2013 Q1-2 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 numerous clients over the last several years.
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 and is a good indicator of customer loyalty. 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 34.3. To help our clients’ interpret their scores, SPG has created the accompanying rating scale.
Spectacular: 85 to 99
Excellent: 70 to 84
Very Good: 55 to 69
Good: 40 to 54
Average: 25 to 39
Mediocre: 0 to 24
Poor: -25 to -1
Terrible: -50 to -26
Abysmal: -100 to -51