09 Nov
NPS feedback is the most preferred customer experience KPI among all user feedback types, according to Lumoa.
It provides you with valuable insight into what your customers think about your product – the positives, negatives, lovers, and haters. But it’s not as easy as sending an email to your whole user base with a survey attached.
The competition in B2B SaaS is always increasing. Understanding user sentiment around your product can save you hours of research effort and help you determine if you’re on the right track or need to pivot.
NPS is a tried and true method. But how can you be sure you’re getting significant response rates and properly analyzing the data?
This guide will focus on specific, practical ways to turn your NPS campaign into a powerful business tool. This is a great place to start planning your effort, whether you’re new to NPS or an experienced user looking to improve.
Why Is It Useful to Conduct NPS Continuously?
Net Promoter Score not only measures user loyalty and provides useful feedback, but it also provides signals and predictability about churn, customer retention, and income.
Furthermore, NPS is directly related to revenue. According to the London School of Economics, an increase in NPS of 7 corresponds to a 1% increase in revenue.
Retention, according to ProfitWell, is one of the most important factors in predicting a startup’s future success. Patrick, the founder of ProfitWell, came to the conclusion that it is now more important than ever to fight poor retention. Mainly because:
- The market is no longer our ally; hundreds of new businesses are launched every day.
- Customer Acquisition Cost (CAC) is skyrocketing, having climbed by more than 60% in the previous five years. So, if you required $1000 to gain a new client five years ago, you’d need $1600 now.
- WTP (Willingness to Pay) and happiness among consumers have decreased over time; according to ProfitWell, WTP has dropped from 110 percent to 30 percent in the previous four years. Five years ago, the average NPS was 33.8, but today it’s just 10.2.
As a result of all of this, fighting low retention is not only more effective but also less expensive.
Currently, the cost of acquiring new customers is five times higher than the cost of keeping an existing customer.
These are the reasons why incorporating NPS into your customer experience flow and executing some of the NPS survey best practices we will discuss below is more important than ever.
Best Practices for NPS Surveys – What to Do for Great Results
This is not an average “guide” that aims to educate you on how to create NPS or why it’s important to use it, as we said at the beginning. Of course, we mentioned it (it’s important), but our purpose is to provide you with the best practices for NPS surveys.
Our goal is to assist you in getting the most out of your NPS campaigns, gain valuable feedback, satisfy your customers, and ultimately increase customer retention and revenue.
So, here are some of the best NPS survey strategies that we have found over the years:
Customize Your NPS Survey
Because survey response rates are never 100%, reducing the friction of the process is essential for a successful campaign.
Customize your NPS survey’s colors, fonts, and word sizes so that it looks like it belongs to your product.
To avoid the survey blending into your app and being disregarded, select a contrasting or eye-catching color.
Make sure your NPS survey accurately reflects your brand, messaging, and use cases. You should, however, pay attention to the content itself in addition to the style. Check to see whether your NPS survey matches your target audience.
Send NPS Survey To The Right Number Of Customers
If you want statistically meaningful results, you’ll need to figure out the optimum number of users who will view the NPS survey without any context – particularly if you’re conducting it in bulk.
The good news is that you won’t have to worry about this part if you’re going to create context-driven NPS surveys, especially when a large enough number of individuals will eventually go through the same user onboarding procedure and view your NPS survey.
If you’re sending out surveys in bulk (for example, if you want to poll customers who have been with you for more than two years), be sure you have enough people to ask.
Both small and large groups can provide statistically incorrect data.
According to Genroe, most companies get response rates of 15 to 25%. Thus it’s up to you to decide if 15% of your users is statistically significant. So keep this in mind while selecting the target group from whom you wish to gather feedback.
Use NPS Surveys at the Right Stages in the User Journey
The easiest approach to send your NPS survey is to have it triggered by certain in-app experiences, activities, or user behaviors.
As a result, user onboarding, NPS surveys, and other milestones must coexist rather than compete.
One of the best NPS in-app practices is to obtain feedback following significant product milestones, such as:
When your clients have fully adopted your product, this is the point at which they have activated all features and started to use them on a regular basis.
After you’ve celebrated success – The word “success” might mean different things depending on your product’s use cases. For CRMs, this may be sending the initial email campaign. It might be finding the 50th email address for email-finding tools.
NPS surveys don’t have to be triggered by in-app actions if they have a specific date defined. They may also be triggered based on the amount of time a user spends on the product. You may, for example, send your NPS survey ten days after your customers begin using your product or two days before the trial ends.
Send NPS Surveys Both Through Transactional Emails And In-App
You have the option of sending your NPS surveys through an app or transactional emails. Alternatively, sending across both places at the same time may be the best solution in certain cases.
Conclusion
As you may already know, the NPS survey is one of the best ways to determine your customers’ loyalty to your brand, gather valuable feedback, and expect churn and retention.
We’ve discussed NPS best practices in this article to help you get better results, increase engagement, and enhance your survey engagement rates.
Now that you have everything you need to start collecting effective NPS feedback, it’s time to get started.
