It’s Time To Talk About Net Promoter
February 2, 2010 6 Comments
The annual Net Promoter Conference is this week in New York. Unfortunately, I couldn’t attend due to some client projects. But I still want to weigh-in on Net Promoter, since I get a lot of questions on the topic.
- What is the Net Promoter Score (NPS)? Using a survey question like “How likely are you to recommend <COMPANY> to a friend and colleague?” respondents are categorized as “Promoters,” “Detractors,” or “Passives.” The Net Promoter Score (NPS) is calculated by subtracting the percentage of Detractors from the percentage of Promoters.
- Is NPS a good thing? Yes, if used correctly. No, if used incorrectly.
- Is NPS really “The Ultimate Question?” No, it’s only one customer input of many that are needed in a Voice of the Customer (VoC) program.
- What is the biggest problem in Net Promoter programs? Companies focus on the “metric” instead of the improvement process fueled by the metric.
- What is the big change in Net Promoter? Companies have focused primarily on eliminating “Detractors” but more companies are looking at creating and empowering “Promoters.”
Here are some posts about Net Promoter (and more broadly around VoC programs) that you may want to read:
- My Closing Thoughts On Net Promoter
- “LIRM” More About Net Promoter vs. Satisfaction
- 16 Voice Of The Customer Recommendations
- Six Trends Reshape Voice Of The Customer Programs
- Fred Reichheld Gives A Net Promoter Update
- Intuit’s Brad Smith Shares Customer Experience Insights
- What Is The Perfect Customer Experience?
- Net Promoter And Satisfaction Battle For King Of The Ring
The bottom line: It’s time to start creating Promoters.