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What Is A Good Net Promoter Score?

What Is A Good Net Promoter Score?

A Net Promoter Score (NPS) is one of the best metrics used by businesses to measure customer satisfaction and loyalty. It is calculated by asking customers how likely they are to recommend a company, product, or service to a friend or colleague, on a scale of 0 to 10. Customers who give a score of 9 or 10 are considered "promoters," those who give a score of 7 or 8 are "passives," and those who give a score of 0 to 6 are "detractors."

The value of NPS to a growing business is that it provides a simple and easy way to measure customer satisfaction and most importantly loyalty. By tracking changes in NPS over time, a business can determine whether its efforts to improve customer satisfaction are working or not. A high NPS indicates that a business is doing well in terms of customer satisfaction and loyalty, while a low NPS indicates that there may be areas for improvement. Improvements in NP Scores can be directly linked to the growth of a business.

Furthermore, a high NPS can be a significant competitive advantage, as it indicates that a business is more likely to receive positive word-of-mouth referrals from satisfied customers. This Social Proof can lead to increased customer acquisition and revenue growth alongside high levels of customer retention. On the other hand, a low NPS can be a warning sign that a business needs to address customer concerns and improve its products or services in order to retain customers and avoid negative reviews.

A world-class Net Promoter Score (NPS) is generally considered to be above 70. This means that a business has a high percentage of promoters (customers who are highly likely to recommend the business to others) and a low percentage of detractors (customers who are unlikely to recommend the business).

However, it's important to note that what constitutes a "world-class" NPS can vary by industry and even by company. Some industries may have higher or lower average NPS scores than others, and some companies may have different expectations or standards for what is considered a high NPS.

  • The overall average Net Promoter Score (NPS) in the UK is around 42. (NPS Benchmarks 2021)
  • The average NPS for the building and construction industry in the UK was around 35.
  • For hotels in the UK is around 50
  • Retail Sector average is 42
  • Business Consulting average is 32
  • Training Industry 40
  • Recruitment Industry 24

It is generally more important for a business to focus on improving its own NPS over time rather than comparing its score to others in the same industry or setting unrealistic benchmarks based on external factors. A business can work towards improving its NPS by consistently providing exceptional customer experiences, actively listening to customer feedback, and taking action to address customer concerns and improve its products or services.


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