Net Promoter Score (NPS) has become the gold standard for measuring customer loyalty and satisfaction. But here’s the kicker—knowing your NPS alone isn’t enough. You need to understand how it stacks up against competitors in your industry.
A strong NPS score can give you a competitive edge, while a low one is a wake-up call for improvement. In this blog, we’ll break down NPS benchmarks by industry, what they mean for your business, and how you can leverage this insight to drive customer experience (CX) success.
What Is NPS and Why Does It Matter?
Before we dive into industry benchmarks, let’s do a quick refresher.
NPS is a customer loyalty metric based on one simple question:
“On a scale of 0-10, how likely are you to recommend our product/service to a friend or colleague?”
Customers are then categorized as:
- Promoters (9-10): Loyal enthusiasts who drive growth.
- Passives (7-8): Satisfied but unenthusiastic customers who could switch.
- Detractors (0-6): Unhappy customers who can damage your brand.
The NPS formula:
NPS = % of Promoters – % of Detractors
The score ranges from -100 to +100. A positive NPS means you have more promoters than detractors—great! But is your NPS good enough?
Let’s find out.
NPS Benchmarks by Industry
1. Technology (SaaS, IT Services, Hardware)
- Why It Matters: Tech companies often rely on customer loyalty and referrals. An NPS above 50 means users love your product, while anything below 30 signals potential churn risks.
- Top Brands: Apple (72), Microsoft (45), Salesforce (66)
2. Financial Services (Banks, Insurance, Fintech)
- Why It Matters: Trust and ease of service are crucial. A strong NPS indicates customer confidence, while a low score suggests issues with service, fees, or accessibility.
- Top Brands: USAA (75), American Express (55), PayPal (63)
3. Retail (E-commerce, Brick-and-Mortar, Consumer Goods)
- Why It Matters: Customer experience, pricing, and convenience drive loyalty in retail. Brands with strong NPS scores see repeat purchases and brand advocacy.
- Top Brands: Amazon (61), Costco (71), Walmart (40)
4. Healthcare (Hospitals, Insurance, Telemedicine)
- Why It Matters: Patient experience is everything. A low NPS may indicate long wait times, poor service, or billing issues.
- Top Brands: Mayo Clinic (70), Kaiser Permanente (40)
5. Telecommunications (ISPs, Mobile Carriers, Cable Providers)
- Why It Matters: Customers expect reliability and customer support. Telcos struggle with customer satisfaction, but high NPS brands win on service quality and responsiveness.
- Top Brands: T-Mobile (50), Verizon (37), AT&T (30)
6. Hospitality (Hotels, Airlines, Travel Services)
- Why It Matters: Experience is everything. A high NPS means guests had memorable stays, while a low one suggests issues with service, cleanliness, or pricing.
- Top Brands: Ritz-Carlton (72), Southwest Airlines (71), Airbnb (50)
7. Automotive (Car Manufacturers, Dealerships, Rentals)
- Why It Matters: Trust, reliability, and post-purchase service drive loyalty. A high NPS means customers are satisfied with their purchase and service experience.
- Top Brands: Tesla (97), BMW (50), Toyota (47)
8. B2B Services (Consulting, Marketing, SaaS Solutions)
- Why It Matters: B2B relationships rely on trust and long-term value. A strong NPS means clients see measurable benefits from your services.
- Top Brands: HubSpot (60), Deloitte (50)
Where Does Your Business Stand?
Now that you know the industry benchmarks, let’s assess your position:
- If your NPS is above the industry average: You’re doing great! Focus on maintaining customer loyalty and using promoters to attract more business.
- If your NPS is at the industry average: You’re on par, but there’s room to stand out. Look for opportunities to enhance CX and turn passives into promoters.
- If your NPS is below the industry average: Time for action! Identify pain points, engage with detractors, and refine your customer experience strategy.
How to Improve Your NPS
- Close the Feedback Loop: Act on customer feedback quickly and let them know their voice matters.
- Enhance Customer Support: Faster response times, proactive service, and personalized assistance go a long way.
- Optimize Onboarding & Training: Ensure customers understand how to get the most value from your product/service.
- Reward Loyalty: Incentivize referrals and repeat business with exclusive offers.
- Leverage AI & Automation: Use AI-powered tools like XEBO.ai to analyze sentiment and improve CX.
Final Thoughts
Understanding NPS benchmarks by industry gives you valuable context for evaluating your own score. The goal isn’t just to match industry averages—it’s to exceed them!
Whether you’re a startup or an established brand, focusing on customer experience is the key to improving your NPS and driving long-term success. Schedule a free demo with XEBO.ai today and skyrocket your NPS.
