What is your Net Promoters Score?

November 23, 2008

Well-known customer loyalty authority Fred Reichheld, in his recent book The Ultimate Question (Harvard Business School, 2006) has suggested that there is one single question which has the strongest statistical correlation with repeat purchases and referrals (and ultimately profitable growth).

The question is this:

How likely is it that you would recommend company X to a friend or colleague? (on a zero to 10 point scale).

This is an intriguing, effective and fast way of assessing consumer’s reaction to your business. So we asked the same question of two different groups that have participated in The Introduction to Speed Thinking Course (one a PR company, the other a public course).

Our NPS was 78% for the public course and 83% for the In-house one.

The NPS is obtained by taking the percentage of detractors (score 0-6) from the percentage of customers who are promoters (score 9 or 10).

Although it is only two courses and the numbers are small, our NPS would place us in the very top tier of all firms highlighted in Reichheld’s book.

If you can, I would recommend that you try the NPS approach. It is backed by research and the aim is to drive business growth rather than artificial customer satisfaction scores. Also it is simple, smart and quick-everything we love about a new way of working.

What is your Score?

Best Wishes

Dr. Ken Hudson

Posted by Dr Ken Hudson | Filed Under Results