NPS is held up as the gold standard customer experience metric and that’s exactly why we have been using it for so many years.
Developed in America by Fred Reichheld in 2001, NPS measures customer satisfaction by asking one simple question:
‘How likely is it that you would recommend Decorquip to a friend or colleague?’
Customers rate us on a scale of 1 to 10 and the responses are divided into 3 categories:
Promoters: 9 & 10
These are customers who loved their experience with you. A 9 or 10 means they are likely to positively promote your service to their peers.
Passives: 7 & 8
What may be considered by most to be a satisfactory score, indicates a customer who is passively engaged with your brand but not necessarily enthused.
Detractors: 0 – 6
A score of 6 and below covers a range of customers from those who are merely satisfied to those who are actively recommending the avoidance of your brand.
To calculate the Net Promoter Score, the percentage of Detractors is deducted from the percentage of Promoters over a period of time to give you a figure somewhere between -100 and +100. This figure is the NPS. With the scale weighted in favour of the Detractor category, it is be difficult to avoid a negative score, even if your results were mostly made up of 7s and 8s. In fact, any score higher than 0 is considered ‘good’. With NPS, the bar is set very high.
To quote netpromoter.com, extensive research has shown that your Net Promoter Score®, or NPS®, acts as a leading indicator of growth. If your organization’s NPS is higher than those of your competitors, you will likely outperform the market. You can find out more detail about NPS® on the two links below.