Customer Experience

10 NPS Survey Best Practices to Unlock Customer Insights

Manoj Rana
April 21, 2024
5
min read
10 NPS Survey Best Practices to Unlock Customer Insights
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Did you know that NPS survey best practices can help you measure the loyalty of your brand customers with precision and efficiency? Net Promoter Score (NPS) is one of the most strategic tools for unlocking vital customer insights for modern businesses. However, its full potential can only be utilized if you are well-versed with the intricacies of the NPS implementation and usage. 

Customers demand more than just a functional product in the modern business landscape. They wish to associate with brands that provide an exceptional experience and leave them with higher satisfaction and meaningful connections. That is where the role of NPS comes into play, helping businesses understand what customers need and how they feel about their products. 

Through this blog, let us glance at what NPS is and how to use it efficiently to your benefit. Let us begin!

What is Net Promoter Score and Why is it Important?

NPS, or Net Promoter Score, is a prominent customer experience metric that helps measure customer loyalty and satisfaction with a brand or product. 

Brands send NPS survey to their customers with questions related to their product's workings and likeliness, and the customers rate those questions based on their experience. Based on the survey results, the brands identify the shortcomings of their products and services and improve them for enhanced customer satisfaction. 

For instance, suppose you bought a new smartphone a month ago. Here are a few questions that you might receive through the NPS email survey from the brand:

  • On a scale of 0 to 10, how likely are you to recommend the smartphone to a friend or colleague? [0-6] Unlikely, [7-8] Neutral, and [9-10] Extremely likely.
  • Did you encounter any issues or problems with the smartphone? (Yes/No)
  • How likely are you to purchase another smartphone from our brand in the future? (Very unlikely, Unlikely, Neutral, Likely, Very likely)

Based on the NPS survey response rate, the customers are segmented into the following three categories: 

  1. Detractors (Customers with 0-6 ratings): These are the customers with low response rates who have had a negative experience with your brand or product. Such customers spread negative word about the product and can harm your business's growth.   
  1. Passives (Customers with 7-8 ratings): These have a higher customer satisfaction rate but are not willing to promote or demote your product among their social circles. Such customers have the least impact on your business.
  1. Promoters (Customers with 9-10 ratings): These are the business's favorite customers who have had the best results and experiences of using your products. They are highly likely to promote your products and spread positive feedback for your brand.

How is NPS Calculated? 

To determine the NPS score, you must first find the percentage of detractors, passives, and promoters.

Once you have all the percentages, here is how you can calculate Net Promoter Score:

NPS = Percentage of Promoters Subtract the Percentage of Detractors

(% of Promoters - % of Detractors)

The efficiency of NPS for your product or brand is further analyzed based on the score. A score below 0 or negative is usually considered a bad NPS score and needs improvement. A score ranging between 0-30 is regarded as a good NPS score. 

A score between 30-60 is considered a great NPS score. Lastly, an NPS score of 60 or above is identified as an excellent score for businesses. 

Why is NPS an Important Business Growth Indicator?

Net Promoter Score survey is a great way to ensure positive growth for your business. Here are some of the reasons why it is vital for businesses: 

  1. Customer Loyalty Measurement 

Modern businesses constantly look for measures that help build higher customer loyalty and retention rates. And NPS is a tremendous and efficient way to achieve that. NPS allows businesses to understand what are the customer's actual sentiments towards the business and its offerings. 

Hence, by determining the NPS score of customers, businesses can identify the varying levels of customer loyalty and which customers are set to remain more loyal to their business.   

  1. Actionable Feedback

NPS gives businesses an excellent opportunity to gain crucial insights into customers' sentiments. Apart from gathering customer ratings, the survey is also used to collect comments and suggestions on the product offerings. 

This crucial data is further dissected to understand customer satisfaction or dissatisfaction in different product areas. Additionally, businesses collect qualitative feedback on the major pain points of the customers. Hence, they can develop actionable strategies that address customer issues and improve their quality of service.

  1. Relationship to Growth 

One of the greatest advantages of leveraging NPS is that it is directly linked to the growth of an organization. The higher the NPS score, the higher the probability that a business will succeed in its industry. High NPS score correlates to factors such as:

  • Increased referrals
  • Greater customer retention
  • Higher revenue growth rates

That said, an effective NPS survey is great at driving higher customer satisfaction rates and better growth for a business. 

