Introduction
NPS, or Net Promoter Score, is a metric that gauges customer loyalty and satisfaction. Participants are asked a question: "On a scale of 0-10, how likely are you to recommend our product/service to a friend or colleague?" Based on their response, they're classified into three categories:
Promoters (9-10): Loyal enthusiasts who will keep buying and refer others.
Passives (7-8): Satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
Detractors (0-6): Unhappy customers who can damage your brand through negative word-of-mouth.
To calculate NPS, subtract the percentage of Detractors from the percentage of Promoters.
Suppose a consumer fintech product has the following feedback:
70% Promoters
20% Passives
10% Detractors
NPS = 70% - 10% = 60
The product's NPS would be 60, indicating a generally positive sentiment among its users.
Why Track NPS?
NPS provides clear, actionable feedback. Product teams gain insights not just from the score but from the accompanying open-ended question that asks for reasons behind the rating. This feedback can pinpoint areas for improvement and validate positive changes.
Using NPS Data
- Feature Enhancement: By analyzing feedback from detractors, teams can understand what features are lacking or need improvements. For instance, if several users gave a score of 6 and mentioned the software's slow speed, it's a cue to focus on performance optimization.
- Prioritization: Feedback from promoters can help teams understand what they're doing right. If multiple promoters are praising a specific feature, it might be worth doubling down on it in future iterations or marketing campaigns.
- Churn Reduction: NPS can identify potentially unsatisfied customers early on. Teams can then proactively engage these customers, address their concerns, and increase retention.
- Product Roadmap Development: By considering feedback from both promoters and detractors, teams can shape their product roadmaps to be more aligned with user needs and desires.
In essence, NPS is a powerful, concise tool that offers both a quantitative metric and qualitative feedback, invaluable for product and growth teams aiming to refine their offerings and strategy.
Running an NPS Survey on Blitzllama
Blitzllama’s in-product surveys yield feedback in real-time, boasting a 35% response rate. Emails, in comparison, hover around 3-5%.
- Select the NPS survey template. Personalize texts and language if needed.
- Target all users for a holistic view. Ideally, initiate NPS post-activation. If activation spans 30 days, set the user attribute “created_at” > 30 days.
- Decide on the right moment to launch the survey. Launch on app home screen after 15 secs of usage, app exit intent, completion of critical activity are some suggestions for survey launch event.
- Ensure “show until responded” is selected in Survey Frequency. And to prevent over surveying, display the survey “max 3 times” at “2 days” intervals.
Go ahead and launch the survey.
Interpreting Results
Very high response rates and highly contextual responses are the highlights of in-product surveys. So within hours you will have responses to generate initial reads.
- The charts for each question will be auto generated and updated in real time.
- The open-text responses are first translated and then categorised into topics, sentiments and urgency. The topics are created according to your product’s taxonomy hence highly aligned. This streamlines analysis.
- Survey insights offer preliminary insights and recommendations via cross-question and correlation analysis. Use these as starting points for analyzing the survey data.
- Use survey filters do dig into the data. Navigate to Spotlight tab for deeper analysis. In Spotlight, you can use event and cohort filters to create charts.
- Dashboards are shareable as links, making team collaboration much easier. Check this sample dashboard out https://dashboard.blitzllama.com/report/B-Tx9aLbB2.
You can set the survey’s end conditions based on response counts or surveyed user numbers.
What’s next?
NPS initiates the feedback loop; generating appreciations, feature suggestions, issues faced by users etc. Once you shortlist the areas of interest, go deeper into the “whys” behind the feedback with interviews (learn how you can use Blitzllama to schedule interviews) or followup surveys (learn how you can use Blitzllama to do followup surveys). Once you’re clear on the reasons, prioritise based on impact, strategy alignment, and effort.
Takeaway: NPS isn't just a number. It's a compass guiding product teams to create better user experiences.
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