72% of customers will share a positive experience with 6 or more people.
But positive feedback isn’t all that is shared. 13% of unhappy customers will share their negative experience with 15 people or more.
Your customers’ words can mean failure or success for your business, despite all the other efforts you pour into it.
So how do you know what they think and what they’re saying about your business? One way to find out is by calculating the Net Promoter Score.
If you aren’t familiar with the topic, don’t let it scare you. Below, we’ll discuss the theory and dive into step-by-step methods to calculate Net Promoter Score for your business using Getsitecontrol website surveys.
Ready? Let’s get into it!
What is Net Promoter Score?
Simply put, a Net Promoter Score is an index ranging from -100 to 100. This index measures how much customers are willing to recommend your products or services to others.
You’ll often see this term shortened as NPS.
What is your Net Promoter Score used for?
Your NPS sheds light on your customers’ overall satisfaction level and tells you how loyal they are to your brand.
Unlike other benchmarks used to measure opinions about your products or services, your NPS measures overall satisfaction about your brand, not just about a specific product or a single experience they’ve had with you.
How to calculate your Net Promoter Score
By now you’re probably itching to know what your Net Promoter Score looks like. Here’s how you can calculate it.
Step 1 – create an NPS survey for your website
If you want to know what people think about your business, the only way to know is to ask them.
The term “Net Promoter Score” might sound intimidating, but it’s quite easy to calculate. All you need is a survey with a single question to ask your customers:
“On a scale of 1 to 10, how likely are you to recommend us to a friend?”
And building this type of survey is ridiculously easy with the Getsitecontrol survey form builder.
When you create a new online form, you can choose the goals you want this form to achieve. For instance, this one will be to conduct a survey.
Depending on which goal you choose, you’ll see a list of beautiful templates to select from. You can also use different types of widgets: slide-ins, modals, bars, or panels.
In this case, I decided to go with a modal popup including a drop-down menu that looks like this:
Next, it’s time to design your popup!
You can customize everything, from the colors of your text and buttons to the fonts used.
You can easily switch back and forth between mobile and desktop modes to ensure your popup looks great on all devices.
Once you’re happy with the appearance of your survey form, start modifying the content. In this case, I altered the title to reflect the question I want to ask:
And because this is a 1 to 10 scenario, I’ve added 10 drop-down options. Note that you can randomize the order of your answers, but in this case, I want the answers to remain in the right order.
Once you finish editing the copy, you need to decide what happens after people complete your survey.
Each form has a primary button. You can set it up to open a new URL, show another widget, or close the widget when the answer is submitted.
Note that this template came ready with 4 questions, but for the NPS survey, we only want one! You can navigate between the different questions and remove them easily by clicking the “x”.
If you were to build a more fleshed-out survey, you could add as many questions as you like.
And that’s it for the design! Easy, right?
Now, there are 3 more tabs available for you to set up the NPS survey widget:
Targeting settings define what activates the widget on a website. For example, if you want to survey returning visitors only, and you want the widget to appear after they spend X amount of time on a page – this is where you can fine-tune the conditions.
Targeting settings are straightforward and easy to use – no coding or special knowledge required.
You can opt in to receive email notifications when a visitor fills out the survey, and even add an autoresponder. The latter is handy if you’re not using your own email marketing tool yet.
However, if you already use email marketing software, you can easily integrate it with your survey. This means you can automate the follow-up with your customers based on the answer they gave you, and add tags to them to properly segment them in the future.
All of this will take you less than 5 minutes. And once ready, just save the widget and activate it on your website – the NPS survey will go live instantly.
Step 2 - categorize your customer responses
Based on the responses you get from your customers, you will segment them into 3 separate groups:
Promoters are your most loyal customers. They’re the ones who tell their friends and entire entourage about your site, and they are by far your most valuable crowd.
Passive customers can easily be swayed to switch over to a competitor if given a good enough reason to, but can also be turned into promoters if nurtured in the right way.
Detractors are a risky crowd. They have had a negative experience with your brand and are unhappy in some way. Detractors tend to speak out in negative terms about your brand, thus harming your reputation. Furthermore, they also increase customer churn - the percentage of people who stop doing business with your company within a given period.
Later in the article, we’ll talk about ways to fix relations with detractors and possibly even turn them into passives.
Step 3 - calculate your Net Promoter Score
Take the number of customers from each group and find out what percentage they represent.
With these numbers, do the following:
Subtract the percentage of detractors from the percentage of promoters
Don’t count the passive customers in the equation
For example, let’s say you surveyed a total of 50 customers. If 15 of these customers are detractors and 23 are promoters, this means you have a 30% detractor and 46% promoter rate, respectively.
To calculate your NPS, you would subtract 30 from 46.
46 - 30 = 16.
In this case, the NPS score is 16.
What is considered a good NPS score?
The quality of your Net Promoter Score depends on your industry.
For example, these are the averages for the following industries:
Online shopping: 39
Software and Apps: 28
Department and specialty stores: 58
Travel Website: 16
See how the average varies drastically?
