Use NPS as your guide to future sales
Most people have probably already looked at the numbers in a meeting with company management and owners. However, these numbers can only tell them about the past. What if they ask how the projected sales are looking? How can you predict the future?
That’s where your Net Promoter Score (NPS) can help.
A NPS consists of just one simple question that has been tested for more than a decade by multiple companies in order to identify customers’ future behaviours and shopping patterns. A NPS challenges the traditional and often long customer surveys, which customers often don’t have enough time to complete.
The NPS question goes like this:
‘How likely are you to recommend *Company* to a friend or relative, and why?’
The answer will help you determine whether your customer feels a sense of loyalty towards your company and your brand.
This collection of data will also show you which business areas are doing well and which need looking at. It’s all about controlling the company and steering it towards whatever generates value for your customers both now and in the future. After all, investing in your customers is the best Return on Investment you can make.
When NPS is implemented in your company, the data you accumulate from it can become your guide to future sales. By studying your NPS, you’ll also be studying your customers.
All management and owners expect return. Smart managers and owners, however, understand how NPS can help you secure future revenue. It’s an invaluable tool that shows that you listen to really your customers and act on the feedback they give you. When the NPS system has become part of your company culture, it becomes an irreplaceable tool for predicting revenue.
However, NPS isn’t just a score. Your NPS is your tool to use your customer’s feedback to improve and earn their trust and loyalty. When you realize this, you hold the key to truly improving your NPS score. Overall, it’s more important to act on your customers’ feedback rather than focus on the score itself.
When the management and owners ask about your company’s future, you can show them your NPS scores and thus tell them your projected revenue. Your NPS score is the closest you will get to looking into the future.