NPS (Net Promoter Score) is an industry standard for measuring customer loyalty and tells how likely your customers would recommend your product or services to other people. It helps you understand your customers' referral behavior and is a predictor of your customer growth.
A simple formula aggregates your NPS survey data into an NPS score. The score is calculated by taking the percentage of promoters and subtracting the percentage of detractors.
Based on the score that customers provide on a scale of zero to ten, you can categorize them into the following types:
- Promoters: Promoters are loyal customers who are enthusiastic about your product or service and share positive opinions. It is highly likely for promoters to recommend your product or services to other people.
- Detractors: Detractors are unlikely to recommend your product or service to others or buy from you again. They may even discourage others from purchasing from you.
- Passives: Passives are customers who are uncertain about your product or services and do not usually impact your business.
To learn how you can send an NPS survey, see this article.
This guide explains a few best practices you can follow to analyze your NPS results and strategies you can follow to improve your NPS over a period of time.
How to analyze NPS
Analyzing the NPS results and associated data can help you understand your customer’s behavior and strategize concrete actionable plans to improve your NPS scores.
Consider the following points while analyzing the NPS results:
Understand NPS results
NPS is a measure of your customer's overall loyalty to your company. The score is calculated by taking the percentage of promoters and subtracting the percentage of detractors and ranges from -100 to 100.
To understand whether your NPS is good or not, you can treat your first set of NPS results as a baseline. You may even have a negative or 0 scores at the beginning. Focus on your customer's feedback and improve your NPS over time.
View your NPS scores
Once you start receiving surveys filled by your customers, you can view them from the reporting section. To view your NPS score, go to Reporting > Post-chat Survey. Select the appropriate Campaign and Time range if you have Multiple Campaigns enabled.
You can then view your NPS for the selected campaign and time range.
You can download the data in a CSV file to understand your percentages of promoters, passives, and detractors.
Create a customer list of promoters, passives, or detractors
Analyzing NPS becomes easier when you categorize the data based on types (promoters, passives, detractors) and take actions accordingly. You can also categorize the data in Comm100’s NPS history based on a rating scale data of 0 -10.
Categorizing the data can help analyze and plan improvements for a specific customer segment. Here is an example of filtering the promoters on a given day.
Analyze the chat transcripts based on the customer list
When the NPS data starts pouring in, you can consider analyzing the chat transcripts, customer comments, ratings, and so forth to understand what improvements are needed from your end. To analyze the chat transcripts, navigate to Live Chat > History > Chats.
Use the New Filter option to filter data for the campaign that you wish to analyze. When the filer applies successfully, click on the Export All or Details option to further understand the data based on your requirements.
Read the chat transcript to gain an understanding of what went good, bad, or unresponsive.
Take actions based on your analysis
Once you are done analyzing the NPS results, it is time to plan and take adequate actions. Focus on your customer’s feedback and ways that you can improve your NPS score over time.
Strategies to improve NPS
Analyzing the NPS results alone cannot help improve them. Once the results and insights are available, you would need to take appropriate actions to improve your customer's experience, which will improve your NPS.
Consider the following strategies while planning actions for improving your NPS:
Create a cross-departmental team, including all relevant teams
Improving the NPS of your organization is a team effort. You must consider and involve all teams from product to support to sales and marketing. Share your customer feedback from your NPS surveys with your entire organization. Once you share the survey, set up a cross-departmental task force to create an action plan to address and resolve current customer complaints and issues.
Improve your products & services
An important aspect of the NPS improvement plan is to enhance the products and services. A high NPS score indicates that more customers are happy with the brand and are much more likely to recommend it because they like the products and services.
To improve the net promoter score, consider upgrading the products and services:
- Good products and services develop a positive perception and increase customer satisfaction.
- A better experience with your brand encourages customers to remain with your product or services for a lifetime.
Create a plan of action
After analyzing your NPS results, you can understand why your detractors create risks, what keeps your passives from recommending you, and why your promoters love your product or services.
Consider the following three-fold plan while taking actions to improve the NPS:
- Find the cause of dissatisfaction for your passives and work towards resolving them. If their issues are addressed and resolved, you can turn the passives to promoters.
- For your detractors, focus on the ones who have rated you with the least scores, and work on trying to convert them at least to the passive group.
- Lastly, do not forget about your promoters. Understand why they love your product or service and make sure they continue to receive that same experience.
Make use of your cross-departmental team, and you can work to improve your product, provide an excellent onboarding experience, level up customer care, or address whatever issues that hinder your customer's experience.
Reach out to a specific customer list
Consider reaching out to a specific customer list. If you analyze that the number of passives or detractors is more than the promoters, you can consider doing a follow-up with this specific customer list. When you analyze the data from the History section, reach out to these customers by sending them an email to understand more about what exactly went wrong. This will help build your customer’s trust and can help convert the detractors to passives or the passives to promoters.
Analyze customer feedback regularly to improve NPS
Keep a regular check on the NPS scores. It is a crucial way to improve the net promoter score. If your scores are consistently good, you still need to monitor and measure them regularly. Improve continuously based on the score results, and you can witness positive results. Failing to keep a constant track of the NPS score can impact your customer's loyalty. The core of NPS rests in the customer insights gained through surveys. Use these insights to develop strategies to improve customer loyalty.
Improving your NPS means converting your passives and detractors into promoters with your efforts and keeping your promoters happy. To do that, you need to offer an excellent customer experience that includes a prompt response, valuing customer feedback, and providing consistent service across all your teams.
If you need any help to understand how you can send an NPS survey, how you can analyze the NPS data, or keep up with the industry best practices, you can always chat with us!