  1. Benchmarking 

Every industry today is full of competition and constantly monitors the growth of its counterparts to understand their position in the industry. NPS enables brands to benchmark their performance among their competitors. 

These surveys are highly valuable and identify areas of improvement in a particular product or service. Based on the survey results, brands can create strategic campaigns that help make products likable to their customers. 

  1. Employee Engagement

NPS surveys are not only beneficial in identifying the sentiments of customers but also play a crucial role in ensuring a higher employee engagement rate. These surveys measure employee engagement by incorporating feedback on employee interactions with customers. 

Hence, by prioritizing goals and integrating several employee incentives, these surveys can ensure higher employee performance with improved customer satisfaction goals.  

10 NPS Survey Best Practices to Follow 

The following are the 10 NPS best practices to follow that will help you achieve better customer insights and NPS results: 

  1. Personalise Your NPS Survey

Personalization is the key to getting the attention of your customers, and rightly so. How many of us agree they would fill out a brand survey when it triggers on their screen? I guess only a few percent of people would do so. 

However, if the survey comes up with your name or the things you like, you would likely go through the survey. So, that is definitely one of the best practices for increasing survey response rates. 

So, next time you create a survey for your brand, make sure to add your recipient's name to it and greet them well. This way, you can ensure better customer engagement and get answers to your desired questions. 

  1. Use Responsive Survey Design

Users today have access to different types of digital devices, including smartphones, laptops, tablets, etc. All these devices have different resolution settings and working methods. 

Therefore, it is imperative to use a responsive NPS survey design to make the most of your surveys. A responsive design means your surveys are designed to run across different platforms, from the web to mobile phones, with the same seamless experience and functionality. 

Suppose you find a survey suitable to your liking, but half the page goes out of the screen when opening it. We are sure you will not take more than a few seconds to close the page. So, to make sure this isn’t the case with your surveys, make them responsive for multiple devices to obtain a higher engagement rate.   

  1. Craft Compelling NPS Survey Email Subject Lines

Most brands send the surveys to their customers through emails. However, due to the large number of emails received in a day, most people are likely to ignore your mail. But what if you send out a survey with a catchy and compelling subject line? The chances are you would open the mail. And that is what a good NPS survey should aim for. 

When you send out your email surveys, ensure they are encoded in engaging color schemes and have highly appealing subject lines. For example, a subject line like "Your Opinion Matters: Complete Our Survey for Exclusive Benefits" is more engaging than a simpler option like "Please Complete Our Survey." Hence, be certain to design extremely attractive subject lines and maximize the utility of the email survey distribution method. 

  1. Time Your NPS Survey Deployment Strategy

The timing of your NPS survey plays a key role in how customers perceive it. Make sure to send out an NPS survey at a time when it creates maximum impact for customers. 

For instance, if you are a floor cleaner brand and wish to conduct NPS surveys to determine the quality of your solvent, sending out the survey a week after you make the purchase is suitable. 

If you send it out after the first day of the sale, that will be too soon, and similarly, if you send the survey after three months, the customer might even have forgotten about its results. Therefore, calculate and deploy your surveys at the right time to ensure high response rates. 

  1. Leverage Promoters for Higher Participation

One of the best practices in NPS to achieve a good Net Promoter Score for overall customers is leveraging your promotors' support. Make a list of all the brand promoters and email them to collaborate with your brand. 

These customers should most likely be those who have participated earlier in your surveys and ranked the highest. Ask them to create testimonial videos and post social media posts through their accounts that will help in your NPS campaigns. 

Make them a part of NPS strategy, and they will certainly be critical assets that drive high NPS scores and better customer engagement rates.  

  1. Survey Throughout the Buyers’ Journey

The NPS score is an indicator of how good or bad a customer thinks about your brand. That is why you should aim to sending out NPS surveys not just once but throughout the customer’s journey with your brand. But there is a catch in it as well. 

The frequency of the surveys should be such that they do not feel burdensome to your customers, eventually leading to lost interest. Instead, they should be sent in a way that customers actively participate and are interested in filling them out. 

