How do you monitor and track NPS trends and changes over time and across different channels and touchpoints?

Net Promoter Score (NPS) is a simple but powerful metric that measures customer loyalty and satisfaction. It is based on asking customers how likely they are to recommend your product or service to others on a scale of 0 to 10. Customers who give 9 or 10 are called promoters, those who give 7 or 8 are called passives, and those who give 6 or lower are called detractors. The NPS is calculated by subtracting the percentage of detractors from the percentage of promoters. A high NPS indicates that your customers are happy and loyal, while a low NPS indicates that you have room for improvement. But how do you monitor and track NPS trends and changes over time and across different channels and touchpoints? Here are some tips to help you get the most out of your NPS data.

1 Choose the right frequency and timing

The first step to monitor and track NPS trends and changes is to decide how often and when to survey your customers. There is no one-size-fits-all answer, as it depends on your industry, product lifecycle, customer journey, and business goals. However, some general guidelines are to avoid surveying too frequently or too rarely, as both can lead to survey fatigue or outdated data. You should also align your survey timing with key moments in the customer experience, such as after a purchase, a service interaction, a product update, or a renewal. This way, you can capture the customer's feedback when it is most relevant and actionable.

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Vasudeva Akula, Ph.D.

Co-Founder @ VOZIQ AI, Subscription Customer Retention & Lifetime Value Growth
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Incorporating AI models to predict NPS for 100% customers allows in reducing surveys while increasing sample sizes. In addition, AI models can also determine which customers to survey and when. This will maximize coverage and predictability to ultimately have an actual NPS for 5-10% sample, augmented by an accurate “predicted” NPS for the other 90%.

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2 Segment and compare your NPS data

The second step to monitor and track NPS trends and changes is to segment and compare your NPS data by different criteria, such as customer demographics, behavior, preferences, feedback, and loyalty. This will help you identify the drivers and barriers of customer satisfaction and loyalty, as well as the gaps and opportunities for improvement. You can also benchmark your NPS against your competitors, your industry, or your own historical data to see how you perform relative to others and over time. By segmenting and comparing your NPS data, you can gain deeper insights into your customer segments and tailor your strategies accordingly.

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Vasudeva Akula, Ph.D.

Co-Founder @ VOZIQ AI, Subscription Customer Retention & Lifetime Value Growth
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When segmenting if there are not enough survey samples, it is recommended to use AI models to predict NPS scores for 100% of the customer base using a small 5-10% sample set. This allows analyzing very small segments that are either emerging or high value.

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3 Visualize and communicate your NPS results

The third step to monitor and track NPS trends and changes is to visualize and communicate your NPS results in a clear and compelling way. You can use various tools and methods to create dashboards, charts, graphs, and reports that show your NPS score, trends, changes, and breakdowns by different segments and channels. You should also highlight the key findings, insights, and recommendations based on your NPS data. By visualizing and communicating your NPS results, you can make them more accessible and actionable for your team, your stakeholders, and your customers.

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Vasudeva Akula, Ph.D.

Co-Founder @ VOZIQ AI, Subscription Customer Retention & Lifetime Value Growth
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While visualizing, it is recommended to find correlations with other business KPIs. This allows attaching $$$ value to NPS scores to secure budgets and leadership commitment needed to drive change. For example is high/low NPS impacting churn, upsell or referrals? If so, include them in your visualization and immediately get larger buy-in from additional leaders across your organization for broader transformation.

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4 Collect and analyze qualitative feedback

The fourth step to monitor and track NPS trends and changes is to collect and analyze qualitative feedback from your customers. Besides asking them how likely they are to recommend you, you should also ask them why they gave that rating and what you can do to improve their experience. You can use open-ended questions, follow-up emails, phone calls, or online reviews to gather more detailed and specific feedback from your customers. You can then use text analysis, sentiment analysis, or thematic analysis to categorize, quantify, and understand the main themes, issues, and emotions in the customer feedback. By collecting and analyzing qualitative feedback, you can uncover the root causes and the solutions for your NPS score.

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Vasudeva Akula, Ph.D.

Co-Founder @ VOZIQ AI, Subscription Customer Retention & Lifetime Value Growth
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By analyzing NPS results using a combination of text analytics and existing customer metadata will enable NPS insights far more actionable.

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5 Act on your NPS feedback

The fifth step to monitor and track NPS trends and changes is to act on your NPS feedback. This means taking concrete actions to address the customer pain points, enhance the customer value proposition, and deliver the customer expectations. You should also follow up with your customers to thank them for their feedback, inform them of the actions you have taken or plan to take, and ask them for their opinions or suggestions. By acting on your NPS feedback, you can show your customers that you care about their feedback, improve their satisfaction and loyalty, and increase your NPS score.

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Vasudeva Akula, Ph.D.

Co-Founder @ VOZIQ AI, Subscription Customer Retention & Lifetime Value Growth
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I’ve seen great improvements in NPS scores when actions are taken it just with customers but when shared internally. For example, most companies followup with detractors to resolve their issue. While this is a great start, the larger opportunity is finding ways to eliminate the root cause by sharing NPS Feedback with internal product, pricing, process and technology teams for future improvements.

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6 Test and optimize your NPS strategy

The sixth step to monitor and track NPS trends and changes is to test and optimize your NPS strategy. This means measuring the impact of your actions on your NPS score, customer behavior, and business outcomes. You should also experiment with different survey methods, formats, questions, frequencies, timings, segments, and channels to see what works best for your customers and your business. You should also keep an eye on the external factors that may affect your NPS score, such as market trends, competitor actions, or customer preferences. By testing and optimizing your NPS strategy, you can ensure that you are always learning, adapting, and improving your customer experience and loyalty.

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