{"id":10505,"date":"2019-04-18T10:00:53","date_gmt":"2019-04-18T08:00:53","guid":{"rendered":"https:\/\/usersnap.com\/?p=10505"},"modified":"2025-06-01T11:08:16","modified_gmt":"2025-06-01T09:08:16","slug":"nps-ecommerce","status":"publish","type":"post","link":"https:\/\/usersnap.com\/blog\/nps-ecommerce\/","title":{"rendered":"How E-Commerce Improves Customer Experience with NPS to Drive Sales"},"content":{"rendered":"\n

Your customers are your lifeline, you know that. You need customer feedback<\/a> to improve their customer experience.<\/span><\/p>\n\n\n\n

But how much do you take into consideration how they <\/span>actually<\/i> feel about your brand?<\/span><\/p>\n\n\n\n

You might think all your customers are perfectly happy. After all, your business generates sales<\/a>, right?<\/span><\/p>\n\n\n\n

Turns out, without actually speaking to your customers, you can\u2019t truly know how they feel about you<\/strong>, your products or your business.<\/span><\/p>\n\n\n\n

And, when you\u2019re armed with that knowledge? You can grow your business and earn loyal customers.<\/span><\/p>\n\n\n\n

In this post, we\u2019re going to cover:<\/span><\/p>\n\n\n\n

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  1. NPS<\/a>: A closer look at one of the most effective metrics to track if you want to build advocates for your business<\/span><\/li>\n\n\n\n
  2. Why you can\u2019t only focus on NPS alone<\/span><\/li>\n\n\n\n
  3. How your NPS ties into your overall customer experience<\/span><\/li>\n<\/ol>\n\n\n\n

    Let\u2019s go.<\/span><\/p>\n\n\n

    Try Usersnap for NPS<\/h2>Try Usersnap Now<\/a><\/div>\n\n\n\n\n\n\n\n

    What is Net Promoter Score (NPS) and what insights does it offer?<\/span><\/h2>\n\n\n\n

    Your Net Promoter Score is a metric used by businesses to asses how likely it is for a customer to recommend your business to their own network, whether that be professional or personal.<\/span><\/p>\n\n\n\n

    A high NPS means your customers are more likely to turn into active promoters and brand advocates for your business – happy to wax lyrical about how great you are.<\/span><\/p>\n\n\n\n

    A low NPS means your customers aren\u2019t completely happy with the service or products you provide.<\/span><\/p>\n\n\n\n

    As an e-commerce owner, having a full view of your NPS score is vital if you want to grow your business, improve customer loyalty and in turn, increase revenue. Keeping your<\/a> customers happy isn\u2019t simply a by-product of running a business. It\u2019s supposed to be an active, deliberate exercise you do fuelled by specific processes.<\/span><\/p>\n\n\n\n

    [Tweet “Keeping your customers happy isn\u2019t simply a by-product of running a business. It\u2019s supposed to be an active, deliberate exercise you do fuelled by specific processes.”]<\/span><\/p>\n\n\n\n

    When you have access to your NPS data, you\u2019ll gain significant insight into how your current marketing efforts are at not only acquiring new customers but retaining them too.<\/strong><\/p>\n\n\n\n

    How to calculate your NPS<\/span><\/h2>\n\n\n\n

    As we mentioned, to calculate your NPS, you need to ask your current customers how likely they are to recommend your company or product to friends or family.<\/span><\/p>\n\n\n\n

    You\u2019ll want them to give you a number between 0 and 10.<\/span><\/p>\n\n\n\n

    When you\u2019ve collated your answers, group them in this way:<\/span><\/p>\n\n\n\n

    Detractors: people who respond with 0-5<\/span><\/p>\n\n\n\n

    Passives: people who respond with 7-8<\/span><\/p>\n\n\n\n

    Promoter: people who respond with 9-10<\/span><\/p>\n\n\n\n

    To calculate the overall NPS subtract the % of detractors from the % of customers who are promoters<\/span><\/p>\n\n\n

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    \"Closing<\/figure>\n<\/div>\n\n\n

    For example, if you surveyed 100 customers and found that 64% of them were promoters and 12% were detractors<\/span><\/p>\n\n\n\n

    64 – 12 = 53<\/span><\/p>\n\n\n\n

    Without taking industries into account, any NPS above zero is good, above 50 is excellent and if you have one above 70, you\u2019re doing something really special.<\/span><\/p>\n\n\n\n

    What counts as a good NPS?<\/span><\/h2>\n\n\n\n

    When your NPS is high, both <\/span>you and your customers will feel like this.<\/span><\/p>\n\n\n

    \n
    \"Happy<\/figure>\n<\/div>\n\n\n

    Source: <\/span>https:\/\/giphy.com\/gifs\/thevoice–voice-nbc-3ornjXIIShZ2MgyyHu<\/span><\/a><\/p>\n\n\n\n

    But when it\u2019s low\u2026.well it tells you there are things that need to change. It\u2019s important to note a \u201cgood\u201d NPS score is relative to specific industries.<\/span><\/p>\n\n\n\n

    As a customer experience metric, you need to understand that there\u2019s no one-single-factor that goes into people\u2019s opinions.<\/span><\/p>\n\n\n\n

    Someone might recommend your store to their friend because they loved the quality of the product.<\/span><\/p>\n\n\n\n

