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Why Online Sellers Must Pay Attention to Their Net Promoter Score

Last updated July 12, 2023 3 min to read
Net Promoter Score
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Are your sales figures falling and you’re struggling to figure out why? Or are you simply looking for new ways to get ahead of the competition? Much like an iceberg, 90% of how you are actually performing can’t be seen and is below the water. So how can you better understand how you are performing and implement improvements that ultimately drive revenue?

Many successful businesses use Net Promoter Score (NPS) to quantify customer satisfaction, measure how it develops over time and make positive changes based on their findings.

What is Net Promoter Score (NPS)?

NPS is a customer satisfaction metric that measures how well a company treats their customers, and the likelihood of that company receiving a recommendation.

How is NPS Measured?

NPS is based on a scale of 0 to 10. It divides the respondents into 3 categories: Promoters (9-10), Passives (7-8) and Detractors (0-6). It is calculated by subtracting the percentage of detractors from the percentage of promoters.

Why is NPS Important for Online Retailers?

In order to be customer-centric, it’s important that online sellers track their NPS. Companies that have long-term profitability have, on average, double the NPS score of their competitors. This shows a tangible correlation between customer service and company performance.

By adopting this metric, your NPS will organically drive behavioural change and encourage you to focus on customer satisfaction and customer loyalty in order to achieve growth.

Happy customers will return to do business again while also recommending your products to friends and family. The goal is to have a high NPS so you can turn your customers into brand advocates and drive growth.

More Than Just a Score, It’s a Way of Doing Business

There are many variations of the standard NPS question. For example, “How likely are you to recommend us on a scale from 0 to 10?” These types of numerical questions will give you a great snapshot of current success.

But online retailers shouldn’t limit themselves to asking just one type of question. By following up with qualitative questions you will gain a deeper understanding of your rating. You want to find out what you can improve on and also see what your customers find most valuable.

When measuring NPS you should follow a defined process. Identify milestones that are relevant to your business. For example, when an order is placed or after a delivery has been completed.

Once you have clarified what these milestones are, you can start collecting data. You should send an email survey directly after each of these events so that the details are fresh and easy for the customer to answer.

eDesk Feedback enables online retailers to automate their feedback requests from customers making it easier to receive reviews. This will give online sellers the data they require to optimise their process and improve conversions. It will also mean your data is accurate and reliable.

If you want to be serious about tracking this data you need to automate the process, you can then use it to your advantage. Having additional questions means you will be able to clarify whether someone is a detractor, promoter or passive.

eDesk provides visual insights into your feedback data will help online sellers notice patterns and make it obvious which areas need to be improved. Understanding and anticipating what your customers need will mean a higher chance of them returning.

What Do a Lot of Companies With High NPS Have in Common?

  • Customer-centric operations: Reliable and easy-to-use services that save customers time and effort improves NPS.
  • Exceptional customer service: Providing personalized, fast responses to customer queries increases customer satisfaction. A dedicated eCommerce helpdesk such as eDesk enables online retailers to reduce their customer response times, greatly improving customer service.
  • Omni-channel support: Again, prompt customer service across all channels is essential. eDesk combines queries from sales channels, marketplaces, and social into one inbox ensuring no query is ignored.
  • Unique offerings: The ability to differentiate yourself from competitors by offering innovative and valuable services to customers will contribute to a high NPS.
  • Consistency: Consistently delivering a positive customer experience will boost customer loyalty and overall NPS.
  • Personalized customer experience: Adopting a personalized approach in responding to customers encourages engagement and improves satisfaction.

Generate Brand Advocates

Online retailers should focus on turning their promoters into brand advocates. Clearly laying out the steps for customers to leave reviews and testimonials. These types of reviews carry more weight than paid advertisements and will lead to additional revenue.

Increasing customer retention rates by 5% increases profits by 25% to 95%, according to research done by Frederick Reichheld of Bain & Company.

Start Measuring and Improving Your NPS Today

NPS depends on using a consistent process and surveying a sizable sample of customers. As an online seller, your NPS is one of the most powerful KPIs in your toolkit. While every business is focused on making a sale, really successful businesses are focused on happy customers.


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