For ecommerce businesses, customers are your sustenance – the life blood of your organization. You know your customers want what you have to offer when they make a purchase.
But, do you really know how they feel about your online business? You may think they’re all happy, satisfied customers, especially if you continue to sell your products and services.
Yet, without actually asking your customers, you don’t really know how they feel about you, whether they’d recommend you to others, or come back to buy from you again.
This is where your Net Promoter Score (NPS) comes in.
In this article we answer the question, “What is the average NPS score for ecommerce stores?” First, let’s define a good score.
What Makes a Good Net Promoter Score?
This is a bit of a loaded question since it really is industry-specific and often location-specific.
So, when benchmarking your score, you want to look at others in the same industry to see where you fall. But first, let’s talk about the range so you know what to expect.
Your NPS score measures the loyalty between your customers and your company, and the range can be -100 on the low end and +100 on the high end. This means the higher your number, the more loyal your customers are to you, and the lower your number, the more likely they are to move on to the next ecommerce business.
What does it mean if your score is -100? It means that every one of your customers is a detractor. If your score is +100, it means every one of your customers is a promoter.
If the score falls over 0, you have actual loyal customers who will promote you. If it falls below 0, you’ve got some serious work to do.
What Is a Good Net Promoter Score?
Considering what we mentioned earlier, you can look at the following to decide on your NPS score goal:
- A score between 0-30 is considered good because more of your customers are loyal than not loyal.
- A score between 30-70 is great.
- If your score is between 70-100, you can celebrate because you are doing everything right, and your score is excellent.
- A score from -100-0 means you have a lot of work to do to improve your customer service and perhaps even your products. You need to work to improve your overall customer satisfaction.
Basically, the higher your NPS score, the better your company is doing. You are probably increasing revenue on a regular basis and seeing a great deal of repeat business on your website.
What Is a Good Net Promoter Score for Ecommerce Stores?
Satmetrix says the average NPS score for online shopping retailers is 45. That’s a pretty good score.
So, using that benchmark, if your score falls below that, you are doing worse than the average. But, if your score is over 45, you are doing better than most ecommerce businesses.
Do drill down a bit more, though. Research the average NPS score for your particular brand of ecommerce whether that’s a clothing retailer, software provider, furniture retailer, and others. You will find the scores vary by industry, so use yours to find out a baseline.
Uncover the Industry Average
The best way to understand the relevance of your Net Promoter Score is to compare it with the average scores in your industry and also among your direct competitors. (tweet this)
You’ll find this a more accurate assessment than just benchmarking it across large swaths of the country.
Know your market as well. Many businesses overall have lower NPS Scores. For example, insurance companies tend to have lower NPS scores because their customers aren’t always happy.
If you sell baby clothes, don’t compare yourself to an online mattress retailer because your results won’t be accurate enough.
Consider the Survey Channel
One thing worth noting is that your survey channel can affect your NPS Score.
It’s important to look at your score overall as well as per channel. This means knowing your score for email surveys, website surveys, and text surveys because it can have an impact on your score.
Ways to Improve
As an ecommerce retailer, you want to always be looking for ways to improve your score and overall customer loyalty and satisfaction.
Use the average NPS benchmarks to figure a range for your score, and then use it to improve from there.
Then, the best thing to do is to use your own NPS Score as your benchmark work to increase it. It’s worth noting that the best score is the score that is higher than your last one. That is your best benchmark.
Consider sending surveys every three months. Try to increase your score by 10% every time. For example, if your score is 20 this month, in three months, you want a score of 22.
A score that is continually rising means you’re paying attention to customer service and overall customer happiness. It means you’re working toward a goal of customer satisfaction and ultimately higher sales.
If your NPS Score decreases, it’s time to round up your team and have a brainstorming session. This is a red light, and one to be taken seriously. It’s imperative that you turn your score around if you want to continue to build your business.
Don’t take your first NPS Score as doom and gloom if it comes on the negative side. Use it as an opportunity for growth.
And, if your score comes in at a low positive number, don’t stop there. Every business should strive for that elusive 100. While that is a lofty goal, your mission should be to improve your score every time you send a survey.
Make customer service and satisfaction a priority for your business and your staff. Act on any positive and negative customer feedback and make changes for the better.
If you are continually working to improve your overall customer service, your NPS Score will fall right into place. You’ll find your business growing and succeeding with the help of your most loyal customers.
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Images: Brooke Lark on Unsplash