Your Net Promoter Score should be at least in the average of your industry or higher. Naturally, some industries have customers that are very difficult to please. The lowest NPS average is 2 for Internet service providers. Think back how often people say positive things about their Internet service providers, and you’ll see why.
On the other hand, online shopping has an average of 39, because people typically love receiving new things. So, if you own an ecommerce store, your customers should enjoy making purchases, and if they don’t, you’ll sink below the average and lose out to your competitors. Ouch!
For department and specialty stores, people are generally quite happy, since these types of stores are very niched down and provide exactly what people are looking for. They have the highest NPS average. If you’re in that industry, your bar is high.
Why is NPS important?
Your Net Promoter Score helps you quantify the loyalty among your shoppers instead of just guessing. And when you know exactly where you stand, you can take proactive action instead of passively waiting for customer churn to increase.
It allows you to identify the current trend in your customer satisfaction: is it currently positive or negative?
Are detractors increasing and promoters decreasing? If this is the case, something is definitely wrong, whether there is a problem in the quality of your products or services, or a lack of customer care. Whatever it may be, you have an urgent problem that you need to solve.
On the other hand, if your promoters are decreasing while your passive customers are increasing, this doesn’t necessarily mean that you are making buyers unhappy. However, you are at risk of customer churn. You need to do something to make these passive buyers adopt a more positive view of your business and choose you over your competitors every time.
Actions to take once you know your Net Promoter Score
To keep improving your NPS, especially if it is lower than it should be, you’ll need to start taking actions. But what can you do, exactly?
Here is one example. If you make one tiny addition to the survey – an email capture field – you’ll be able to reach out to all 3 groups and nurture them in a way that improves their loyalty ultimately raising your NPS.
And every time your score goes up, this means you have more chances of getting referrals from happy customers!
More referrals = fewer resources spent on acquiring new customers.
How to fix your relationship with detractors
Detractors are not happy. But that doesn’t mean they will remain unhappy and keep spreading negative words about your business if you make an effort to change that.
All detractors want is to feel valued and have positive experiences when they decide to spend their money somewhere.
One way to handle it is to reach out via email to all detractors and ask them more details about their experience. Make them feel heard and valued. For instance, if they received a broken item, offer to reship them another one for free. If they had a negative experience with a customer service rep, let them know you will work at improving this and offer them something in exchange (a coupon, for example).
Ask them what they would like to see from you specifically in the future.
If you think about it, having detractors is not always a bad thing - it’s an opportunity to learn how you can improve your business so that future customers get the best products and services possible.
How to nurture passives into loyal buyers
You already know that passive customers can easily be swayed one way or another. This means they are ripe for the picking – but don’t let your competitors harvest them before you can!
Nurture passive customers by giving them incentives, so that they would be willing to stay with your brand and eventually become promoters.
Extend their free trial to give them another chance at experiencing your product
Offer them an option for free shipping after they purchased once from you
Send them coupons via email to thank them for their purchase
There are unlimited possibilities for helping passive buyers fall in love with your brand, but the key, just like with detractors, is to make them feel valued in a way that they cannot feel with other brands.
How to gain more value from promoters
When done right, promoters can generate a constant flow of new customers for you. In turn, these customers can become promoters themselves when you continue to nurture them.
For instance, you can implement a referral program only available to buyers after a certain number of purchases.
There are so many ways you can compensate your promoters for sending more business your way:
Let them accumulate a certain number of points that can be redeemed for free products or a service
Build a tier system that gives certain promoters permanent perks, like 10% off everything at all times or free shipping on all purchases
Send them actual payouts so that they can make a living from promoting you and other brands
Give them exclusive deals
Give them early access to new products before everyone else
Allow them to test new products and provide their feedback (this is helpful for you, too)
And that is just the tip of the iceberg.
You don’t just want your promoters to feel valued - you want them to feel special, as if you couldn’t succeed without them.
People like being useful and building genuine connections with others, and you have the opportunity to do just that with those promoters. With a referral network, every promoter can generate more promoters, who then attract even more promoters - the possibilities are limitless.
However, you need to put in the effort to make these people loyal to you. Promoters are not made by magic.
Build a loyal tribe of buyers with your Net Promoter Score
Calculating and acting on your NPS helps you patch the holes in your customer experience. This will, in turn, help you maximize the value of each buyer and ensure you minimize customer churn.
Remember, you should be calculating Net Promoter Score more than just once. Check-in regularly with your customers to see the changing trends. This is how you will know whether or not your improvements are working.
Maintaining high NPS will require a consistent effort from you but measuring it doesn’t need to be difficult. Now go ahead and create an NPS survey to make the first step toward improving your customer relations.
Charlene Boutin is a B2B writer for hire specialized in creating compelling case studies, blog posts, and converting copy for digital entrepreneurs and SaaS businesses. When not writing, she can be found prototyping weird games in Unity or playing on her Nintendo Switch.Subscribe to our newsletter → Main illustration by Icons8