In this episode, we take a hard look at the Net Promoter Score (NPS) and question whether it truly predicts business growth the way it claims to. Drawing on research by Michael Knight in the MSP (Managed Service Provider) sector, we explore how NPS, shows only a weak correlation with actual revenue growth. In contrast, the Net Satisfaction Score (NSS), demonstrates a dramatically stronger link to financial performance. The key distinction is psychological: recommendation measures loyalty and social intent, while satisfaction measures real utility, and utility is what drives spending.
We also unpack the “saying versus doing” gap, highlighted by the stark difference between customers who say they’ll leave reviews and those who actually do, reinforcing how intention often fails to translate into action. Perhaps most importantly, we reveal that the real value isn’t in the score itself but in the conversation. Direct phone interviews uncovered actionable improvement ideas from nearly half of clients and even generated upsell opportunities from over a quarter of them. The takeaway is clear: stop obsessing over vanity metrics rooted in politeness, prioritise speed and competence over friendliness, and start having real conversations that measure true satisfaction, because growth follows performance, not promises.
Mike Knight MBA FCIM Director, MKLINK Ltd