In today’s market, it is critical for every business to track, analyze, and evaluate their customer satisfaction in order to improve the overall client experience. If your clients like your business, products, and service, they may recommend you to others. However, on the other side of the coin, dissatisfied customers may recommend that others stay away from your business. Totaling the numbers of referrals and detractors, and then summing these values, with give you your overall Net Promoter Score (NPS). The NPS can then be used to track the types of clients that your business should focus on in order to expand more efficiently.
In December 2003, Fred Reichheld, a Director Emeritus and Bain Fellow, released a study titled “The One Number You Need to Grow”. This study discussed the NPS and why it is a critical number in tracking the progress of your business. It can be a useful tool in helping you become a top competitor in your industry. He also added that it is a simple way to evaluate customer loyalty and growth.
The NPS can be used to measure client satisfaction, as well as business progress and development efforts. Using this score, you can gain demographic information on your good clients, and target your marketing campaigns and business developments toward these types of customers and their needs.
What is net promoter score software?
Net promoter score software is specially designed to analyze online feedback and promotion of your business by your customers. The software works by calculating your total positive feedback and total negative feedback given by your online clients. It then deducts the negative feedback from the positive feedback, leaving you with a net promoter score. This is a representation of the overall promoters of your business. If your net score is negative, the software provides various solutions on how to improve this.