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What is NPS?

Net Promoter Score (NPS), is a customer experience and satisfaction metric widely adopted around the world, and it’s based on one question.

Why Customer Radar?

Every day, we look through the feedback, and if there are any complaints, we do something about it as soon as possible.

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Find out how Customer Radar has enabled customer-centric businesses to grow.

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Check out our blogs on how to get and retain more happy customers.

Business Growth and Retention Using Net Promoter Score (NPS)

17 May 2022

Did you know that Net Promoter Score (NPS) is one of the most accurate predictors of business success? It makes sense really - the higher your business’s NPS, the happier your customers, and the more likely they are to return and recommend you to others. 

Conversely, low NPS signifies unhappy customers, who won’t be returning but will spread the word about their negative experience to friends and family. 

Retention really is the foundation of a healthy balance sheet for all businesses. Once you’ve got customers in the door, you need to provide a customer experience that will keep them coming back. Loyal customers are an important source of revenue - the probability of selling to an existing customer is 60-70% while probability of selling to a new prospect is much lower at 5-20%. Existing customers are also 50% more likely to try new products and spend 31% more, when compared to new customers.

NPS provides a simple and effective way to measure your overall customer experience, allowing you to make changes that will optimise retention and set you up for growth.

NPS Makes Customer Feedback Easy, Enabling Retention

Most unhappy customers simply leave your business, with statistics showing that 96% of dissatisfied customers don’t complain. Why? Because giving feedback isn’t easy. Most customers don’t want to fill out a 10-minute survey - and they certainly don’t want the stress and embarrassment of complaining face-to-face. 

Using an NPS platform for feedback makes it easy for customers. It can be done quickly and easily online - selecting a simple star rating and leaving a brief comment - without the awkwardness of a face-to-face interaction that is the hallmark of in-person complaints. 

Making customer feedback easy may mean that you hear more complaints about your business, but it also means you’ll get the opportunity to address them. In fact, 67% of customer churn is preventable if the customer issue is resolved in the first engagement. So yes, nobody likes to hear complaints  - but imagine being able to retain two thirds of the customers that were about to leave your business forever? Better yet, imagine being able to prevent that same issue becoming a problem for future customers? That’s the beauty of customer feedback. 

NPS Promotes Growth Through Online Reputation

Are you aware that 91% of 18 - 34 year olds trust online reviews as much as a personal recommendation? And that 93% of consumers admit that online reviews have influenced their purchasing decisions?

Many businesses we work with are unsure how to nurture their online reputation to attract new customers. They’re nervous about asking for feedback or generating a negative review. Using an NPS customer feedback platform, provides a simple solution for businesses and an easy pathway to give online reviews for customers. 

Our customer feedback platform, for example, allows businesses to prompt customers to post a Google review after they have submitted their initial feedback. It’s easy for customers too, they simply click a button to copy their comment and star rating over to Google reviews. This 2-step process has seen a boost in online reputation across our clients using this feature, with star ratings improving overall, and some businesses even quadrupling their Google reviews in a few short months!

If you’re looking for a way to retain the customers you have and attract new ones, NPS feedback platforms, like Customer Radar, offer a simple solution that makes seeking, giving and amplifying feedback online easy. 

For more information about reducing the retention risk for your business, download our e-book Reducing Your Retention Risk.

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