Word of mouth is a powerful marketing tool for businesses. According to a Nielsen study, 88% of consumers trust recommendations from friends and family over all other forms of advertising. This means that if your customers recommend your business, you have a significant advantage over your competitors.
But how do you know if your customers are recommending your business? In this article, we’ll discuss the importance of customer testimonials and provide guidance on how to measure and improve customer support.
Customer support refers to the level of enthusiasm and support customers have for a particular brand or business. When customers are advocates for your business, they are more likely to recommend your products or services to others. This can lead to increased customer acquisition, higher retention rates and greater revenue.
NPS and its importance
To measure customer advocacy, businesses can use the Net Promoter Score (NPS) metric. NPS is a metric that measures how likely customers are to recommend a business to others. Customers are asked to rate their likelihood of recommending a business on a scale of 0 to 10. Based on their response, customers are categorized into three groups:
Promoters: Customers who give a rating of 9 or 10 are considered promoters. These customers are most likely to recommend your business to others and are the most valuable to your business.
Passives: Customers who give a rating of 7 or 8 are considered passive. These customers are satisfied with your business, but are not likely to recommend it to others.
Critics: Customers who give a rating of 6 or less are considered detractors. These customers are not satisfied with your business and may even discourage others from using your products or services.
To calculate NPS, subtract the percentage of detractors from the percentage of promoters. The resulting number is your NPS score. A positive NPS score indicates that your business has more supporters than detractors, while a negative score indicates the opposite.
Improving your NPS score can lead to increased customer support and revenue. Here are some strategies to improve your NPS score:
Provide excellent customer service
1) Providing great customer service is one of the most effective ways to improve your NPS score. Customers who receive excellent service are more likely to become promoters of your business. To provide excellent customer service, businesses will need to do the following:
- Respond promptly to customer questions and concerns
- Be friendly and empathetic
- Listen to customer feedback and take action to address any issues
- Offer personalized experiences
2) Offering personalized experiences can help businesses build strong relationships with customers. When customers feel valued and understood, they are more likely to become advocates for your business. To offer personalized experiences, businesses should follow the indicative actions below:
- Collect customer data and use it to tailor their products or services to meet their needs
- Provide personalized recommendations and offers based on customer behavior
- Use personalization tools such as automated email marketing to deliver personalized messages to customers
- Encourage customer feedback
3) Encouraging customer feedback is essential to improving your NPS score. By asking customers for feedback, businesses can identify areas for improvement and address any issues that may be affecting customer satisfaction. To encourage customer feedback, businesses can select one or more businesses:
- Provide incentives, such as discounts or free products, to customers who complete surveys
- Respond promptly to customer feedback and take action to address any concerns or issues raised
- Create a strong online presence
4) Social Media must become a must!
Building a strong online presence can help businesses reach more customers and improve their NPS score. Customers who have a positive experience with your business are more likely to leave positive reviews and recommend your business to others.
To build a strong online presence, businesses should:
- Maintain an active presence on social media platforms such as Facebook, Twitter and Instagram.
- Encourage customers to leave reviews on third party review sites such as Google My Business.
- Respond promptly to customer reviews, whether positive or negative, to show that you value customer feedback.
- By implementing these strategies, businesses can improve their NPS score and increase customer advocacy. However, it is important to note that improving customer support is an ongoing process. Businesses should regularly evaluate their NPS score and continue to refine their strategies to meet the evolving needs and expectations of their customers.
Cypronetwork Consultancy Group is one of the largest market research and consulting companies. Over 35 years of successful operations and market leadership is the result of true partnership and responsible approach towards our clientele, continuous adaptation of the range and depth of services with objective based consulting and tailored made applications towards the real needs of our clients.