Skip to content

Unveiling the Power of NPS Impact Methodology

Understanding and improving customer experience is paramount to success in today's competitive business landscape. One of the most widely used metrics to gauge customer satisfaction is the Net Promoter Score (NPS)®. However, simply knowing your NPS is not enough. To truly elevate your customer experience, you need to dig deeper and identify the aspects that have the most significant impact on your NPS. This is where the NPS Impact Methodology comes into play.

What is NPS Impact Methodology?

NPS Impact Methodology is a powerful tool that combines a topic's NPS with the percentage of feedback it represents. The goal is to identify the aspects of the customer experience that hurt the provider the most and are the most common. By focusing on these high-impact areas, businesses can prioritize their efforts and resources to drive the most significant improvements in customer satisfaction.

Understanding the NPS Impact Concept

To better understand the NPS Impact Methodology, let's consider two examples. In the first example, we have two topics your customers mention on your survey, A and B, both with an NPS of -20. However, Topic A is mentioned in 5% of the surveys (200 surveys), while Topic B is only mentioned in 1% (40 surveys). The NPS Impact Methodology considers the volume of feedback, making it clear that Topic A is more impactful than Topic B despite having the same NPS.

NPS Impact Methodology 1

In the second example, we have Topic C with an NPS of -20 and Topic D with an NPS of -20. Topic C is mentioned in 10% of the surveys (400 surveys), while Topic D is mentioned in only 1% (40 surveys). Although Topic D has a lower NPS, the NPS Impact Methodology reveals that Topic C has a more significant impact on the overall NPS due to its higher volume of mentions.

NPS Impact Methodology 2

Though this methodology was originally designed to support understanding NPS, it can be used for any other numeric metric (SAT, Effort, Trust, etc.) and applied to a composite of metrics to measure a broader set of outcomes.

Leveraging NPS Impact for Business Success

Now that you understand the NPS Impact Methodology, it's time to implement it. Here's how you can leverage this powerful tool to drive customer experience improvements:

  1. Prioritize topics/issues to address: Use the NPS Impact ranking to identify the most critical areas that need attention. Focus your efforts on the topics at the top of the list to maximize the impact on customer satisfaction.
  2. Compare NPS Impact between two periods: Track changes in NPS Impact scores over time to understand how your initiatives affect customer experience. Improvements can be seen through increasing NPS Impact scores or decreasing the frequency of negative topics.
  3. Identify topics that improve NPS: NPS Impact can highlight issues that positively contribute to your NPS. Identify these topics and explore ways to further emphasize and promote them in your customer experience strategy.

The NPS Impact Methodology is a game-changer for customer service professionals looking to elevate their customer experience. By combining the power of NPS with the frequency of topic mentions, businesses can prioritize their efforts and resources to drive the most significant improvements in customer satisfaction. Implement this methodology in your organization, and watch as your customer experience soars to new heights.

You might also be interested in my article, Unlocking the Power of Omnichannel NPS Analytics: Transforming Customer Feedback into Actionable Insights

If you would like our detailed steps for calculating an NPS Impact score, submit your information below, and we will email you our guide. 

Net Promoter®, NPS®, NPS Prism®, and the NPS-related emoticons are registered trademarks of Bain & Company, Inc., NICE Systems, Inc., and Fred Reichheld. Net Promoter Score℠ and Net Promoter System℠ are service marks of Bain & Company, Inc., NICE Systems, Inc., and Fred Reichheld.

Get our guide to calculating an NPS Impact score