In this article you will find out…
- What NKI - Satisfied Customer Index and NPS - Net Promoter Score are
- The difference between NKI and NPS
- When to choose NKI and when to choose NPS
Quicksearch has been conducting relationship surveys for over 20 years and are experts in statistics, survey methodology and analysis.
Do you know that there are different ways to do an NKI survey? Finding out if the customer is satisfied with your company is easy, but doing it in a quick and smooth way is not always so easy and there are several pitfalls. And, on the other hand, it is more difficult to know what the advantages and disadvantages are, and when an organization should choose one or the other.
Before we go any further, we must first clarify what NKI is and what it is based on.
What is NKI and what is it based on?
NKI i.e. Customer Satisfaction Index is an index where you measure the strength of a customer relationship, i.e. a key figure based on three simple questions that gives you a value that shows the level of customer satisfaction.
Examples of questions that NKI is based on
- How satisfied is the customer with the supplier as a whole
- How well the supplier meets the customer's expectations
- How does the supplier perform compared to an ideal business
When a customer has answered these questions, a value is calculated that shows the level of customer satisfaction.
Many companies choose to carry out NKI surveys that are based on more than just three questions, but since we live in a digital world, we want everything to go quickly and efficiently. We have neither the time nor the energy to carry out long and boring customer surveys. Answering a survey with many questions that basically ask the same thing is no fun, we all know that, but by combining the questions and making the survey short and concise, you save both your time and the customer's.
The most important thing in a successful NKI survey is that you don't ask more questions than you need to.
What is the difference between NKI and NPS?
It is perhaps not always as easy to know the difference between NKI and NPS - Net Promoter Score® because they are both used as tools to conduct customer surveys and the basis of why many believe they are the same thing. But that is not the case because there are a couple of differences between these two methods.
NPS measures the likelihood that you will get new customers based on what your existing customers say about you and, in turn, how much new customers you get through your existing ones.
NPS is of course linked to whether your customer is satisfied or not, but also the strength of your brand. For example, if you have a strong brand, your customers may want to associate themselves with your brand and recommend you to their friends even though they may have been equally satisfied with another supplier that they may be embarrassed to say they use.
Even if they are equally satisfied with the other supplier, it is your brand that is being spread. NPS thus takes into account factors other than pure satisfaction.
In a simple NKI survey you only measure whether the customer is satisfied and in an NPS survey you not only measure customer satisfaction but also loyalty and the willingness to recommend a product, service, service to an acquaintance or colleague. The NPS method is considered one of the best for analyzing a brand, product or service.
Many companies today choose to carry out ongoing customer surveys through the NPS method to measure recommendation willingness, which has also been shown to have a strong connection to loyalty, profitability and growth. Another difference between these two is that NPS is short, fast and running while NKI can be long and slow.
Are you curious about what an NKI or NPS survey might look like? Get in touch with us or try our survey!
When should you choose NKI and when should you choose NPS?
Since both NKI and NPS are customer surveys, the choice is easy once you know what you want to find out from your customers.
Regardless of which method you choose, you should first ask yourself a few questions such as: what kind of relationship you have with the customer, how many customers you have, how often you have contact with your customers and finally what you plan to do with the results after the customer survey?
We have already made it clear to ourselves that both NKI and NPS are customer surveys, but now comes the big question: When should I choose one or the other? And what do I get?
What do I get when I choose NKI?
As I mentioned earlier, NKI measures the strength of customer satisfaction and is often requested by companies or organizations with a strong quality focus. NKI highlights areas that affect your customers' satisfaction and loyalty the most, where you get an answer to the question: How satisfied are you with us as a whole?
The customer's response helps you navigate the company's goals to create higher satisfaction, more loyal customers and more business.
What do I get when I choose NPS?
If you want to know more than just customer satisfaction, choose the NPS method. Many companies choose to conduct customer surveys through NPS precisely to:
- You identify dissatisfied customers and get a chance to correct what is wrong.
- You find your extremely satisfied ambassadors and make it easier for them to promote you to others.
The NPS method considered one of the best for analyzing brand, product, or service. Today, many companies choose to conduct ongoing customer surveys through NPS to measure referral willingness, which has also been shown to have a strong link to loyalty, profitability and growth.
NKI and NPS are close to each other because they will both give you information on how you can increase customer loyalty and stay one step ahead of your competitors. The most important thing to think about, regardless of which method you choose, is the feedback after the customer survey that you will use and work on.
If you ask me, the recommendation would be a combination of NKI and NPS and to perform these on an ongoing basis.
Get more out of your customer surveys through ongoing feedback because it is valuable for you if you want to know which areas need improvement while you want to maintain a good relationship with your customers.
Summation
Really satisfied customers become your ambassadors and are willing to recommend your products and services to friends and colleagues. On Quick search we offer solutions for customer feedback, customer surveys and customer experience. Just like the NPS- Net Promoter Score, the NKI - Customer Satisfaction Index gives you a key figure that easily gives you an answer to how satisfied your customer is and can be compared with other companies and competitors. If you want to know more, contact us and we will help you carry out surveys that are quick, easy and ongoing and that we know your customers like.
