- Patrice Lamarque
- July 26, 2017
Track your customer loyalty with the Net Promoter Score add-on
Popularized in the early 2000s, the Net Promoter Score (NPS) aims to evaluate the loyalty of your customers. We have just expanded our catalog with an add-on that calculates and tracks your NPS.
Content
1. What is the NPS?
Introduced by Fred Reichheld as a number that any company should strive to grow, the Net Promoter Score measures loyalty in the relationship between a supplier and its customers. Quickly after being introduced, the NPS was adopted in all business sectors by companies such as Apple, Philips and Delta Airlines.
One of the keys to its popularity is its ease of implementation. A customer is asked a simple question: What are the chances that you recommend the products and services of our company? According to Reichheld, this question consistently gives the best prediction for future growth of a company.
The client responds with a score from 0 to 10. Respondents are then classified into three groups:
- Promoters (9-10), who are loyal and enthusiastic fans likely to buy again.
- Passives (7-8), who are satisfied without necessarily being committed to your brand. They are likely to leave you for the competition.
- Detractors (0-6), who are dissatisfied and have a high rate of non-renewal. They are potentially a source of bad word of mouth.
The Net Promoter Score is calculated simply by subtracting the percentage of detractors from the percentage of promoters. This gives a score between -100 (all detractors) and +100 (all promoters).
A positive score is considered healthy (because you have more promoters than detractors), and a score above 70 is generally considered to be world-class. In reality, the ranges vary by sector, and there are many public benchmarks that allow you to compare yourself to other companies in your sector and maybe your competitors.
2. Survey questionnaire
The NPS add-on allows you to administer the Salesforce survey directly to users in your community through an application form that you can place at strategic locations on your site, such as its homepage.
The question is asked in a direct and personalized way, and a clear scale allows users to give their rating. In addition, they can leave an explanation of their votes.
Once answered, the survey form will disappear for a while and reappear after several weeks, allowing users to revise their ratings if they so wish. Of course, to keep it from becoming annoying, the form can be closed temporarily or permanently.
3. Back office
The results are then collected and compiled in a back-office interface accessible to the administrators of the platform.
A gauge indicates the current NPS score software based on all responses, and a chart shows the breakdown between detractors, promoters and passives.
You can also look at individual ratings and comments left by respondents.
Having access to the name and profile of each respondent allows you to learn more about the sources of your detractors’ dissatisfaction and to take measures you deem appropriate. You can also export and merge this data with other databases in third-party white-label loyalty programs or custom CDPs to see the whole picture and understand the correlation between customer answers and their previous activity.
4. How to use it?
The most logical implementation of this NPS add-on is within a client community. You can place the survey on the homepage so that it is clearly visible. But you can also place it on a dedicated landing page that you can promote in your newsletters or any other communication channel you maintain with your customers.
Although the question recommended above is recognized as the most relevant for the NPS, many companies in different sectors have developed their own variants.
For example, you might want to calculate your Employee NPS by asking workers a different question: What is the probability that you recommend our company to a friend to work here? This lets you judge the engagement of your employees, which is valuable information for a Human Resources team.
Similarly, you may want to assess the loyalty of your partners to maintain a healthy ecosystem.
5. Trying is adopting
With this add-on, we hope to equip community managers with a new, simple and fast-to-implement tool that will allow them to better evaluate members’ perception and boost their engagement, satisfaction or loyalty.
We have some improvement ideas, like the possibility to support several scores simultaneously and track them over time.
But, as always, we prefer to invite you to try this free add-on yourself and share your feedback and use cases so that we can make it a useful tool for the greatest number of people.
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- Tags: eXo, Tips & Tricks
I am the product officer at eXo. I oversee product management and product marketing. My teams design, create and promote the features of and improvements to eXo Platform. As a former enterprise software developer turned product manager, I have a passion for how IT can improve people’s lives.
In this blog, I write about some of my personal interests, such as productivity, alternative forms of management and corporate organisations, collaboration, open-source and emerging technologies.
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eNPS (www.enps.co) is the first company dedicated completely to employee net promoter score surveys. Since this is all it does, I found that it is much cheaper than the other services out there. If you just need a quick enps survey, this is the way to go!