2008 Q1 Net Promoter Score Interpretation

Following research on Net Promoter Score (NPS) that was first reported in the December 2004 issue of Harvard Business Review, SPG has introduced the concept to many of our clients. The NPS is based on adding the percentage of customers that would highly recommend your company to others (promoters) and subtracting the percentage of customers that are not likely to recommend your company (detractors). The resultant score is the NPS which has been demonstrated to correlate to the growth prospects for a company. In addition, knowing the difference between your company’s NPS and that of competitors, i.e. Net Promoter Delta, can help you determine the speed of your market penetration relative to the competition.

The maximum attainable NPS is 100 and the lowest NPS is -100. Within SPG’s database the average NPS is currently at 31.4. To help our clients’ interpret their scores, SPG has created the accompanying rating scale.

NPS Rating SPG’s Interpretation
100 Perfect
85 to 99 Spectacular
70 to 84 Excellent
55 to 69 Very Good
40 to 54 Good
25 to 39 Average
0 to 24 Mediocre
-25 to -1 Poor
-50 to -26 Terrible
-100 to -51 Abysmal