The Net Promoter Score or NPS is used as a tool to measure a customer’s experience and helps to predict business growth. Businesses around the world use this tool as their core measurement of customer experience as it is the best way to understand customer loyalty and gauges how willing your customers are to recommend your product or service to a family or friend.
Jago provides you with the ability to measure your customer’s happiness with a single number so that you can see how well you are doing and areas for improvement.
Calculating the Net Promoter Score
The Net Promoter Score begins with one simple question:
“How likely are you to recommend this business to a friend or colleague?”
Answers are given based on a scale of 0 to 10. Based on their answer they are grouped into three different categories:
- Promoters (score 9-10): Promoter’s love your company’s products and services. It is highly likely that they will purchase again and will certainly recommend your business to other prospective customer’s.
- Passives (score 7-8): Passives are generally satisfied with the product or service that is offered but they would easily switch to a competitor based on numerous factors.
- Detractors (0-6): Detractors are generally unimpressed by your product or service and it is likely that they will not buy from you again. They can even go as far as to spread negative word of mouth.
The NPS is calculated by subtracting the percentage of detractors from the percentage of promoters leaving a score from -100 and 100. The higher the NPS, the happier your customer’s are and the more likely or business will grow.
Benefits of the Net Promoter Score
At the core, the Net Promoter Score is an easy to understand method of understanding the satisfaction and happiness of customer’s which is why it is such a popular metric used internationally by companies. Here are just some of the major benefits of measuring NPS:
- A simple, easy and straightforward metric that can be shared with the entire company, especially front-line employees.
- It is a great tool to use as motivation for employees and to improve and provide the best customer experience possible.
- Gives the ability to work towards converting less happy customer’s to promoters of the brand and encourage them to put a positive word-of-mouth out to other prospective customer’s.
- Based on results, your business is able to dig deeper into understanding why a customer is or is not satisfied with the business and areas for improvement.
Customer Feedback Software & the Net Promoter Score
Jago is the number one tool used to measure the Net Promoter Score. There is no other customer feedback software solution that provides instant customer feedback, a customer loyalty program, benchmarking and reporting and the ability to monitor individual store performance. This is all combined into one easy to use app. Find out more about Jago and book a demo today.
NPS®, Net Promoter® & Net Promoter® Score are registered trademarks of Satmetrix Systems, Inc.,_Bain & Company and Fred Reichheld.