Net Promoter Score®

Net Promoter Score® quantifies your customer loyalty

Net Promoter Score® is a widely used model for loyalty segmentation. And for good reason.

More than 2 in 3 Fortune 1000 companies use Net Promoter Score. This is because NPS is both a simple and effective tool. So simple in fact, that it is based on just a single survey item:

“How likely are you to recommend us to a friend or family member?” (B2C) or “How likely are you to recommend us to other potential customers?” (B2B).

The response to this item will tell you something about your company’s ability to generate bottom line growth. That’s the value of NPS.

How Net Promoter Score® works

By indicating how likely they are to recommend your company, your customers are actually self-segmenting. Their responses sort into three categories:

  • Promoters (rate you 9-10): are loyal customers who repeat-purchase from you and also recommend your business to friends and family
  • Passives (rate you 7-8): are satisfied customers, but with no particular preference for your business. That also makes them susceptible to competitor offerings.
  • Detractors (rate you 0-6): are dissatisfied customers who have already defected from your business or will soon do so.

To obtain your NPS, simply subtract the percentage of Detractors from the percentage of Promoters. Say your percentage of Detractors is 10%, and you have 40% Promoters, then your Net Promoter Score is 30. So how can you use that score? We’ll get to that.

Use your Net Promoter Score® to set loyalty on the agenda

The advantage of a Net Promoter Score is that it’s easy to understand. It’s a simple number that can go either up or down. That makes it easy to communicate in-house, and it can be used for placing loyalty on the agenda organisation-wide.

That said, we don’t recommend using a Net Promoter Score as your only loyalty metric. Because NPS is so simple, it tells you nothing about why your score is going up or down. It also can’t tell you about a single customer’s willingness to buy from you again. This is why you should supplement NPS with other survey items or metrics if you want not only to measure, but also to understand, the driving factors for your customer loyalty.

The bottom line: Contact us!

Studies have shown a link between companies’ Net Promoter Score and ability to create growth. If you are interested in the company’s growth, your NPS should therefore also be of interest to you.

Start by calling us at (+45) 7025 2627. We are specialists in customer loyalty with over 25 years of experience. And we know our customers will recommend us.

The AutoIndex study is considered a unique and valuable supplement to the types of Customer Satisfaction surveys that we perform ourselves.
I have personally worked with Loyalty Group in both my current and my previous job (President, Toyota Norway) and to sum it up, I am happy to recommend both Loyalty Group and the AutoIndex study to other NSC’s.

– Alar Metsson, President, Toyota Denmark (2021)

At Mindline, we apply AutoIndex on all the educations and pieces of training where they are available to us from the NSC. Our experience from the training where it is used versus where it is not, is that there is a clear effect on the participants’ understanding of why there is a need to develop and improve the customer experience.
This simply means that the effect of education and training will be far greater and thus more value-creating for both the NSC and the dealers who send their employees on training and invest both time and money in this.
The AutoIndex reports are for Mindline as a trainer, a fantastic tool and a simple way to present facts and inspire behaviour change so that customers get the optimal experience. It saves us a lot of time on the courses and makes them significantly more efficient and relevant for the participants.

Jørgen Faddersbøl, CEO, Mindline (2022)

Loyalty Group has a lot of knowledge about how successful sales processes and customer journeys build loyalty over time. This gives us a very good basis for how we can develop in relevant areas and forms the basis for our further improvement work in the organization.
Based on our many years of collaboration, I can only give the AutoIndex study and the Loyalty Group consultants my very best recommendations.

Jan Christian Holm, General Manager, Lexus Norway (2021)

Over the last 3 years, the Loyalty Group team has inspired us in our work on our “Consumer Journey”, which the new organization now takes to the next level.
I hope we get the chance to work together again in my new job as CEO of Volvo Car Turkey.

Magnus Boman, CEO, Volvo Car Denmark (2020)

The corporation with Loyalty Group and the AutoIndex study has resulted in changed business procedures, updated guidelines and a general optimization of Bayern AutoGroup. The result is indisputable – Increased customer satisfaction, increased employee satisfaction and increased earnings at Bayern AutoGroup.

Søren Vinderslev, CEO, Bayern AutoGroup (2021)

Loyalty Group’s approach is very direct. It can at first sight be perceived as an attack on our current working methods. After several years of collaboration, however, the conclusion is that this approach is solely due to Loyalty Group’s sincere passion to create the best customer experience for our customers.

Troels Nielsen, COO, Jan Nygaard (2021)

Contact

Do you also want to maximise your customer loyalty efforts? Then contact us for a no-strings chat about your needs.

Feel free to call us on (+45) 7025 2627 or email us at info@loyaltygroup.eu.

Alternatively, complete the online form on this page and we’ll get back to you as soon as possible.