What is a Good Net Promoter Score?

A Net Promoter Score (NPS) is a measurement metric used to measure your customer loyalty. It’s based on the question, “How likely is it that you would recommend our company to a friend or colleague?”

NPS scores range from -100 (everyone is a detractor) to +100 (everyone is a promoter). If your product gets higher in the score, it means your customers are more loyal to you. NPS is one of the best metrics for understanding how satisfied your customers are and how much they are likely to refer your business to others.

Harvard Business Review asserts “NPS is the one number you need to grow.”

How do you calculate a Net Promoter Score (NPS)?

The NPS score is calculated by asking customers, “How likely are you to recommend our company to a friend or colleague?” Customers respond on a scale from 0 to 10, with ten being the most likely to recommend.

For the Net Promoter Score calculation, subtract the percentage of customers who gave a score of 6 or less from those who gave a 9 or 10.

Therefore, if 50% of respondents said they would be “very likely” to recommend your company and 30% said they would be “somewhat likely,” your Net Promoter Score would be 20 (50% – 30% = 20).

What is a good NPS score?

What is a good Net Promoter Score? It is quite tricky to answer depending on your product and target audience. Nonetheless, a good starting point is to aim for a 50 or higher. Anything below this threshold may indicate that you need to work on improving customer satisfaction.

Remember that NPS scores can vary from industry to industry, so it’s important to evaluate your results against those of your competitors. What can be a good score for other industries may not be the best for the HVAC business and vice-versa.

With that said, always strive to do better and continue pushing the envelope with the end – Thanks for sharing your valuable feedback!

According to Harvard Business Review,

“The only path to profitable growth may lie in a company’s ability to get its loyal customers to become, in effect, its marketing department.”

What is a bad NPS score?

Anything below a -50 score is considered a bad Net Promoter Score. It suggests that there is a significant dissatisfaction among customers. If your product gets a lower score, it should motivate you to achieve a high score, don’t be discouraged if your product falls on the lower end of the spectrum.

It is important to understand why your product has a low NPS and work to improve it. By putting in some effort and dedication, you can turn things around and start seeing better results.

Tools for measuring Net Promoter Score

Measuring customer loyalty is essential to understanding your business’s strengths and weaknesses. One of the most popular ways to measure customer loyalty is through the Net Promoter Score (NPS) or similar online tools.

These tools ask customers a simple question—“On a scale of 0 to 10, how likely are you to recommend a product/ service to a friend or colleague?”—this is the measurement gauge of your customers and viewers how they recommend your product to others.

Those who score 9-10 are considered promoters, 7-8 are passive, while those who score a six or below are considered detractors. Your NPS is a particularly important indicator of your loyal customer for their satisfaction and trust while they decide the future growth of your business.

As an HVAC business, you should focus on acquiring more “promoters” as they are really happy with your services and more likely to recommend your business to their group and get you more inbound leads.