Net Promoter: Revolutionary Tool or Fad? - The MSR Group

Net Promoter is not the only survey question you need to ask to grow your business because more than one question is required to understand human behavior.

Several of our clients use NPS as the primary outcome metric for their ongoing customer feedback programs. These clients are drawn to NPS because of its popularity and their belief in the value of the promoter vs. detractor model. However, all of our clients who use NPS understand that the likelihood to recommend question is not enough by itself.  We have helped each of our NPS clients develop a more robust set of metrics that serve to better engage and direct their teams in the customer feedback process.  Without these supplemental metrics, these clients would be lost and would not know what to do to improve their customers’ likelihood to recommend.

While we have helped our clients who use NPS, by going beyond the “ultimate question,” we have yet to solve the reliability and validity challenges posed by Net Promoter Score.  We have found Net Promoter Scores to be statistically less reliable than many other outcome metrics. We also have found much stronger financial linkages with other outcome metrics. Our research has shown that Net Promoter Score’s 11-point scale and scoring algorithm both contribute to the reliability and validity challenges.  Given the general lack of scientific evidence to support the purported superiority of NPS, we continue to be in awe of its popularity. Hats off to Mr. Reichheld and others for their continued success in promoting Net Promoter Score!

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