Product Marketing Analyst piHappiness
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How to get customer reviews with NPS surveys

11th Feb 2020
Product Marketing Analyst piHappiness
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NPS surveys

Imagine that you are executing your detailed plans and perfectly marketing your business, and one customer review spoils it all. Customers are extremely important and you are well aware of the fact because you are reading this. Customers are critical for your business growth and improvement. Hence it becomes essential to know about your customers in order to keep them happy and satisfied with your services.

The important part here is to find a medium through which businesses can better know their customers’ needs and expectations and use this crucial information to serve them better.

The solution to this is to create a customer feedback form that collects opinions and expectations from the customers’ previous experiences with the company.

What is NPS?

NPS is Net Promoter Score, a customer feedback app. It is a method derived from the customer survey to measure the loyalty of your customers and how likely they would recommend your business to someone else. Net Promoter Score software is used by companies to analyze and evaluate their customer base.

Net Promoter Score software is a foundational customer feedback application. It is a globally leading metric to measure customer happiness and satisfaction. 

Here are the basic steps to follow while calculating NPS:

Customer survey: The most important part is drafting the customer survey. The survey should consist of carefully drafted questions for customers. The NPS software has a survey that consists of two parts of which the first part is a numerical rating on a scale of 0-10. The question, ‘How likely would you recommend our company to your friend?’ is rated by the customers.

In the second part of the survey, customers can explain their ratings in their own words and ways. This customer feedback here can be later analyzed and used for business improvements.

Grouping the responses: The next step involves grouping the responses from the survey. The customers are categorized based on the rating responses. A score of 0-6 are detractors, 7-8 are passives and 9-10 are promoters.

It is self-explanatory that promoters are the happy, loyal group of customers that would promote your business brand and bring in new customers. Passive customers are indifferent, and in the long run, could turn into promoters or detractors. Detractors are customers who might have had a bad experience with the company. This group could damage the company reputation by negative mouth publicity.

Calculate your NPS score with the customer feedback app

All you need to do is, subtract the percentage of detractors from the percentage of promoters. To achieve a higher Net Protector score, the business should have the number of promoters than detractors.

While analysis of the NPS score, the score in itself isn't sufficient for business improvements. It only gives you an overview of where your company stands in terms of customer feedback. The score only tells if the customers’ expectations are satisfied or not, but doesn't explain why?

This is why it is essential to gather a specific response where the customers justify their score. Adding an optional question can help you gain useful insights on business improvements and processes. This question can tell you what the promoters love, passives and what the detractors dislike. 

Why is NPS important?

Every customer is different and unique. These types of responses and surveys help businesses better evaluate customers’ needs and set goals for the organization. If there is a need for a process change in your business or a needed improvement, you can always work on it with the help of customer feedback. It is always better to retain a loyal customer than acquiring a new one.

Promoters can be given extra discounts and coupon codes, passives can have an extended trial period and detractors can be thanked for their honesty.

Using the NPS to grow: After the complete NPS process, the customer feedback data can be analyzed. Speak up with your happy customers and try engaging them in referral programs, reward systems, discounts, etc. With this, you can retain customer happiness and satisfaction and eventually acquire more customers.

Using the NPS for marketing: Target the happy customers or the promoters that would recommend your product to others and ask them to post an online review. If they recommend you online, it would help grow your online customer base as well.

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