NPS — Did I Just Challenge the CEO’s Sacred Cow?

Opinions can be risky business, especially when they challenge a company’s belief system. A while ago, I wrote a blog about the perceived value of Net Promoter Score (NPS) [Net Promoter Score – Valuable or Not So Much? – Smart Advantage   In a recent conversation with a CEO who was very proud of their high NPS, I shared that blog along with some pros and cons. Let’s just say my perspective wasn’t warmly received.   To be clear good results are something to be proud of but there are limitations to the value.

At its core, NPS often asks one question: “How likely are you to recommend us?” It’s a simple, useful pulse check of customer sentiment. But it doesn’t tell you why customers choose you — or whether they will choose you again.

Recent studies confirm the limits of NPS:

  • A systematic review in the Journal of Business Research (2022) showed that NPS’s methodology — collapsing responses into promoters, passives, and detractors — weakens predictive accuracy compared to other satisfaction metrics.
  • A 2023 Marketing Science Institute working paper found that NPS had no consistent predictive power for revenue growth across dozens of companies.
  • Even industry-friendly studies (MeasuringU, 2024) admit NPS’s correlation with business outcomes is highly inconsistent and industry-dependent.
  • A 2025 CX Today review of new research concluded bluntly: “There is no clear association between NPS and firm growth.”

In short: a high NPS doesn’t guarantee growth, and a low NPS doesn’t automatically predict failure.

When customers decide whether to buy from you – or invite you to submit a proposal – the top criteria look very different:

  • Performance metrics (on-time delivery, first-visit fix rates, defect/return rates)
  • Responsiveness and risk reduction (speed of support, guarantees, compliance)
  • Total value delivered, not just price
  • Proof points (case studies, ROI evidence, peer references)

These are hard performance metrics buyers can rely on. Sentiment scores like NPS simply don’t rank high in buyer decision-making.

NPS can still serve as a directional trendline — a way to monitor whether customer sentiment is improving or declining. But it should never be treated as the “sacred cow” of performance measurement.

If you want metrics that move markets, track the ones your customers collectively cite when making buying decisions. That’s where true competitive advantage lies.

November, 2025

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