Here are a few suggestions you can use in this NPS survey distribution method: 

  • Sending surveys too frequently can lead to survey fatigue and lower NPS response rates.
  • Surveying customers immediately after a purchase may lead to inaccurate NPS results.
  • Delaying surveys can result in missed opportunities to address customer concerns and improve satisfaction promptly.
  1. Send Follow-Up Questions with Your Surveys 

Following up with the survey questions is a great way to distinguish promoters from detractors. Follow-up questions enable your brand to understand why customers feel a certain way about your products. You just need to ask both counterparts relevant questions for optimal results. 

Questions to ask from your detractors

  • What factors led to your decision not to recommend us?
  • How could we have enhanced your experience?
  • If your suggestions were implemented, would you be open to considering us again?

Questions to ask from your promoters

  • What is the main factor behind your score?
  • Please highlight the aspects of your experience that stood out positively.
  • How can we exceed your expectations in the future?

Asking these simple questions will help you better understand your products and promote your overall NPS score. 

  1. Respond Promptly to Feedback in Real-Time

The purpose behind asking questions to your promoters, passives, and detractors is that you can react positively to their feedback. Especially for detractors, you must be quick enough to address the problems and issues they raise. 

One of the efficient ways of doing so is through good and reliable NPS software that notifies your brand managers in real time when they get a customer comment. 

Based on their feedback, make product changes and inform the users about the adjustments. This will help them gain your trust and instill a positive customer relationship with the brand. 

  1. Comprehend Your Niche’s NPS Benchmarks

The NPS score is generally calculated between -100 (worst NPS score) and 100 (best NPS score). Although every brand strives to achieve a score of 100, it is practically impossible for every industry to reach this high score. Hence, brands must first determine the average NPS score for their particular industry.   

Here are a few suggestions that can help you identify your industry’s average NPS score:

  • Analyze benchmark data from reliable market research firms.
  • Identify your competitor’s NPS scores.
  • Participate in different industry surveys. 
  • Network with your industry peers to gain better knowledge and insights. 
  • Calculate your own average NPS score.
  1. Leverage Professional NPS Survey Software

One of the best practices that help you in improving your NPS score is leveraging a robust and reliable survey NPS software such as Qwary. Professional survey software and platforms specialize in customizing your NPS survey and generating accurate results that contribute to your business growth. 

They are highly capable of streamlining the survey process and gathering insightful customer feedback through a series of quick and engaging questions. Furthermore, such software helps you identify customer trends and sentiments to formulate actionable strategies and enhance customer satisfaction and loyalty.

Common Mistakes to Avoid in NPS Surveys

Now that you have learned the best practices to improve your NPS survey results, let us glance at a few common mistakes brands usually make in their surveys. 

  1. Overloading Surveys with Questions: Avoid making overly detailed, complex, and time-consuming surveys. Remember, the shorter the survey, the better the chances of customers filling it out. Lengthy surveys often lead to customer frustration, survey fatigue, and result in lower response rates.  
  1. Lack of Personalization in Survey Outreach: Keep the surveys personlized to your customer’s individual preferences and likeness. Failing to personalize survey outreach can diminish customer engagement and interest in participating in the surveys. 
  1. Using Inappropriate Survey Timing: As mentioned above, timing is vital when sending out NPS surveys. Sending surveys too soon or too late after a customer interaction can impact response rates and feedback accuracy.
  1. Not Engaging Employees in the NPS Process: Involving employees to conduct NPS surveys fosters a culture of customer-centricity and enhances overall effectiveness. Hence, make sure to include all team members in the NPS process to obtain optimal outcomes.
  1. Failing to Act on Feedback Analysis: Gathering feedback is only half the battle; acting on it is equally important. Failure to analyze and act upon NPS feedback promptly can undermine the purpose of the survey and erode customer trust and loyalty.

Conclusion

Implementing these given 10 NPS survey best practices can be transformative for businesses seeking to understand and enhance customer satisfaction. By personalizing surveys, timing them effectively, and leveraging professional software, brands can unlock invaluable insights that drive growth and foster long-term customer loyalty.