eNPS benchmarks – what is a good eNPS Score?
Measuring eNPS is a great way to monitor the employee experience and measure employee engagement in your organisation. So, what is a good eNPS score? That’s what we’ll have a closer look at here.
A good eNPS score is desirable for many reasons. It indicates happy and engaged employees, a strong employer brand, and it’s a predictor of high retention and high employee loyalty. A low eNPS score, on the other hand, is a considerable risk factor. It indicates the opposite: unhappy employees, a weak employer brand, and it’s a predictor of high employee turnover.
Calculating the eNPS Score
Before we dive into what a good eNPS score is, let’s have a look at how it’s calculated.
The eNPS, or Employee Net Promotor Score, is calculated with the following formula: eNPS = percentage of Promoters minus percentage of Detractors. The eNPS score ranges from -100 to +100.
The eNPS survey is just one single question:
”How likely is it that you would recommend your employer to a friend or acquaintance?”
Respondents answer by picking a number on a range from 0 to 10, where 10 represents “Extremely likely” and 0 represents “Not at all likely”. The responses are divided into Promoters (9, 10), Passives (7,8), and Detractors (0-6).
Understanding your eNPS results
The genius of the eNPS lies in the simplicity of the eNPS question. With just one question, it captures how happy your employees are with their employee experience. So, how do you know what a good eNPS score is?
Our guidelines on how to interpret your eNPS score (= Promoters (%) – Detractors (%)) are as follows:
0 – 20 is Good
20 – 50 is Very good
Above 50 is Excellent
eNPS score by industry
Another way to understand your eNPS score, is to put it in relation to the eNPS results of other teams or organisations. When you benchmark eNPS score from your organisation against, for example, other companies in your industry, you get a sense of how well your company is doing and if there is anything you need to change to retain your employees.
eNPS benchmarks – a global standard
Using a global standard like the eNPS means you get data that can easily be compared to other organisations. eNPS benchmarks can be used globally, and allows you to compare your eNPS results to average enps scores and the benchmarks in your industry. This works even if others are using different eNPS tools, as long as they adhere to the eNPS survey structure.
With Eletive you can easily see the the average eNPS score by industry, and benchmark against it. You can also use internal benchmarking, and compare different segments in your organisation.
However, the eNPS score doesn’t tell you what is working or not working. It only shows you to what extent your employees are happy. This is why, on its own, it doesn’t take you all the way.
Instead, you’ll want to add the eNPS question to regular employee surveys that provide more in-depth insights. By regularly measuring all the drivers of employee engagement with intelligent pulse surveys, you will not only understand the employee experience better. You will also be able to see exactly how you can improve it.
A good eNPS score shows your employees are happy
If someone is willing to recommend their workplace to a friend or an acquaintance, it means they are happy with their employee experience. And happy employees are the foundation for building a strong employee brand and attracting and retaining talent over time.
Recommended reading: Building a strong employer brand with Eletive