What is NPS? If you google this question, the internet will give you two answers: one about National Park Service and another about the customer satisfaction metric known as the Net Promoter Score.
As much as we adore the National Parks Service, our subject today isn’t about scenic vistas that can relax and inspire: it’s about the Net Promoter Score, which can illuminate and inform important decisions like choosing a compensation software.
What is NPS?
A Net Promoter Score (NPS) is a statistical measurement of customer loyalty and willingness to recommend a product to others.
An NPS is derived from asking product users one golden question:
“On a scale of 0-10, how likely are you to recommend us to your friends or colleagues?”
Responders in the 9-10 range are deemed “promoters.” These people are so happy with the product that they’re likely to recommend it to others.
The 7-8 repliers are considered “passives.” They’re happy enough to use the product but are unlikely to talk up the solution among their peers.
Finally, those who rate it between 1-6 are “detractors.” They are frustrated with the provider and the product, and they are likely to swap over to a competitive solution when they can do so.
This score is calculated with the following formula:
% of Promoters – % of Detractors = NPS
Simple math, critical answer.
So what number constitutes a good aggregate NPS score?
Surprisingly, the answer is that anything above a 0 is positive. That’s right. Zero.
According to Bain & Co, the source of the NPS system, anything beyond zero is a “good” score.
A favorable score is anything above a 20 while venturing above a 50 is excellent.
And an 80? Well, that’s world-class service.
In the G2 Grid Report for Compensation Management (Summer 2021) covering 30 providers, the average NPS was 51.
CompXL scored the highest of any compensation software provider in the report, with an NPS of 82.
The NPS can help you avoid buyer’s remorse
There are many compensation planning software providers on the market today. They all handle the basics reasonably well: giving raises, pool-based bonuses, and generating reports. But many of those solutions do not provide sufficient flexibility to evolve incentive structures in an agile manner.
In fact, in a recent survey of compensation professionals, ONLY 14% of respondents indicated THAT THEIR ABILITY TO INNOVATE THEIR INCENTIVE STRUCTURES IS WELL SUPPORTED by their compensation software.
Many compensation professionals experience buyer’s remorse in their choice of compensation software. That buyer’s remorse is visible in the wide variance within the G2 Compensation Category NPS scores with a low score of 0 and a high score of 82.
Why does CompXL have the highest NPS?
CompXL leverages excel file templates so that clients can enjoy the benefits of excel formula support, flexible layouts, and powerful data visualization features all in one product. CompXL eliminates administrative burdens and manual operations while simplifying the processes for managing broad-based and variable compensation.
The other thing that sets us into the world-class category is our white-glove service. We provide every single client with named account support. There are no offshore call centers and no labyrinthian phone systems. We make it easy to reach a human being that is already familiar with your account.
CompXL succeeds by providing both extraordinary flexibility and white-glove customer service.
That’s why our NPS is world-class. Users are eager to recommend us because our product and service are personalized, and our promoters have given us the stats to prove it.
Find out why:
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