What is tNPS? Understanding Transactional NPS

Consumers today are more vocal than ever, and they’re not afraid to voice their opinions. Moreover, to successfully navigate today’s highly competitive landscape, businesses must understand exactly what customers think of them – and that means diving deep into customer experience data. 

One tool businesses can use to capture valuable insights is the transactional Net Promoter Score (tNPS). This metric measures the likelihood of a customer recommending a business or product after experiencing it firsthand, revealing key information about customer satisfaction. 

In this article, we’ll look at tNPS in depth, explaining how it works, how you can use it to understand consumer sentiment, and how it can help in improving your customer experience.

What is a transactional NPS (tNPS)?

Alright, we get that it’s important for businesses but, what exactly is Transactional Net Promoter Score (tNPS)? Transactional Net Promoter Score (tNPS) is a measure of customer satisfaction. It’s a collection and the result of gathered data and feedback about an individual’s experience with a business or service.

TNPS surveys are usually sent out immediately after a customer makes contact with the business. These surveys provide valuable insight into how the interaction went, and whether it was either satisfactory and likely to result in customers promoting the business further.

“TNPS surveys ask the right questions to your customers at the most critical moment – after a transaction,” explains Colin Palfrey, CMO of Crediful. “By asking your customers how they feel immediately after interacting with your business, you can gain a truthful insight into their customer journey. TNPS gathers touchpoint-specific data to give you an overview of the strengths and weaknesses within your business.”

By quickly sending out tNPS surveys to customers and analyzing the results, companies can easily identify where their customers fall on the scale of Promoters, Passives, or Detractors based on their responses.

This type of feedback allows executives to adjust and quickly pinpoint customer satisfaction success or failure, as well as anticipate future areas that require improvement.

How to calculate transactional NPS (tNPS)?

Going back to the basics, the Net Promoter Score (NPS) is a way to measure customer satisfaction and loyalty. It does this by asking customers to rate their experiences based on a scale of 0-10, with 0 being the least satisfied and 10 being the most.

NPS divides customers into three categories:

• Promoters: are very satisfied with the company they’re talking about and will highly recommend it to others; they rate 9 or 10 on the scale.
• Detractors: are not satisfied at all – they typically give a rating between 0-6.
• Passives: are somewhere in-between, giving ratings of 7 or 8.

By measuring the ratio between these different segments of customers, companies can get an idea of how their services are performing and how loyal their customers really are.

Calculating tNPS is straightforward – just subtract the percentage of detractors from the percentage of promoters. That’s it! Knowing these stats can be really useful in helping you quickly identify up-and-coming trends and feedback from customers.

What is the difference between transactional NPS (tNPS) and Net Promoter Score (NPS)?

We now know that the Transactional Net Promoter Score (tNPS) is a simple way to get a snapshot of how your customers feel about the transactions they’ve had with your company. But what is the difference between tNPS and NPS?

Transactional Net Promoter Score (tNPS) and Net Promoter Score (NPS) are two common measurements used to understand customer feedback. While they’re both useful, they measure different facets of the customer experience.

TNPS takes a closer look at individual customer interactions and helps to identify potential issues that need resolving in order for companies to keep their customers happy.

On the other hand, NPS looks more broadly at the overall satisfaction of customers. This score provides an indication of how well a company is doing as a whole by asking customers for ratings and collecting survey results.

“Sending a tNPS survey to a new customer is a great way to see if your business is driving away potential customers,” says George Tsagas, Owner and Founder of eMathZone. “Asking new customers to complete a tNPS survey will reveal whether your onboarding process is effective. You can use tNPS for any interaction you have with your customers to check if your clients are happy.”

Traditional NPS surveys ask the customer how likely they are to recommend a business without asking detailed questions. NPS surveys ask simple questions such as “how likely are you to recommend us to a friend?” This type of survey can tell us whether the customer is happy or not but without the finer details.

Meanwhile, a typical tNPS question may ask, “Based on your recent free trial, how likely are you to recommend our products to a friend?” Targeted questions through tNPS surveys can identify specific pain points your company fails to address.

By using both tNPS and NPS, businesses can get an idea if any specific issues are affecting customers’ opinion of them as well as get an understanding of how satisfied people are with their service in general.

Using tNPS to improve your Customer Experience

“Exceptional customer service plays a vital part in the growth of any business. 89% of customers say they are more likely to complete a purchase after a positive customer service experience,” explains Jim Pendergast, Senior Vice President of altLine Sobanco. “Customers are more likely to forgive mistakes after receiving excellent customer service. Using TNPS can help you enhance your company’s CX and prevent customers from leaving.”

Transactional Net Promoter Score (tNPS) is a great tool for improving your customer experience. With tNPS, you can measure your customers’ satisfaction as suited to their individual experiences with you and use this feedback to hone in on where additional efforts should be made.

From gathering feedback on the efficiency of delivery, to learning what product features are most appreciated by customers, using tNPS helps companies uncover insights and make improvements, which leads to happier customers who will be more likely to trust in a brand’s products or services.

