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7 Reasons businesses should focus on brand NPS

Brand NPS

Brand Net Promoter Score (NPS) is a way to measure customer loyalty and, hence gives an idea about the company’s health. It is calculated based on a simple question: “How likely are you to recommend our business to a friend or colleague?” The results can either make organizations happy or drive them to act towards improving customer satisfaction.

Customers make purchase decisions based on various factors such as quality, pricing, value for money, support, etc. It takes hard work, patience and absolute focus on providing a great experience to customers, to create a strong brand value. For NPS data to be truly helpful, it needs to be in a format that can be easily comprehended. After all, what’s the point in collecting data that can’t be quickly digested. Survey software generates different types of reports and gives a quick view of customer satisfaction survey performance.

Why businesses should focus on increasing brand NPS?

NPS survey results are used to calculate NPS and categorize customers into promoters, passives, and detractors. The ultimate goal is to convert not-so-happy customers into promoters. Below are the top reasons why businesses should focus on increasing brand NPS.

  1. Customer loyalty increases business

Customer loyalty represents the likelihood of them referring your business to others. If they are not happy with your product or service, it implies they may leave sooner or later. Also, the chances are they might express their opinion on social media sites. That will do greater harm. It is far cheaper and profitable to retain an existing customer than to acquire a new one.

  1. Customers get the center spot

When you run a brand NPS survey, it sends out a message that the voice of the customer matters. They feel valued and conveys your company’s values like customer-centricity. It also measures the strength of your brand and finds out the factors based on which customers make decisions.

LEARN ABOUT: Employee Centricity

  1. Identify improvement areas

Analyzing the results of the brand NPS survey can help businesses find out problem areas. The survey data can give insights on what areas do they need to work on.

  1. Strengthens brand 

People are more likely to trust what their friends or colleagues say because of the intrinsic trust in them. Happy customers generate word-of-mouth reviews that have a high potential to get new business. It also strengthens your brand as clearly customers have chosen to refer you as compared to your competitors. Brand NPS implies how strongly do your customers trust your brand. Many times, customers have several options, but they decide to buy a product or service based on the brand.

  1. Reduces spend on marketing

A detractor can hurt reputation by filing a complaint, bog down customer service lines or even go to the extent of damaging company resources and staff. In such cases, you might need to spend on damage control marketing activities. They won’t buy any more from you due to their negative experience and might bad mouth your brand to others. Whereas happy customers get you more business without spending any money on marketing.

  1. Generates better quality of leads

Word-of-mouth publicity generates a better quality of leads as they are already aware of your business and have a positive image of your brand. It is easier to win such leads than getting business from cold leads.

  1. Boosts employee morale

A good NPS score motivates employees to give their best efforts and provide a great experience to customers. When employees see that the customers are happy with their work, it encourages them to keep going.

How to use brand NPS survey results?

Identifying promoters and detractors is only the first step. The next step is to take the necessary action that will reinforce your brand. Thank your customers for providing feedback and follow the below steps to ensure they have a better experience next time.

Promoters:

  • Send an email to them to know if they are ok with referring your business to their friends or colleagues.
  • Embed a link to your website in the same email.
  • You can also offer a gift coupon to those who refer.

Passives:

  • Request more feedback.
  • Ask what will improve their experience.

Detractors:

  • Ask for time to discuss on the call how can you better serve them.
  • Learn what will improve their experience.
  • Assure them of a better experience.
  • Take the necessary actions and ensure their needs are met.
  • If required, assign a dedicated support representative to them.

Hope above tips will help you improve your brand NPS. If you want to learn more about how to increase customer satisfaction and increase the NPS, contact us for a quick call.

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About the author
Adi Bhat
Aditya Bhat, a.k.a. ‘Adi’, is a thought leader in market strategy and business development. He leads QuestionPro's sales teams to partner with companies, government organizations, and nonprofit institution.
View all posts by Adi Bhat

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