Net Promoter Score (NPS) is a widely used customer satisfaction metric that measures the likelihood of customers to recommend a company’s products or services to others. NPS is calculated based on responses to the question, “On a scale of 0 to 10, how likely are you to recommend our company to a friend or colleague?”
NPS scores range from -100 to 100, with a positive score indicating a higher likelihood of recommendation, and a negative score indicating a lower likelihood. An NPS score of 0 means that the number of detractors and promoters are equal.
So, what is considered a good NPS score? The answer to this question is not straightforward as it depends on several factors, including the industry and the company’s goals. However, here are some general guidelines to help you determine if your NPS score is good or not:
Comparing your NPS score to the average NPS score of your industry can give you a better understanding of how your company is performing. According to the Satmetrix benchmark study, the average NPS score across all industries is 31.
A good NPS score is one that shows growth and improvement over time. If your NPS score has increased compared to previous periods, it indicates that your company is moving in the right direction.
Comparing your NPS score to that of your competitors can give you a better understanding of how you are performing relative to others in your industry.
NPS is a customer-focused metric, and customer feedback should always be the primary focus. A good NPS score is one that reflects positive customer feedback and indicates a high level of customer satisfaction.
Remember, NPS is just one of many metrics used to measure customer satisfaction, and it is important to use it in conjunction with other metrics to get a complete picture of your customers’ experience with your company.
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