What is the Net Promoter Score and why to use it?

Net Promoter Score (NPS) has become one of the most popular measuring tools among businesses, a standard to indicate satisfaction and loyalty in this subject matter

In December of 2003, Frederick F. Reichheld published in the Harvard Business Review “The one Number you Need to Grow”, an article that would change the history of loyalty measurements from consumers to businesses. 
 
In this article, Reichheld explained how after years of research he crossed the Net promoters of each company (the percentage of promoters minus the percentage of detractors) with the growth rate of the company’s income.  He discovered a surprising correlation between the figures of net promoters and the average growth rate of a company.  
 
Today, the Net Promoter Score (NPS) has become one of the most popular measuring tools among businesses, a standard to indicate satisfaction and loyalty in this subject matter.  
 

 
Why is the NPS so popular?
 
One of the many answers to this question is the simplicity of its execution.  The NPS comes out of one question:  How likely are you to recommend this service/product to a family member or to a friend?  The options are also straightforward: a scale from 1 to 10 in which persons who answer 9 and 10 are promoters; 8 and 7 are neutral and 6, 5, 4, 3, 2 and 1 detractors.
 
From the coefficient of promoters minus detractors the NPS is established, which is quite simple to interpret for all the areas of the company and to compare in time with other competitors.  Nowadays, the majority of the digital companies use it to get to know the users experience and to face sensible matters rapidly.  
 

How to take advantage of the NPS in online questionnaires?
 
Online surveys are the most adequate space to get to know the NPS and measure your client’s satisfaction with your organization, brand, product or service, as well as their level of loyalty.  Here are some considerations that can be helpful to measure your company's NPS.  
 
 
Measure NPS regularly
 
Determinate the moment and the frequency of your survey´s NPS according to the strategic objectives and the customers.  Don’t send a survey too early.  People generally first need to try and experiment a product or brand to develop an opinion.  Schedule your online survey at the right moment.
 
Also, the feeling of the client changes rapidly, generally with the frequency with which the product evolves.  That’s why NPS is a routine measurement, and is often done in trimesters.
 

Evaluate which means to use to ask the questions to calculate the NPS
 
Unlike the surveys that appear like a pop up in the product, the surveys via email offer a less intrusive experience.  They don’t interrupt someone´s workflow to ask a question, plus they allow you to reach more people, including less active users who don’t log in to view the survey, for a more accurate score.  
Additionally, they collect fewer biased opinions for one session in particular.
 

Share the comments about the NPS with all the team
 
Once you get the results, the next step is to act upon them: Follow up with the respondents and share their feedback internally.  You can have periodic reviews of the NPS results by the team or channel answers into more specific tools like a CRM for more specific purposes.
 

Be careful with cultural differences
 
If you have users from more than one country, you have to consider the cultural differences in the way in which people rate on a numerical scale, as that can change the way the NPS segments are defined.  For example, users from Mexico can be more “enthusiastic” and generous than users from Colombia.  In this sense, it rationalizes the NPS by comparing results country by country.
 
Do you want to start measuring the NPS of your company? With Survey Kiwi you will be able to create high impact online surveys and use the NPS function to know the rate of satisfaction and loyalty of your customers.
 
We invite you to visit our website to learn more about NPS and other tools to produce personalized web forms and thus receive key information to enhance the relationship with your customers.  
Create your first online survey in a few steps with  Survey Kiwi!

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