment analysis tools like Essense, you can analyze open-ended questions and customer reviews to gain a deeper understanding of your NPS score drivers. Essense will analyze your unstructured data and extract actionable insights for your business, helping you improve your NPS score and overall customer satisfaction.