Is NPS for you?
Customer loyalty is important since it often leads to repeat purchases which are less impacted by competition, pricing or other market factors. In addition, maintaining a current customer is far less expensive than acquiring a new one. As such, it is not only important to keep current customers happy, but even more important to try to move Detractors “up the scale” (ideally all the way to Promoters) — and then to periodically monitor any changes in NPS due to such efforts. That would provide a benchmark or baseline measurement unique to your company.
If you do not know where your company or its products stand in the marketplace it would be reasonably fast and inexpensive to incorporate a single question into the customer service process. This information could be collected via phone, mail, email or social media, just to name a few methods.
An analysis of responses can lay the foundation for follow up questions (and their possible answer choices). Examples: How satisfied were you with the time it took to install your new device? How satisfied were you with the information provided by our customer service rep? How often do you purchase our product?
Adjustments to procedures, policies, customer acquisition and retention, marketing messages and more can all be made based on findings. After an appropriate time (semi-annually, quarterly or even more frequently), NPS can be measured again to learn if the score has improved – and why!
Unlike some other market research techniques, Net Promoter Score does not examine other companies or their products. There are no comparisons; just the indication of loyalty to yours.