NPS score

What is a NPS Score, and Why is it Important?

Survey Tips

For businesses who like to know what their customers think about their company, the NPS Score is an important tool.

But, you may ask, “What is a NPS Score, and why is it important?”

In this article, we look at the NPS Score survey and how it can benefit your business.

What is the NPS Score?

NPS stands for Net Promoter Score. It measures customer satisfaction.

This score comes from the Net Promoter Survey, and it’s a really simple, one question survey.

All you do is ask your customers this question: “How likely are you on a scale of 0-10 to recommend our (name of business/products/services) to your friends, family, or colleagues?”

This is what your answers mean:

  • Those who choose between 0-6 on the scale are called detractors.
  • People who answer with a 7 or 8 are neutral or passive to your business.
  • Respondents who choose a 9 or a 10 are your promoters.

To get your NPS Score, you subtract the percentage of detractors from the percentage of promoters, and you have your answer. You completely ignore those who answer with a seven or eight.

The higher your score, the better you did.

Why is it Important?

Overall, the Net Promoter Score is important to your business because it provides a big-picture look at your customer loyalty. (tweet this)

You can see how this separates you from the competition, and it helps you see where you can improve.

The NPS Score also shows you how specific departments in your company are doing so everyone is getting equally high scores.

Plus, if you use the NPS Score, and you use it as a key indicator of how well your company is doing, you’ll see it helps drive your business growth as you work to improve your score.

For example, if your first score is under eight, and you make a plan for improvement, you can resend the survey six months later and see if your score grows.

The NPS Score Works

We like the NPS for many reasons, one of which is that you can gauge company success by this score.

Those people rated as promoters (score of nine or ten) are much more likely to be repeat customers. You are in essence closing the funnel because you are locking in future business.

So, by aiming for a promoter rating, you are helping ensure your success.

In addition, we like the score because it lets you know if you can count on word of mouth.

Hands down, word of mouth referrals are the most important piece of your marketing strategy. Word of mouth is better than any marketing strategy you can come up with.

In our hyper-digital age, people want to know what others think. They even trust the word of strangers. So, the more promoters you have promoting your business, the better.

Because you value the NPS Score, you can work hard for your nine or ten score, and if you do, you’ll know that the referral is right around the corner.

Best practices are to track your NPS Score on a regular basis, compare the results over time, strategize for improvement and continue to evaluate the data.

Final Thoughts

The business environment is increasingly crowded, and it’s more important than ever before to not only get new customers but retain your current ones.

The best way to increase your business is to keep your customer base so happy that they’ll share how much they like you with friends and family.

The Net Promoter Score is the best gauge of customer satisfaction and one you can use to determine how content your customers are with your products and services.

Bottom line – the NPS helps you understand if your customers would recommend you to others. If your score is under eight, you’ve got some evaluating to do.

A low score means you need to have frank discussions about your products, customer service, and overall processes. Your goal is to get your score to nine or ten.

If your score is already a nine or ten, you still want to have a strategy session to make sure you carry on and provide for your customers, so they continue to sing your praises.

Surveys help you make the best decisions for your business. Are you ready to get started with your free Survey Town trial? Start with your free account today, and you can upgrade at any time.

Image: Glenn Carstens-Peters on Unsplash

5 Smart Ways to Improve Your NPS Score

Survey Tips

Are you ready to supercharge your Net Promoter Score (NPS)?

As the game-changing survey, you’ll find that the NPS is the single best way to gauge your customers’ loyalty and find out how willing they are to talk positively about you to family and friends.

In this article, we look at five smart ways to improve your NPS score so you can make your customers happier and increase retention. 

#1: Concentrate on Service

In this day and age, your customers expect incredible customer service. Make sure their experience is seamless and easy. Don’t waste their time and make sure your employees keep the customer at the forefront.

In addition, resolve any conflicts quickly. 

#2: Engage Your Staff

Happy employees mean happy customers.

Treat your employees great, and you can be sure they’ll pass on the good service. An employee who is content at a job is more likely to share those good feelings and culture with your customers. (tweet this)

#3: Listen to Phone Calls

You can improve your NPS by listening to customer calls or watching employee/customer interactions at your place of business.

If an employee falls short, it’s time for some extra training.

#4: Provide Ongoing Training

Customer service training should go on all year long and not just once a year or at new hire on-boarding.

Create a culture of service by working on it on a daily basis.

