NPS or Net promoter score is one of the many scoring methods companies use to measure the experience and satisfaction of a customer toward a business. The higher this NPS score, the customer is more likely to keep using the company, as well as recommend it to other people. NPS is a system by which one can understand or see how loyal and happy customers are towards a company or a brand. The ultimate goal of NPS is to gather more customers who would promote their products and services.

This sort of promotion can be achieved both directly and indirectly. For example, if you have a Sony TV at your house and people who come to your house can see that, it’s a form of indirect promotion whereas if a friend of yours asks you what TV he or she should buy and you convince them to buy a Sony TV, that’s a direct promotion.


How is NPS Calculated?

people calculating rating

Net Promoter Score is a common surveying method that you must have come across at least once in your lifetime. It is a scale of 1 to 10 consisting of only one question which is presented to you through an ad or directly when you buy a product. Typically the question would ask you how likely you are going to suggest or recommend a brand to your friends, family, or colleague.

The customer rates the brand from 1 to 10, 10 being the most likely to suggest and recommend the brand to other people and 1 being they are not going to recommend the brand to any family members or friends. Then these responses are grouped into three categories which are:

  1. Promoter: Who has scored you 9 to 10 on the scale and often are considered to be the most loyal customers to your brand and most likely to recommend your brand or services.   
  2. Passive: The people who fall in the 7 to 8 on the scale are normally called passive customers. These sorts of customers are usually satisfied but not necessarily loyal to the brand. There is a possibility that these customers can switch to other brands who are your competitors provided that they get a better deal.
  3. Detractors: These are the customers who are not satisfied with your brand and would not recommend it to any friends or family members. They normally rate your brand between 0 to 6 on this scale.

Therefore, the percentage of promoters after subtracting the percentage of detractors would show you your Net Promoter Score.

There are many Benefits of Tracking customer Net promoter score and improving it, which are: 

  1. Repeat Business: If a promoter promotes your brand to others, then there is a very high possibility that they are going to come back and buy more products from you in near future, making you more profitable and a loyal customer.
  2. Find Potential Improvements: If you apply to the NPS program, you will find many areas where you can improve and adjust. 
  3. Create Brand Awareness: If your customer promotes your brand, it will create a word of mouth and you will find new potential customers looking into your brand and buying your products. 
  4. Automatically Connects your Business: Every part of your company is involved in improving your Net Promoter Score. 

Tips and Tricks for Improving your brands’ Net Promoter Score:

Improving NPS of call centers

You can always improve your NPS score no matter what, the higher your NPS score is, the better it is for your brand. There are many tools that you can use to increase your NPS score and understand your business from a customer perspective. Hence, enhancing the customer experience and their satisfaction which in terms would bring customer loyalty towards your brand. We will mention a few tools that you can use to improve your Net Promoter Score.

  1. Survey Tools: You can send surveys to your current and former customers to find out various things about what they have enjoyed and disliked about your brand.
  2. Automation Tools: This tool sends out personalized and automated messages to your customers with questions you would like to have answers for. It can play a great role to track and improve your Net Promoter Score.
  3. Listening: You can listen to a customer and what they have to say about the brand instead of trying to sell something on the phone. In such conversations asking follow up questions are important as they help understand what customers think about your brand.
  4. Mapping: You can make a chart to see how customers find out about your brand and from there how they purchase a product from you. By creating a visual chart you can understand how you can promote your brand in the future which will create a big impact.


Pro Tips –

Pro tip giving by AI bot

“Your customers should know that you’re deeply invested in their success. NPS helps your company demonstrate this investment by proactively asking for customer feedback which shows that you care about improving their future experience.

The best way to demonstrate this investment is by following through on customer requests. If multiple customers are expressing their displeasure with a product or service, investigate the issue, and provide them with a clear resolution. Don’t make promises you can’t keep, and be transparent when you make mistakes.

Customers appreciate sincerity because it shows that you have their best interest at heart.” – This was said by Nichole Elizabeth Demere, one of the best promoters in the world in her blog at Hubspot.

NPS  is something that you should implement in your business if you are looking to find out new things, create brand awareness, reach new customers in the process by overcoming data silos, and harnessing AI powered speech analytics. NPS measurement cannot be solely used for analysis.

Clubbed with Speech Analytics ,which enables data organization of multiple channels and allows customer interaction analysis alongside survey scores such as NPS, make results reliable.

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