Net Promoter Score
What is a Net Promoter Score (NPS)?
NPS is a customer loyalty metric that measures how likely customers are to recommend a company to others. It is calculated by subtracting the percentage of detractors from the percentage of promoters.
- A Practitioner’s Guide to Net Promoter Score
Sachin explains the origin of NPS, how to calculate it, how it's essential to append an open-ended question afterward, what tools to use, who to send it to, and how often to ask it.
How to Setup and Track NPS
Setting up and tracking NPS requires a clear understanding of the customer journey, the right survey questions, and a method for analyzing and acting on the data. It is important to track NPS over time to see trends and identify areas for improvement.
- Streamlining NPS Collection With Typeform, Segment and GCP
Thomas explains Norrona's data pipeline for NPS and how to set it up, which includes Typeform, Zapier, Segment, Slack, Salesforce, Google Big Query, and Power BI (whoa, that's a lot of services!).
Issues With NPS
Critics argue that NPS is not a comprehensive measure of customer satisfaction and loyalty, and that it does not provide actionable insights. There are also concerns about the reliability and validity of NPS data.
- Can't We Do Better Than NPS?
Kyle walks through data that shows that NPS is not always predictive of retention. He doesn't say we need to get rid of NPS, but does suggest metrics to add: actual referrals, customer health, and product stickiness.
- Moving beyond the Net Promoter Score
Brian shows a few different problem with NPS, and suggests alternate phrasings of the core question.
- Where Net Promoter Score Goes Wrong
Christina details eye-opening consumer research from C Space, revealing that NPS is an intent-oriented question and may not correlate with actual referral behaviors.
- I Was Wrong. NPS is A Great Core Metric.
Jason explains the three reasons he used to distrust NPS, but then changed his mind for a variety of reasons: it keeps companies honest, is good-enough for predicting churn, works on a relative basis across an industry, and it builds confidence.
NPS Case Studies
NPS case studies show how companies have successfully used NPS to improve customer satisfaction, loyalty, and business performance.
- Bad Presentation Gone Good.
Gibson describes how helpful the raw comments in an NPS survey can be, and how he used them to take one of his talks from a score of 29, to 46, and then to 69.