Types of transactional NPS (tNPS) surveys

The main goal of tNPS is to gauge customer satisfaction with the transaction and to identify any areas where the company can improve its service. On the other hand, there are various types of tNPS surveys.

These surveys provide valuable insights into how well a company’s products or services meet customers’ expectations and can be used to improve customer experience, drive product innovation, and build better customer relationships. Let’s check out each one of them.

Post-purchase Surveys: Post-purchase surveys are sent to customers after they’ve made a purchase from the business. This type of transactional NPS survey allows businesses to measure how satisfied their customers are with their purchase decision. It also helps them find out what areas could use improvement, such as product features, delivery speed, product value, customer service, etc.

Post-purchase surveys give companies an opportunity to create more meaningful customer relationships by acting on any feedback they receive quickly and effectively.

Post-service Surveys: Post-service Transactional NPS surveys are sent to customers after they’ve received a service from the business. This type of survey is helpful for measuring customer satisfaction with the quality of service delivered and allows companies to identify areas of improvement for future services or products.

Acting on this feedback quickly gives companies the chance to build trust with customers and make sure that each customer experience is positive and memorable.

Event-specific Surveys: Event-specific Transactional NPS surveys are sent out after an event has taken place, such as a conference or trade show. These surveys allow businesses to track audience sentiment in real-time and understand how successful the event was in terms of delivering value to attendees.

The insights gleaned from event-specific Transactional NPS surveys can be used to inform future events, ensuring that each one maximizes its impact on attendees while providing the business with maximum ROI.

Follow-up Surveys: Follow-up Transactional NPS surveys are sent out at intervals after a purchase or service has been delivered in order to track long-term satisfaction levels over time.

Companies can use these kinds of surveys to get detailed feedback about various aspects of their offerings and make sure that their products or services remain relevant and up-to-date according to changing customer needs over time.

By proactively taking action on any negative feedback received through follow-up Transactional NPS surveys, companies can stay ahead of any potential problems before they become full-blown issues down the line.

“Understanding the strengths and weaknesses of your competitors is a vital part of building your CX strategy,” says Jarret Austin, Owner of Bankruptcy Canada Inc. “If your customers are choosing your competitors, then you need to find out why. Looking at their customer feedback will help you understand their products, services, and customer service abilities and why customers rate them higher.”

What are some factors that influence transactional NPS (tNPS)?

The factors that influence tNPS scores can vary greatly depending on the business’s product or service offering, but in general, they can be broken down into three categories: customer experience, brand awareness, and product reputation.

Customer experience encompasses everything from ease of use to customer service; improving this will have a direct impact on TNPS scores. Brand awareness refers to how familiar customers are with your company and its offerings; if they recognize your brand, they’re more likely to be satisfied with their purchase or service.

Finally, product reputation reflects the opinions of existing users; if their experiences have been positive, then this will have an effect on TNPS scores as well.

Improving your tNPS score isn’t a one-size-fits-all kind of task; it requires a comprehensive approach that takes into account all of the factors mentioned above. To start off, make sure you focus on providing an excellent customer experience through quality products/services and top-notch customer service – no one will want to recommend something that didn’t meet their expectations!

Additionally, leverage social media and other channels to spread awareness about your brand and its offerings – letting potential customers know why you’re different from competitors.

This will help build positive impressions before they make a purchase decision. Finally, make sure you pay attention to what existing users have to say about your products/services.

Responding quickly and appropriately when issues arise can help ensure that those users remain satisfied with their purchase decisions even after using them for some time.

“Obtaining a TNPS score of 100 is impossible for any business to achieve,” explains Kyle Zien, Director of Growth Marketing at Felix. “Getting a positive TNPS score is possible for businesses who use customer feedback to their advantage.

Asking your customers to give feedback also shows that you value their opinion. Giving your customers a voice will strengthen customer relationships and turn loyal patrons into brand ambassadors who will recommend your products.”

Having a high TNPS score has numerous benefits for businesses both small and large alike. For starters, it serves as an indicator of how loyal your customers are which can provide valuable insights into future growth strategies (e.g., which areas should be emphasized for improvement).

Furthermore, having high marks in terms of customer loyalty means that more people may be willing to recommend your product or service – leading to greater word-of-mouth advertising without any extra effort on your part!

Key Takeaways

•TNPS is a metric that measures the likelihood of a customer recommending a business or product after experiencing it firsthand, revealing key information about customer satisfaction.

• TNPS surveys are usually sent out immediately after a customer makes contact with the business and provide valuable insight into how the interaction went.

• NPS divides customers into three categories: Promoters, Passives, or Detractors based on their responses.

• Calculating tNPS is straightforward – just subtract the percentage of detractors from the percentage of promoters.

• Transactional Net Promoter Score (tNPS) and Net Promoter Score (NPS) are two common measurements used to understand customer feedback but measure different facets of the customer experience.

• Post-purchase Surveys, Post-service Surveys, Event-specific Surveys, and Follow-up Surveys are all types of tNPS surveys businesses can use to gather feedback about various aspects of their company in order to improve customer experience.