The Net Promoter Score (NPS) is one way to measures the loyalty that exists between your company and your customers. You'll find your AreTheyHappy NPS Score in your Insights section.
What does it look like?
It's a fairly old metric, so you probably already know that NPS can be as low as -100 or as high as +100.
This a positive score (over 0) means that you have more advocates (promoters) willing to recommend you than critics (detractors).
-100 means that every one of your customers is a detractor.
+100 means that every one of your customers is a promoter.
So, what is considered a strong NPS?
Given the NPS range of -100 to +100, a “positive” score or NPS above 0 is considered “good”, +50 is “Great,” and above 70 is considered “Excellent/world class.” Based on global NPS standards, any score above 0 would be considered “good.” This simply means that the majority of your customer base is more loyal.
Generally, if Net Promoter Score (NPS) is below 0, that is an indicator that your company needs to start understanding and improving your customer satisfaction levels.
If your NPS is above 50, you are doing great! This indicates that your company places customer satisfaction high in priority and has a lot more satisfied customers than dissatisfied ones.
An NPS of 70 or more places you in the list of top customer-centric companies. This most likely means that your customers love you and your company generates a lot of positive word-of-mouth referrals.
The stronger your NPS is, the more organic growth your company will experience. This is because your customer referrals will convert into new leads and more revenue for your company.
What do I do with my NPS score?
NPS is nothing but a vanity number on its own, especially when you are just starting out. The best way to find out if your number is “good”, is to look at your own scores in the past — that's your most important benchmark.
The best way to start measuring progress would be to compare your NPS against your score over the last quarter or six months. If you are noticing an increase of at least 10%, you are heading in the right direction and progressing toward building a successful business driven by organic growth. On the other hand, if you notice a significant decrease in NPS, this indicates that there is something wrong and you must quickly identify to discover the cause and take appropriate
Then, next is to look at your industry and your competitors. (More on these in future articles.)
If you have further questions, concerns or suggestions, please do not hesitate to reach us via email at [email protected] or by clicking the support chatbox on the lower right side of your screen. We appreciate your support and feedback! 🙏💕