The NPS methodology
As you begin exploring your company’s Delighted account, it’s important to take a step back and understand the NPS methodology, the structure of the survey, and why NPS is so important.
NPS is a survey method that is used to gauge customer loyalty. The results of NPS surveys can provide clear insight into referral rates, retention, and customer happiness. Put simply, the higher your NPS, the more likely you’ll see a growing community of loyal customers as well as increasing business growth.
“How likely are you to recommend X to a friend or colleague?”
This is the NPS question. It gets to the core of whether or not the product or experience you provide is good enough for your customers to tell others about it.
Responses are provided on a scale of 0–10. Customers are categorized as Promoters, Passives or Detractors, depending on their score.
We’ll dig into each of these groups in a bit, but for now it’s important to note that, when tested, customers who gave higher scores, also referred more, bought more, and stayed around longer than those who gave lower scores.
The free response
After providing a score (let’s say 9), customers are asked a simple follow-up question: “Tell us a bit more about why you chose 9?”. This is where the magic happens.
This open-ended question is the critical component of NPS – it provides the fuel for customer insight. Whereas traditional surveys often load the experience with extra questions and bias, NPS is different. The simple, single NPS follow-up question lets you hand the microphone over to the customer- giving them the experience to provide honest, unbiased feedback.
The verbatim comment will provide you and your team the raw material you’ll need to understand where you delight customers, and where you have opportunities to improve.
There are a number of key benefits where NPS stands apart from other survey methods:
- Simple to understand
- Frictionless way to provide feedback
- Generates actionable insight
- Easily digested feedback to share across the organization
- Prevents customer churn
As you continue visiting your Delighted dashboard on a regular basis, you’ll start finding your own key insights and ways to leverage the feedback you review.
Now that we’ve covered the core of the methodology, the survey structure, and a few notable benefits, let’s dig into the mechanics of the score.