Monica recently noticed a sharp decline in customer loyalty. Though her business still makes sales, she has a hard time retaining customers. Finally, she realizes it’s because her customers routinely have a poor experience with her company.
Monica would have figured this out much earlier if she took the time to survey customers (there are plenty of free online survey tools) on their feelings about her company. More specifically, she could have conducted a net promoter score (NPS) survey.
Just like Monica, you can use NPS forms to learn how your customers perceive you. But what is net promoter score, and how can you calculate it? Keep reading to find out. Then to get more digital marketing tips that will propel your business to the top of the industry food chain, subscribe to Revenue Weekly!
What is net promoter score?
Before we get into anything else, let’s address our initial question: What is net promoter score?
Net promoter score (NPS) is a metric that indicates the quality of the average customer’s experience with your business. This metric is tracked by asking a large sample of customers to rate their experience with your company on a scale from 0 to 10.
The total results of this question give you an indication of how people feel about your business, and helps you predict the success of your company going forward.
How to research NPS
We’ve established that the way to research your NPS is to ask the aforementioned question, but in what context? Where and how should you ask that question of your customers?
The answer is twofold, as there are a couple of different ways you can go about it:
Relational programs
The first way to research your NPS is through relational programs. These survey programs are regularly and widely scheduled. With this program, you’ll send out a survey to all your customers on a routine basis, like once a quarter or a year.
Using relational programs will help you get a perspective on your customer base at once, and will help you more easily track the way your NPS changes over time.
Transactional programs
The second method of researching your NPS is to use transactional programs. These programs involve sending out NPS surveys in response to specific customer actions.
For example, if someone makes a purchase on your website, you could include an NPS form in the checkout process. Likewise, if someone makes a phone call to your business, you can end the call by having them respond to an NPS questionnaire via the keypad on their phone.
Questions to include in an NPS form
We’ve already mentioned the most essential element of an NPS survey — namely, the question that asks users to rate their experience with you on a scale from 0 to 10. But what else should an NPS form contain?
These forms shouldn’t be long or complex. That said, here are some additional things to ask users:
- Demographics (age, location, etc.)
- Reason for their rating
- Recommendations on what your business could do better
Each of those will help you get a more comprehensive picture of your results and figure out how to improve them.
Also, note that there are multiple ways to phrase the key question. You could ask users to rate their “experience with [your business],” but you could also ask them to “rate how likely [they] are to recommend [your business] to a friend.” In either case, though, make sure you use a scale of 0 to 10.
How to calculate NPS
Calculating your net promoter score is simple. First, though, you need to know that the scale of 0 to 10 is divided into three sections:
- Promoters (9–10)
- Passives (7–8)
- Detractors (0–6)
Promoters are very satisfied with you, passives are neutral, and detractors are in some way dissatisfied.
To calculate your NPS, subtract the percentage of detractors from the percentage of promoters. The highest possible score is 100 (if all your results are promoters), and the lowest is -100 (if all your results are detractors).
So, let’s say your NPS results for a given period were 30% promoters, 50% passives, and 20% detractors. You would ignore the 50% passives, and then subtract the 20% detractors from the 30% promoters (30-20).
The result would be a score of 10. Anything over zero is good, as it means you have more promoters than detractors. That said, the higher your score goes, the better.
What can you measure with NPS?
While the key question included in NPS surveys is simple, there are actually several ways you can use it. It’s good for more than just measuring overall customer satisfaction. You can also use it to measure people’s views on other aspects of your business.
For example, you could use it for specific products, asking people how likely they are to recommend that product to a friend. You could also use it to rank people’s satisfaction with an interaction with customer service.
In fact, you don’t have to use it exclusively for customers. You can also send NPS forms out to your employees to get feedback from them on how the company is treating them. Of course, make sure those forms are anonymous.
3 quick tips for tracking your net promoter score
Before we wrap up, let’s cover just a few quick tips to keep in mind when conducting NPS surveys:
1. Implement comments from your surveys
Make sure to pay attention to more than just the numbers — your customers’ comments also matter! You won’t have much luck improving your NPS if you don’t pay attention to what users say you could be doing better.
Take their feedback and implement it into your business practices going forward.
2. Segment your audience
Consider segmenting your audience when you gather your NPS results. That’s where the demographics question on your forms comes in handy — you can see how different groups of people and various locations produce different responses.
You can then use that information to help you understand what you could do better.
3. Track changes in your NPS results over time
Make sure you keep up with the way your NPS results change over time. If you see your NPS spike during a particular month or quarter, think about what you may have done that quarter to make your customers happy. Then consider how you can replicate that success.
Likewise, if your score drops, investigate what you did that would cause problems for users, and then take steps to fix it.
Hear from HydroWorx, who saw a 236% increase in organic sessions with WebFX services.WebFX is a partner businesses trust.
Get help boosting your net promoter score with WebFX
Looking for help boosting your NPS from professionals you can trust? Look no further than WebFX! We’ve earned over 1020 testimonials from happy clients, and we’d love to provide you with the same stellar service.
With our review management services, you’ll get help managing your reputation online via reviews and testimonials. That will boost your net promoter score significantly. You’ll also receive a dedicated account representative to keep you updated on everything we do for you.
To get started with us, just call 888-601-5359 or contact us online today!
Related Resources
- Total Addressable Market (TAM): What Is It and How Can You Calculate It?
- What Is Consumer Marketing?
- What Is a Marketing Mix? Your Quick Reference to the 4 Ps of Marketing
- What Is a QBR and How Can It Benefit Your Business?
- Digital Marketing Terminology: Your Introductory Guide
- What is a Product-Qualified Lead (PQL)? A Beginner’s Guide
- What is an Ideal Customer Profile (ICP)? A Complete Guide
Marketing Tips for Niche Industries
- 7 Automotive Marketing Ideas to Win More Customers in 2023
- 6 Travel Marketing Ideas to Attract Tourists in 2023
- Digital Marketing for Co-Ops: How to Grow Your Co-Op Online
- 50 Mind-Blowing Healthcare Marketing Statistics for 2023
- 7 Digital Marketing Ideas for Furniture Stores
- 6 Patient Marketing Strategies for Medical Practices
- 70+ Retail Statistics Marketers Should Know in 2023
- industrial marketing statistics
- Digital Marketing for Nutritionists and Dieticians
How is your website’s SEO?
Use our free tool to get your score calculated in under 60 seconds.
Continue Reading
Get posts by email
Join 200,000 marketing managers and subscribe to Revenue Weekly!
"*" indicates required fields
WebFX Careers
Join our mission to provide industry-leading digital marketing services to businesses around the globe - all while building your personal knowledge and growing as an individual.