What’s Your NPS And CSAT, And Why Do They Matter?

When it comes to running a business, keeping your customers happy is what counts. Because without satisfied customers there is no business at all. To get an insight into how satisfied your customers really are with your business, you can use metrics like NPS and CSAT. Never heard of it? Don’t worry – I’ll tell you what they are and how you can use them in your business.

NPS and CSAT: what they mean to you

If you’re new to this whole NPS and CSAT thing, you might have a lot of questions. But fear not – I’m here to break it all down for you. What exactly are NPS and CSAT? Let’s get into that.


An NPS, or Net Promoter Score, is a metric you can use to gain insights into customer loyalty and how likely they are to recommend your business to a friend or colleague.

With your NPS, you can measure how a customer thinks of your company by asking a simple question: on a scale of 0 to 10, how likely are you to recommend product XYZ to a friend or colleague? Here’s a breakdown of how scoring works:

  • 0-6: Detractors, who are dissatisfied customers who may churn (these make up 80% of negative word of mouth– whoops!)
  • 7 or 8: Passives who are reasonably satisfied with your product or service
  • 9 or 10: Promoters who love what you offer and are fans of your business (these are the customers who give you that word of mouth marketing!)

There are a lot of benefits you can get from using an NPS. Not only can it measure customer loyalty, but it can also help strengthen long-term customer relationships, reduce churn, and pinpoint problems. at mine accounting software and payroll company Patriot Software, we like to use NPS to get instant feedback from customers (our current score is 85).

Regular (e.g. weekly) monitoring and tracking your score can give you insight into how customers feel about your product or service and if you need to make improvements. If you notice a drop in satisfaction and an increase in negative feedback, it’s time to make a change.

Keep in mind that the Net Promoter Score can vary by industry. So be sure to do your homework to find out the average score for your industry.


Another customer satisfaction metric you can measure is CSAT, or a customer satisfaction score.

A CSAT measures customer satisfaction with a transaction, purchase, or interaction. So you could use your CSAT to get feedback on a variety of things (e.g. customer service, recent purchases, etc.).

As with NPS, you typically ask customers a simple question. For CSAT, you can ask something like: How satisfied were you with your experience? The survey scales may vary based on your preferences. For example, your survey might ask customers to rate their experience on a scale of 1-3, 1-5, or 1-10.

A score of 80% or higher is usually considered good for CSAT. However, average or “good” results may vary by industry. So make sure you do some research to find out what kind of results you should be shooting for.

Once you’ve determined your industry’s average score, you can compare and use it to make improvements (ie rank higher than the industry average). At Patriot Software we currently have a CSAT of 84 – and we’re pretty damn proud of that. But we’re always looking for ways to get as close to 100 as possible.

Your CSAT is a great way to get quick feedback from customers. You can easily place quick polls in an app, on a webpage, or in an email to get feedback from customers.

It’s short and simple, and you generally get a high response rate because it’s a single, easy-to-answer question.

How to use your results to improve your business

Once you’ve collected your findings from clients and participants, don’t just set them aside to collect dust. Instead, use them to your advantage to improve processes, products or services, operations, and more. Here are four ways you can use your scores to improve your business (from another business owner who uses both to make improvements every day).

1. Improve interactions with customers

You can use both your NPS and CSAT to get valuable feedback from customers. Depending on the software or method you use, you can ask customers to provide additional feedback on their review. And then, based on that feedback, you can improve interactions with customers.

For example, you can use your NPS ratings to find out why People prefer your company over a competitor. Then use your insights to optimize interactions with prospects. Or say you use CSAT to find out how customer service is at your company. Based on your ratings, you can identify where communication with your customers needs to be improved.

The way you interact with current or potential customers is so important to the success of your business. If you don’t listen to what potential and current customers have to say when they review your business, you could end up making even more mistakes that cost you loyal customers and a lot of money in the long run.

2. Locate problem areas

I might sound like a bit of a broken record, but here it is: Customer satisfaction surveys are a prime way to pinpoint problem areas and resolve customer issues before they get out of hand. Why? Because they give you open and honest feedback.

Let’s face it – as a business owner, negative feedback always hurts a little. But it is necessary if you want to make improvements and improve your business. Your CSAT and NPS can give you insights into common issues or complaints, ways to improve your product or service, and your overall business performance.

So when you look at your results, keep an eye on the negatives. This allows you to see where your business is falling short and make tweaks along the way to improve your metrics and customer satisfaction.

3. Reduce churn

No entrepreneur wants to lose customers. But sometimes (and unfortunately) it’s inevitable. Not everyone is going to like your store and your offerings — and that’s okay. However, you can use your customer satisfaction surveys to potentially reduce customer churn and increase satisfaction.

The thought of customer churn might make you cringe, but it’s important to keep this in mind if you want your business to thrive. Not to mention that the cost of retaining customers is significantly less than acquiring new ones. So you should do whatever it takes to keep the ones you have. Cue Customer Satisfaction Scores.

Your results are a big red alert for potential churn. But luckily, you can use them to catch a disgruntled customer and (hopefully) resolve the issue before they decide to leave for good.

So, once again, keep an eye on the negative ratings/feedback you receive. That way, you can nip problems in the bud before they get out of your control (think bad word of mouth, negative reviews, and angry customers).

4. Increase positive ratings

Your customer satisfaction metrics aren’t just for pinpointing problems and turning frowns on their heads. You can also use positive feedback from NPS and CSAT to ask happy customers to promote your business in a good way.

Pay attention to the positive feedback as well as the negative feedback and scores. Promoters (people who have given you an NPS of 9 or 10) can ask you to leave reviews for your business. The same applies to customers who give you top grades for CSAT (e.g. satisfied or very satisfied).

Don’t forget to use positive feedback to your advantage. Look through your positive reviews (hopefully there are a lot of them!) and reach out to those promoters or happy customers. Chances are they won’t mind sharing their experiences and spreading the good news about your business.

Leave a Comment