Superior customer loyalty is critically important for any successful business. However, many leaders struggle with how to effectively measure it. How loyal are your customers? What are they saying about your products or services to others? Do they promote you to others and provide an incredibly valuable word-of-mouth endorsement? To answer these questions, we look to Net Promoter Scores (NPS). NPS is a relatively simple measurement tool that helps businesses gauge how likely their customers are to refer family members and friends to their products or services. NPS is also a leading indicator, and when used optimally, it can be a predictor of future customer engagement and growth. Since NPS allows for real-time measurement of customer satisfaction, it allows management to take immediate action to improve operations based on customer feedback.
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