EDS and VMware Earn Top Net Promoter Scores According to New Temkin Group Research of Tech Industry
Third Annual Study of IT Decision Makers Identifies NPS and Loyalty Levels for 63 Large Tech Vendors
Jul 30, 2014, 08:30 ET
WABAN, Mass., July 30, 2014 /PRNewswire/ -- Companies often use a metric called Net Promoter Score® (NPS®) as a measure of loyalty, as it calculates the likelihood that customers will recommend a company to friends and colleagues. In a new report called Tech Vendor NPS Benchmark, 2014, Temkin Group analyzes NPS of 63 tech vendors based on feedback from 800 IT decision makers within large North American companies.
NPS can range from a low of -100 to a high of +100. With an NPS of 48, EDS came out with the top score followed closely by VMware with 45. Six other tech vendors received NPS of 35 or more: EMC, Microsoft servers, Oracle outsourcing, Pitney Bowes, Microsoft business applications, and Cisco. At the other end of the spectrum, three tech vendors have negative NPS: Autodesk, Cognizant, and Wipro. Six other vendors fell below 10: Capgemini, Intuit, ADP outsourcing, CA, Infosys, and HP outsourcing.
This is the third year that Temkin Group has completed the NPS study. Over that time, the average NPS in the tech industry has been dropping. NPS in for tech vendors was 33.6 in 2012 and 24.7 in 2013, falling to 23.1 in 2014.
"We found a wide range of Net Promoter Scores across tech vendors, but it was disappointing to see the overall drop in the tech industry," states Bruce Temkin, Managing Partner of Temkin Group.
In addition to benchmarking NPS, the research examined loyalty that large companies have for their tech vendors. Respondents have the most plans to increase spending with SunGard, IBM software, Alcatel-Lucent, and ACS. They are most likely to try new offerings from Satyam, EDS, and EMC. And if the tech vendors make a mistake, IT decision makers are most likely to forgive Satyam, EDS, Ericsson, and Alcatel-Lucent.
NPS characterizes respondents as Promoters when they are very likely to recommend and Detractors when they are very unlikely to recommend. The report shows that promoters are more than six times likely to forgive a tech vendor if they deliver a bad experience, about seven times as likely to try a new offering from the company, and almost three times as likely to purchase more from them in 2014 than they did in 2013.
This research can be accessed from the blog, Customer Experience Matters, at ExperienceMatters.wordpress.com as well as from the Temkin Group website, www.TemkinGroup.com.
For more information about Temkin Group, visit www.TemkinGroup.com.
About Temkin Group: Temkin Group is widely recognized as a leading customer experience research and consulting firm. Many of the world's largest brands rely on its insights and advice to steer their transformational journeys. Temkin Group combines customer experience thought leadership with a deep understanding of the dynamics of organizations to help accelerate results. Rather than layering on cosmetic changes, Temkin Group helps companies embed practices within their culture by building four critical competencies: Purposeful Leadership, Employee Engagement, Compelling Brand Values, and Customer Connectedness. The firm's ongoing research identifies leading and emerging best practices across a wide range of activities for engaging the hearts and minds of customers, employees, and partners. For more information, contact Bruce Temkin at 617-916-2075 or Email.
About Bruce Temkin: Bruce Temkin is widely recognized as a customer experience thought leader and is Customer Experience Transformist and Managing Partner of Temkin Group. He is also the author of a very popular blog, Customer Experience Matters® (ExperienceMatters.wordpress.com). Prior to forming Temkin Group, he was a VP at Forrester Research for 12 years. Bruce is a highly demanded speaker who consistently receives high marks for his content-rich, entertaining keynote addresses. He is also the co-founder and Chair of the Customer Experience Professionals Association (CXPA.org), a global non-profit organization dedicated to the advancement of customer experience management.
Net Promoter Score, Net Promoter, and NPS are registered trademarks of Bain & Company, Satmetrix Systems, and Fred Reichheld.
Customer experience matters is a registered trademark of Temkin Group.
SOURCE Temkin Group
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