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Understanding NPS

Net Promoter Score (NPS) is a key measure of customer satisfaction and something you will use a lot with Yumpingo.


Several studies have linked an improvement in NPS score to an improvement in sales and this is why it's the core guest satisfaction in hospitality and many other industries.



What is Net Promoter Score (NPS)? 

NPS is a score ranging from -100 to 100 that measures the willingness of your customers to recommend your experience. It is used to measure the overall satisfaction of your guests.


Customers are asked a single question: "Based on this visit, how likely are you to recommend this brand to a friend or relative?” 



How NPS is calculated


Based on their rating, customers are then classified in 3 categories: detractors, neutrals and promoters.






DETRACTORS
NEUTRALS
PROMOTERS
‘Detractors’ gave a score lower or equal to 3. They are not particularly thrilled by the experience. They are unlikely to visit again and could potentially damage the company’s reputation through negative word of mouth.
‘Neutrals’ gave a score of 4. They are somewhat satisfied but could easily switch to a competitor’s offering. They probably wouldn’t spread negative word-of-mouth, but are not enthusiastic enough about the restaurant to actively promote it.
‘Promoters’ answered 5. They love your restaurant. They are the repeat diners and are the enthusiastic evangelists who will recommend your restaurant to others.



The NPS formula



Net Promoter Score is intuitive to understand which is why it's been widely adopted. If a company has more detractors than promoters the score will be negative and vice versa.


To help to interpret the NPS score we use a traffic lighting system with the following thresholds: 

More than 56 is green 

40-55 is amber

Less than 40 is red




Using NPS in the Yumpingo Dashboard 


The ultimate objective here is to convert detractors into promoters. The Yumpingo dashboard will surface the improvements you can make to increase your NPS. By making a series of targeted and consistent improvements you will see improvements in your NPS score as you improve the experiences for more customers. 



Next step: Yumpingo Food Scores


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