Net Promoter Score (NPS): Why It Matters for Your Accounting Firm’s Growth
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In today’s competitive accounting landscape, client satisfaction isn’t just a “nice-to-have” — it’s fuel for a growth engine. One of the most effective tools for measuring and enhancing that satisfaction is the Net Promoter Score (NPS). If you’re not already using NPS in your accounting firm, you might be missing out on key insights that could drive retention, referrals, and revenue.
What Is Net Promoter Score (NPS)?
NPS is a simple yet powerful metric that gauges client loyalty by asking one core question:
“On a scale from 0 to 10, how likely are you to recommend our firm to a friend or colleague?”
Based on their response, clients will fall into one of three categories:
Promoters (9-10): Loyal enthusiasts who will keep working with you and refer others.
Passives (7-8): Satisfied but unenthusiastic clients who are vulnerable to competitive offerings.
Detractors (0-6): Unhappy clients who may damage your reputation through negative word of mouth.
Your NPS is calculated by subtracting the percentage of Detractors from the percentage of Promoters.
For reference on goalposts of average NPS Scores: “….The average NPS score of 39% is one point higher than ClearlyRated’s 2021 NPS benchmarking study, but 50% is classified as excellent and 70% as world-class by global NPS standards.”
Why does NPS Matters for your Accounting Firm?
- Client Retention
Retaining a client is far less costly than acquiring a new one. Tracking NPS helps you identify clients at risk of leaving before they walk out the door.
- Growth Through Referrals
Promoters are your best advocates. A high NPS means more referrals — a key growth driver in accounting where trust and word of mouth are everything.
- Continuous Improvement
NPS feedback isn’t just about a score. It often includes open-ended comments that reveal specific areas where your service shines or falls short.
- Benchmarking Performance
NPS allows you to benchmark your firm against industry standards and competitors, making it easier to set realistic goals and track improvements over time.
- Creating a Client-Centric Culture
Regularly measuring NPS shows your team that client feedback matters — creating a service culture that puts client needs first.
How you can implement NPS in Your Firm
- Start Small: Survey a segment of your client base after a major milestone, like year-end filings or after a tax consultation.
- Automate the Process: Use tools like SurveyMonkey, Delighted, or Client Heartbeat to automate feedback collection and analysis.
- Act on Feedback: Thank promoters, follow up with passives, and address concerns raised by detractors quickly and professionally.
- Track Trends Over Time: One score doesn’t tell the whole story. Watch how your NPS evolves to get a better sense of long-term client satisfaction.
Final Thoughts
In the current business climate where trust and relationships are paramount, NPS gives you a clear window into how your clients truly feel. By listening and responding to that feedback, your accounting firm can build stronger relationships, inspire loyalty, and unlock new avenues for growth.
Don’t just measure satisfaction — use NPS to build a firm your clients can’t stop talking about.