What is NPS?
If you ever run a business and want to get some useful feedback, you try to get it directly from your customer base. This can come in the form of open feedback or a survey with several questions. These questions ask about their experience. What was done well, what can be done better etc.
You can also provide a way for them to leave reviews online. But in the end, all of these end up being biased points of information. You don’t know if you are doing well or not.
Why Net Promoter was created
Net Promoter Score (NPS) was created as a way to get a metric of how your customers see your business. Just one question is posed to them which is “How likely are you to recommend (business, product, or service) to your friends or colleagues?”. This then is scaled between zero through ten.
The reason why this question is so important is that it forces a person to become either a promoter or not of someone else’s business. That means you are asking your customer to recommend this to people. People they value and who value his or her opinion. This level of authenticity is why NPS is such a great measurement tool.
How the scoring works
If your customer gave any score from 0-6 – they are called what is known as detractors. They are not happy with your business and its product or service offering. They would also not consider you again when making a similar purchase.
If your customer gave a score of 7 or 8, they are called passive customers. They like your service enough. They may use it again, but if there’s a new or better option available, there’s a good chance they will switch over to a competitor.
If your customer gave a score of either 9 or 10, that puts them well into the promoter range. This means they love your product or service so much, they are completely fine with recommending it. Talking well about it to others as a high value and authentic recommendation. These are the results you want.
How To Calculate Your NPS
Now that you have all those surveys completed you can easily calculate your own NPS. You do this by taking the percentage of respondents who gave you a 9 or 10. Then you subtract the percentage of respondents who gave you anything from 0 to 6. You completely ignore the passive category in your calculations, as they are eliminated due to the fact they could easily go up or down.
For example, if 90% of respondents gave you a 9 or 10, you got no 7 or 8 scores, and your 0 to 6 scores were the remaining 10%, you would simply take 90-10 and your NPS is 80, which is also extremely good.
How often should I give out this survey?
That’s really up to you, and how you’re able to handle the processing. Because it’s really only one question, people will be more open to filling it out for you. As opposed to traditionally longer surveys where people have statistically only filled it out to give amazing reviews. Alternatelyas a form of complaint, so you get either extreme end of the survey result spectrum.
There are two major ways to collect information. It’s important to stick to one type to ensure that there’s no possibility of favoritism. Also so it doesn’t allow difficult customers to fill out the survey. The first way is transactional This means that every time someone makes a purchase, they will be asked to fill out this survey. This is a great way to collect a lot of data. In the process it will help get you a proper NPS score with the sheer number of data points.
The other way is to do it in a timed manner. This means sending out an NPS survey on a monthly, quarterly, or even annual basis. This is great as well because it gets you a more in-depth response pool. Giving you reactions from people that have not just directly made a purchase. The only issue here is gathering the initial emails and/or contact information to be able to send out the message to those people.
What delivery method should I use?
You can go a traditional route and ask for people to fill in after a transaction. However, that may not always be appropriate. This is because the person may want to leave after obtaining their product or service. Another method is to work with some online software that can help automate the survey process for you.
You will be expected to get a lot of survey results. Again due to the fact that it is only one question and that means it’s easier for a customer to be asked to fill one out. Now it’s all about finding the right type of tool.
Common Survey Tools Often Isn’t Enough
Common survey tools offer a lot of different bundles of surveys. They add a lot of noise when you are trying to find out if the customer would recommend you or not. Another issue is that not all of them really automate the process as much as is needed. They may send out the survey, but then it’ll simply collect the information for you. You’ll still need to extract or calculate the results.
That’s where sekker.io comes in. This tool is built with a complete focus on NPS survey creation and automation. It offers multiple channels to enable a seamless experience for your customers online. It’s done through either a link, embedding it into your site, email distribution, or even a QR code for you to make use whether it’s online or offline.
Sekker will also collect the data and give you a live NPS for you to work with. This will display surveys coming in and are added to the calculation. It is a tool that is focused on that main item so that you can focus on your business.
It doesn’t stop there but also helps collect feedback (when received). Combined with AI text analysis it offers up some amazing dashboards. Showcasing reports for you to see if your customers would recommend you to a friend or colleague. But also what they’re saying about your business when they offer up a score for you.