The keys to increasing your revenue using Net Promoter Score data.
When customers recommend your company’s product or service, they place their personal reputation on the line to do so. Most people, then, would only recommend a company they were certain would do a good job. People understand this, which is why – according to the White House Office of Consumer Affairs – two out of three make purchases based off of the recommendations they receive.
The best way to determine whether or not people recommend your company to others online is to calculate its Net Promoter Score (NPS). To find your company’s NPS, subtract the percentage of people who would not recommend your company – the detractors – from the percentage of people who would recommend your company – the promoters. We don't include passives in calculating NPS, because passives will neither promote nor detract from your business. Learn more about calculating your NPS here.
Whatever your NPS is currently, there’s always room to improve. A Harvard Business School study finds that, when companies increase their Yelp rating by one star, they increase their revenue by 5 percent to 9 percent. Here are five surefire ways to boost your NPS and, therefore, your revenue:
- Ask customers to leave a review. Consumers aren’t afraid to share their experiences with others, so don’t be afraid to ask. When asked to do so, BrightLocal finds that 68 percent of customers leave a review. If you don’t ask, only those customers who have an overwhelmingly positive or negative experience bother leaving a review.
- Invest in digital reputation management. Because your NPS has a real effect on your company’s revenue, we recommend making digital reputation management a crucial component of your company’s marketing strategy. A management system lets you engage with your customers as they're posting reviews.
- Solve your customers’ problems. Dissatisfied customers who, then, get their issues resolved tell between four and six people about their positive experience according to the White House Office of Consumer Affairs. If you solve your customers’ problems, they’re likely to leave positive feedback.
- Post reviews where they have the most impact. XAmplifier research has shown that, in the words of CEO James Kropp, “there’s a difference between driving reviews to an industry-focused, low-traffic site and a less focused but more prominent site with higher traffic.” Kropp has found that driving reviews to high-traffic sites is ultimately more valuable for clients.
- Make NPS a company priority. When Enterprise CEO Andy Taylor decided that field managers would only be eligible for promotion if their branch matched or exceeded the company’s average NPS, the company’s digital reputation soared. Employees who interact with customers on a daily basis are in the best position to improve your customer experience and ask for customer reviews. Give them an incentive to do so.
Are you ready to improve your NPS and grow your revenue? Contact XAmplifier today to start strategizing with our digital reputation experts. Our management system lets you monitor, compare and measure review performance across platforms and locations in a single dashboard that allows you to engage reviews from a single interface.