NPS® in Germany
The Right Method for Measuring Customer Satisfaction?
How is your organization regarded by your customers? Do they love you? The Net Promoter Score® (NPS) will help you find out. In other European countries, and especially the USA, the NPS system is held in very high regard. But how about the NPS system in Germany – is it a red-haired stepchild or a justified method of measuring customer satisfaction?
The Net Promoter Score in Germany is becoming an important key metric to judge an organization’s success, offering a simple method to monitor customer satisfaction. At the international level though, there are immense differences in how critical customers award their scores. Companies are therefore well-advised to deal only with results from their own country and not to compare themselves with NPS scores from abroad.
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NPS in Germany: Land of the Critics?
When looking at the average Net Promoter Score across countries, it is evident that Germans are tendentially critical. Values in the USA, for example, are much higher: Tesla, according to npsbenchmarks.com, has a score of 97, Apple 89. These are the kind of scores that companies here in Germany can only dream of. What’s the cause of this? Does it really stem from a negative attitude towards products and companies, or do cultural differences also play a role?
Cross Border Comparisons as a Challenge for the NPS System
The Net Promoter Index originally came from the USA and established itself there as a basic business and marketing metric. So far the relationship between Net Promoter Score and business growth has only been researched in the USA and Great Britain. On top of this, studies have shown that the same ranking scale has a different meaning for customers in different countries.
- Whilst a US consumer commonly expresses their satisfaction with a rating of 9, many Chinese achieve the same with a rating of 8, Malaysians only 7. There the best ratings of 8 to 10 are hardly ever awarded.
- Poland and Norway also tend towards negative judgments: they almost never award the values of 9 and 10 in a survey, whereas in Russia almost 20 percent of respondents show their satisfaction with the highest values.
- Germany reveals itself to be critical to neutral, without being aware of it. The question of recommending the good or service to a friend is most commonly answered with 7 or 8. According to the official NPS-Barometer, that is a “passive purchasing style”. The customer, however, believes they have given a good grade.
German customers do not, therefore, have a poor opinion towards companies and products. They simply express their agreement on the NPS scale lower down than the average American.
NPS: Dependent on Industry and Country
A sensible comparison of an NPS within an industry or company overseas is not possible. The value is useful in the country it was generated in, and only for the specific branch or product that was surveyed.
Additionally, a wide-reaching knowledge about the different cultural backgrounds for each response is necessary in order to effectively rate the score. A value that would be regarded as passive in the US shows high satisfaction in Germany.