Does the NPS® reflect consumer sentiment? A qualitative examination of the NPS using a sentiment analysis approach

The Net Promoter Score (NPS®) is extensively used as a key performance indicator in practice. Although the scale was initially considered to be a predictor of growth, the literature has disproved this assertion.

Introduction

The Net Promoter Score (NPS®) is used extensively in practice as a key performance indicator. Developed by Reichheld (2003), the NPS provides a single-metric measure to predict future growth, which is easy to implement, analyze, and communicate. This parsimony being a key contributor to its popularity (Klaus & Maklan, 2013). The score measures customer satisfaction based on the respondent's likelihood of recommending the brand (Reichheld, 2003). Respondents are asked how likely they are to recommend [brand x] to others and are provided with an 11-point scale ranging from 0 = not at all likelyto 10 =...

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