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Mar 06
Is your Net Performer Score keeping you from finding good candidates?

How to Improve NPS Score

Is Your Net Performer Score Keeping You From Finding Good Candidates?

Net Performer Score(NPS) has always been used to gauge a company’s customers relationship and loyalty, but why does it matter in recruiting? Well in recent years with the emergence of social media and sites like glassdoor, the way you portray yourself online affects your Candidate NPS. Are your employees leaving glowing reviews online and encouraging their friends and contacts to work with your company? Or are you having issues keeping talent and your management style is driving away employees who in turn detract others from working with you.

Glassdoor conducted a survey and found that poor candidate experience or bad reputation as two of the main reasons candidates reject job offers. If you add the customer behavior trend to that model:

  • Only 1 out of 26 unhappy customers complain (less than 1%), but 67% of unhappy customers stop doing business with the company they’re unhappy with.1
  • 87% of customers tell others about a good experience, but 95% share bad experiences.2
  • A customer experience promoter has a lifetime value that’s 600 to 1,400% greater than a detractor.

And you can see how bad employee experiences can really affect good talent from applying.

It also helps keep candidates as customers, protects your brand and prevents job ghosting  

Measuring eNPS

So How do you go about measuring your Candidate NPS? The best way is to send surveys to candidates after an interview and for employees it would be after they started working, this can be done with the help of a variety of online tools.

And here is how you would break it down :

Each answer is based on a 10-point scale, with “1” being “Not at All Likely to Recommend” and 10 being “Extremely Likely to Recommend.” Companies organize the responses to measure not only their overall NPS, but also the percentage of Promoters, Passives, and Detractors:

Promoters are those people who respond with a 9 or 10. 

Passives are those people who respond with a 7 or 8.

Detractors are those people who respond somewhere between a 0 and 6.

To get to a score, we simply subtract the number of Detractors from the number of Promoters. The resulting percentage is the Net Promoter Score. You can use this to see how any new initiatives you’ve launched are paying off. 

Let’s look at a real world example, Google’s eNPS is at 42, which is an outstanding score, most companies should strive to be at or near 20. This also explains why they also have one of the highest employee satisfaction rates, 97% of employees at Google Inc. say it is a great place to work compared to 59% of employees at a typical U.S.-based company.

Which allows them to hire and maintain the world’s best talent and why they continue to grow exponentially compared to similar sized companies.

How can you improve eNPS?

A study revealed that only about 33% of employees are engaged at work. And the average employee spends about four years at the same job, this number is far lower for the millennial demographic. So you can see why a lot of companies are having trouble holding on to talent. Millennials especially are twice as likely to leave a job if it doesn’t satisfy their personal requirements. 

One of the core tenants of eNPS is having solid employee engagement. In addition you can look into having a set of great work benefits, like dental and vision to boost your employee satisfaction and turn them into promoters.

Another metric to work at is employee experience and satisfaction, having methods to let employees voice their frustrations should give you a way to understand what’s bothering them and help you find solutions for their grievances.

A simple follow-up question provides information about the quality of the employee experience and about the reasons for a particular rating. You can ask all survey participants the same questions rephrase it accordingly:

For promoters: What do you appreciate the most about [company name]?

For passives: What would make your experience at [company name] even better?

For detractors: What can we do to improve your experience at [company name]?

We hope that this blog helped you get a better understanding of now NPS can affect the quality of hires at your company.

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