Turn your customers into promoters 🎉

Question 1

What is Net Promoter Score (NPS)?

Answer

Net Promoter Score (NPS) is a customer loyalty metric that measures how likely customers are to recommend your product or service to others. It's calculated by asking customers one simple question: 'How likely are you to recommend us to a friend or colleague?' on a scale of 0-10. NPS helps you identify promoters (9-10), passives (7-8), and detractors (0-6).

Question 2

How do you calculate NPS?

Answer

NPS is calculated by subtracting the percentage of detractors from the percentage of promoters. The formula is: NPS = % Promoters - % Detractors. For example, if 50% of respondents are promoters and 20% are detractors, your NPS would be 30. Scores can range from -100 to +100, with higher scores indicating better customer loyalty.

Question 3

What is a good NPS score?

Answer

NPS scores vary by industry, but generally: 0-30 is considered good, 30-50 is very good, 50+ is excellent, and 70+ is world-class. You can use our NPS benchmark calculator to compare your score with industry averages. The key is to focus on improving your score over time rather than just achieving a specific number.

Question 4

How often should you measure NPS?

Answer

The frequency of NPS measurement depends on your business model and customer lifecycle. Most companies measure NPS quarterly or bi-annually. However, you might want to measure more frequently (monthly) if you're in a fast-changing industry or have a short customer lifecycle. The important thing is to be consistent with your measurement timing.

Question 5

What's the difference between NPS and CSAT?

Answer

NPS measures customer loyalty and likelihood to recommend, while CSAT (Customer Satisfaction Score) measures satisfaction with a specific interaction or experience. NPS is more predictive of business growth and customer retention, while CSAT is better for measuring immediate satisfaction with products or services. Many companies use both metrics together.

Question 6

How can I improve my NPS score?

Answer

To improve your NPS score: 1) Focus on turning detractors into promoters by addressing their concerns, 2) Follow up with detractors to understand their issues, 3) Leverage promoters to spread positive word-of-mouth, 4) Improve your product or service based on feedback, 5) Create a customer-centric culture, and 6) Measure NPS consistently to track progress over time.

Question 7

Should I ask follow-up questions with NPS?

Answer

Yes, follow-up questions are crucial for NPS surveys. Ask 'Why did you give us this score?' to understand the reasoning behind the rating. This qualitative feedback helps you identify specific areas for improvement and provides actionable insights to turn detractors into promoters and passives into promoters.

Question 8

Can I use NPS for employee surveys?

Answer

Yes, NPS can be adapted for employee surveys by asking 'How likely are you to recommend this company as a place to work?' This is called eNPS (Employee Net Promoter Score) and helps measure employee satisfaction and loyalty. It's a valuable metric for HR teams to understand employee engagement and retention.