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5 Tips to Increase Customer Satisfaction and NPS

Posted by April Stavropoulos, Account Manager on Jan 24, 2018 7:12:00 AM
April Stavropoulos, Account Manager
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What is NPS?

Net Promoter Score (NPS) is an index to measure customer loyalty toward your company or service. Customers are asked to provide feedback about how likely they are to recommend your services in the future using a 0 to 10 scale.

From there, you sort the data compiled into Detractors, Passives, and Promoters.

  • Detractors
    Customers who rate your company between 0-6. These customers are unlikely to recommend you or in some cases can even generate negative publicity about you.
  • Passives
    Customers who rate your company at a 7 or 8. These customers are satisfied with the level of service they are getting, but can be persuaded by competitors fairly easily.
  • Promoters
    Customers who rate your company at a 9 or 10. These customers are considered your most loyal and satisfied customers. They are most likely going to keep returning and will likely refer you to their own network.

This is a great way to gauge your company’s overall heath. You can also add follow-up questions to help you drill down and determine the “why”. Be careful not to ask too many questions as it might discourage your customers from submitting.

Once you calculate your NPS, you have a clear benchmark for comparison over time. You can also look up average NPS scores for other organizations in your industry as you work to improve customer experience to see how you compare with your competition.

Why is NPS Important?

Your goal is to get as many promoters as you can. Not only does that mean you are more likely to get repeat business from these customers, but they are more likely to renew, expand, forgive, and most importantly, PROMOTE you to other people.

Think of the last time you looked for a product or service. Sure, you can do your own research, but if a friend recommended a particular company or product, doesn’t that make your decision that much quicker?

It’s important to know what your customers think about you and evaluate their loyalty. If you use NPS to track how customer happiness you’ll be able to see if the strategies you have implemented have delighted them or made a negative impact. It’s also actionable feedback that you can share back through with the team so that they can close the loop.

How can I Raise my NPS?

Based on our own experiences as well as working with clients, we have created 5 tips to raise your NPS.

  1. If a customer has left feedback, use the opportunity to ask additional questions and dig deeper to uncover the root of the issue. This will help you fix the problem and help improve processes to prevent it happening again.

  2. Strive to empower and educate your customers. If you read an article or hear about an organization that a customer might be interested in, send them a note or make a quick call to let them know. They will appreciate the personal contact. The same applies for any new feature or programs that become available that you feel could benefit them.

  3. Understand what your customers really want. By understanding what they actually want, you can build relationships that are memorable and set you apart from the competition. Focus on listening instead of your own agenda. Understand what their pain points are, identify any barriers and understand what success looks like to your customers at an individual level.

  4. Focus on integrity, which will lead to trust and loyalty. Keeping your word, being honest and having your customer’s best interest in mind will display how trustworthy you are to them. Provide a consistent level of service and be reliable. If you do something, do it right. Be willing to recognize the problems or road blocks and go out of your way to fix it and ensure it won’t happen again.

  5. Communication with the customer is the key to enhancing customer satisfaction. Follow up and follow through to assure and confirm expectations have been met. Focus on what the customer is saying vs what your response is going to be. Confirm what you heard and get clear if you are not sure what they are asking for. Wrap up every conversation with “Is there anything else I can do?” Your willingness to do more than expected is a great way to show your respect and let the customer know you are in it for them.

Promoters can account for up to 80% referrals in some companies. Detractors account for 80 % of negative word of mouth. NPS is a single measurement that allows you to cover the complete customer experience. It’s simple, can be benchmarked and is a quick indicator of the general health and happiness of your customers.

For more information contact us today! 

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Tags: Customer Service

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