The NPS, pioneered by Reichheld and implemented by Satmetrix, has a number of fervent advocates in the business world. No surprise there: Reichheld claimed this one metric told you all you needed to know about profitable growth - the universal answer to everything you needed to know about your business!
That’s a big claim, and it hasn’t gone unchallenged.
See, for example, this detailed study. These four scholars tracked the examples given for high
NPS and tested whether their business results matched. Guess what they found…
These four scholars tracked the examples given for high Net Promoter Score and tested whether their business results matched.
What they found was very revealing…
The answer from the advocates of NPS seems to be that even if it doesn’t match the promise, it still works. They have contented clients to back that up.
But is that enough?
Isn’t that like saying “Of course what I said wasn’t true, but it turned out OK, so who cares”?
It’s your business - I’m sure that you care.
Two marketing consultants from Booz & Co. (what happened to Allen and Hamilton?) set out a plan for building an online, transaction-driven marketing system.
Is this the roadmap for the future?
Or is it a formulaic attempt to shove your business and mine into a one-size-fits-all mould?
Read and decide for yourself.
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