#5: Say Thank You

You should of course say thank you in your NPS survey, but you also want to consider saying thank you after the results come in.

There are several options for thanking your customers for completing a survey. One way is to send a thank you email, but if you really want to impress, and you know your customer’s name, send them a hand-written note through the mail.

Final Thoughts

Surveys have their place for any business, especially when you want to know how your customers feel about your products and your service.

NPS surveys are important, too, as they give you a clear picture of how your customers feel about you. It helps you learn if you’re excelling or falling short. It also lets you know very specifically if you can count on your customers to be brand advocates, which is important to your overall marketing and growth strategy.

Surveys help you make the best decisions for your business. Are you ready to get started with your free Survey Town trial? Start with your free account today, and you can upgrade at any time.

Image: Andy Beales on Unsplash

NPS Score: Measuring Customer Satisfaction

Survey Tips

For businesses today, the single most affirming action a customer can make is to come back to your business again. This is one of the true measures of customer satisfaction.

Your goal as a business owner is to ensure your customer’s happiness so they’ll return for a visit.

Right along with this and just as important is knowing your happy customers will tell others about you, and this is where the NPS (Net Promoter Score) comes in. An effective way to measure this is by actively asking for feedback through the Net Promoter Survey.

In this article, we look at the NPS survey and how it relates to the customer satisfaction survey.

NPS and Customer Satisfaction Surveys

The Net Promoter Score is often calculated separately from the customer satisfaction survey, but it can also be part of it.

Remember that the Net Promoter Score survey is the way you learn your customer’s willingness to recommend your business to others.

It includes one question, ““How likely is it that you would recommend x business to a friend or colleague?” The NPS survey uses a 0-to-10-point rating scale and people are categorized as either promoters, passives or detractors.

On the other hand, the customer satisfaction survey gauges how your customers feel about your services (both positively and negatively).

The customer satisfaction survey normally has five-10 questions, uses a ratings scale of one to 10, and queries the customer on their experience, satisfaction and service delivery. It aims to find out how happy your customers are.

The customer satisfaction survey needs to ask more questions to come up with an overall rating, while the NPS only needs to ask one question.

Final Thoughts

The NPS survey and the customer satisfaction survey aren’t really interchangeable, but they can be used in unison when measuring customer satisfaction. (tweet this)

So, which is better? It could be that the two surveys complement one another. You might embed the NPS question in the customer satisfaction survey to give your team on overall view of the customer’s satisfaction as well as their likelihood to recommend you.

Surveys help you make the best decisions for your business. Are you ready to get started with your free Survey Town trial? Start with your free account today, and you can upgrade at any time.

Image:  Mira Bozhko on Unsplash

NPS Score: Why It’s Good To Use

Survey Tips

The Net Promoter (NPS) Score is the single best question to ask respondents because it not only helps you gauge customer loyalty, but it helps you learn whether your customers appreciate you so much they’d tell other people about you.

The NPS question is this: “How likely is it that you would recommend our business to someone else.”

Let’s look at the NPS score and why it’s good to use.

It Measures Repeat Business

With one simple question, you can determine if your customers will shop with you again.

It’s a great tool for forecasting your business growth potential.

The NPS score measures the likelihood of repeat business while at the same time measuring the probability of new business. (tweet this) For example, if a customer responds high on the positivity scale, you know they’ll be back, and they’ll recommend you to others. 

It’s Easy to Implement

What could be easier for respondents than a one question survey?

The NPS Score is simple, straightforward and lightning quick for your survey takers. All you want to know is how likely they are to recommend your business to a friend. 

It Helps You Track Change

Let’s say that your first NPS Score didn’t reveal great results.

You go back to the drawing board and fine tune your customer service policies. You train your staff and provide ongoing refreshers. Finally, you begin instilling the thank you culture into your business model.

It’s six months later, and you send out another survey, and the results are much improved.

By using your NPS Score, you can survey customers twice a year to see if your improvements are working. If they aren’t, you can again make changes. 

Final Thoughts

Start the process in your business today and use the Net Promoter Score as part of your overall marketing strategy and business growth plan.

You’ll gain valuable insights about the customer experience and learn where you need to improve.

Use the NPS Score to improve your customer service and your processes for the absolute best customer relationships and to ultimately grow your business.

Surveys help you make the best decisions for your business. Are you ready to get started with your free Survey Town trial? Start with your free account today, and you can upgrade at any time.

Image: Mpho Mojapelo on Unsplash