What is NPS and why should you care?

What would you tell your friends?

More than 5,000 districts use our products so we know you like us. But what we want to know is: do you really, really like us? Not just Would you use our solutions? but Would you recommend our solutions to your friends? So to figure this out, we track something called a Net Promoter Score.

What is NPS?

Net Promoter Score (NPS) started in 2003 and is used in thousands of companies around the world. Here’s how it works (from Satmetrix):

The Net Promoter Score, or NPS, is based on the fundamental perspective that every company’s customers can be divided into three categories: Promoters, Passives, and Detractors.

By asking one simple question — How likely is it that you would recommend [company] to a friend or colleague? — you can track these groups and get a clear measure of your company’s performance through your customers’ eyes. Customers respond on a 0-to-10 point rating scale and are categorized as follows:

  • Promoters (score 9-10) are loyal enthusiasts who will keep buying and refer others, fueling growth.
  • Passives (score 7-8) are satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
  • Detractors (score 0-6) are unhappy customers who can damage your brand and impede growth through negative word-of-mouth.
  • To calculate your company’s NPS, take the percentage of customers who are Promoters and subtract the percentage who are Detractors.

So, how are we doing?

At Lightspeed Systems, we use the NPS score to make sure we’re keeping customers happy and providing exceptional products and support. After every support case is closed, our customer is asked in a survey how likely they are to recommend us.
For 2016, here’s where we stand:

NPS score: 85

For reference, the 2013 NPS leader in the US is USAA (banking) with an NPS of 80. And Apple (iPhone) has an NPS of 70. (source)

So, basically, you would tell your friends to use us. And we’re thrilled!

We’re not satisfied, though. Our goal is to have an NPS score of 90 — and we’ll keep making better products and providing better support until we do.

More than a number

The NPS number makes it easy to quantify how we compare and how we’re improving over time, but it doesn’t tell the whole story. So here are some recent comments customers included with their rating:

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