    Another might not recommend your store to their friend because shipping took too long.<\/span><\/p>\n\n\n\n

    The point you need to understand is because there are a range of influences that go into your overall NPS<\/a>, it\u2019s hard to say a great deal about any company by only looking at their NPS without considering the performance within the industry. <\/span><\/p>\n\n\n\n

    In some industries, 25 could be the worst in the industry, but for others, it could be the market leader.<\/span><\/p>\n\n\n\n

    Why your NPS is important<\/span><\/h2>\n\n\n\n

    So what can you actually do with your NPS score? Well not only does it tell you what your customers think and feel about your service, but it also shows you how you compare to your competitors.<\/span><\/p>\n\n\n\n

    A number by itself doesn’t tell you much so adopt a <\/span>relative method <\/i><\/b>whereby you compare your NPS with the average scores within your industry and against your competitors. This approach differs from the <\/span>absolute<\/i><\/b> method<\/i><\/b> which involves comparing your number to an agreed standard.<\/span><\/p>\n\n\n\n

    Enhance customer loyalty<\/span><\/h3>\n\n\n\n

    The first benefits of improving your NPS is greater loyalty. The more parameters you have within your company, the more likely it is that someone will recommend your brand to their friend or family.<\/span><\/p>\n\n\n\n

    Strengthen customer retention <\/span><\/h3>\n\n\n\n

    Second, increased retention. Your customers like to see that you\u2019re not only open to hearing their feedback but happy to work on their requests and close that feedback loop (more on that later).<\/span><\/p>\n\n\n\n

    Build better products<\/span><\/h3>\n\n\n\n

    Product feedback and improvement. Your customers will tell you what they like and dislike about your products or business. What\u2019s more, you\u2019ll often come across trends and patterns. Use these trends and patterns to improve your existing offering.<\/span><\/p>\n\n\n

    Try Usersnap for NPS<\/h2>Try Usersnap Now<\/a><\/div>\n\n\n\n

    Minimize churn rate<\/span><\/h3>\n\n\n\n

    Finally, reducing customer churn. You can use your NPS feedback results to establish which customers are at risk of churning <\/span>before<\/i><\/b> it happens.<\/span><\/p>\n\n\n\n

    Your Net Promoter Score and Customer Experience are intertwined<\/span><\/h2>\n\n\n\n

    Only thinking about your Net Promotor Score without any thought to the rest of your customer experience is a grave mistake. Your Net Promoter Score focusses on customer loyalty. Whereas customer experience needs to incorporate the entire customer journey.<\/strong><\/span><\/p>\n\n\n\n

    The benefit of NPS is that it gives you both qualitative and quantitative data to assess. When you combine qualitative and quantitative data, you\u2019re able to better think about the <\/span>voice of the customer<\/span><\/a> and use that to make changes to your design based on feedback to reflect newer, desired <\/span>positive exeperiences<\/span><\/a>.<\/span><\/p>\n\n\n

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    \"CX<\/figure>\n<\/div>\n\n\n

    Source: <\/span>https:\/\/customergauge.com\/benchmarks-report<\/span><\/a><\/p>\n\n\n\n

    Although 45% of respondents in a recent survey chose NPS as their metric of choice, other metrics are also used like CSAT, CES<\/a> and more.<\/span><\/p>\n\n\n\n

    So the optimum is to use your NPS as your starting point, as part of a larger customer experience optimization exercise.<\/span><\/p>\n\n\n\n

    And as Fred Reichheld, Bain & Company, so rightfully said:<\/span><\/p>\n\n\n\n

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    \u201cIt\u2019s not the score that matters, it\u2019s what you do with it to make Promotors that really count\u201d.Fred Reichheld, Bain & Company<\/em><\/p>\n<\/blockquote>\n\n\n\n

    And the best way to do this is to stop using NPS as a standalone metric and start looking beyond the number to establish key insights about your customers.<\/span><\/p>\n\n\n

    Try Usersnap for NPS<\/h2>Try Usersnap Now<\/a><\/div>\n\n\n\n

    <\/p>\n\n\n\n

    Let\u2019s say you know your NPS is higher than your competitors. Initially, that\u2019s great news. But if your boss were to come to you to ask you what specific changes you\u2019ll make in order to keep our NPS position, what would you say?<\/span><\/p>\n\n\n\n

    You\u2019d be uncertain. Because by itself, NPS isn\u2019t all that useful a metric. But combined in a wider customer experience programme, it has the power to increase brand loyalty, decrease retention and provide you with the feedback you can use to improve your business or product. <\/span><\/p>\n\n\n

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    \"NPS<\/figure>\n<\/div>\n\n\n

    Source: <\/span>https:\/\/npsbenchmarks.com\/<\/span><\/a><\/p>\n\n\n\n

    Boots UK<\/span><\/a>, a cosmetic retailer, has an NPS of 24.<\/span><\/p>\n\n\n\n

    But compare that score to <\/span>Warby Parker<\/span><\/a>, the sunglasses retailer. They have an NPS of 80.<\/span><\/p>\n\n\n

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    \"What<\/figure>\n<\/div>\n\n\n

    Do you think it makes sense for Boots to compare their efforts to Warby Parker? No, because they operate in different industries with different customers. If Three really wanted to see how they stacked up they should compare themselves to other cosmetics providers.<\/span><\/p>\n\n\n\n

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    Recommended Reading:<\/b><\/p>\n