AppDynamics achieved a Net Promoter Score, or NPS Score, of 87, the highest in the company’s history, for the last six months of its fiscal year ending Jan. 31. This latest score continues an uninterrupted trajectory of increasing scores for every AppDynamics NPS survey and is an excellent score amongst enterprise software companies.
Of note in this latest score is the high response rate at the tier one enterprise level, accounting for 49 percent of the respondents. A total of 728 customers in the United States and Europe/Middle East/Africa were surveyed. They received a 27% response rate.
“The fact that the largest enterprise companies took the time to respond, and responded so favorably, reflects particularly well on our customer success program and on our product,” said Hatim Shafique, Chief Customer Success Officer and SVP of Technical Operations at AppDynamics. “It says that we are supporting our customers in a way that enables them to realize the highest value from our Application Intelligence Platform, to the degree that they are willing to go on the record and point it out.”
The Net Promoter Score is the leading metric for measuring customer loyalty, representing customers’ likelihood to recommend a company. First developed more than a decade ago, this single metric has been proven to highly correlate to actual customer behavior in terms of both loyalty to the company and likelihood to recommend it to others.
According to a benchmark study from the Temkin Group, scores for the overall software category in 2014 range from the low teens to the mid-40s. Companies with NPS scores of 60+ are generally considered top performers; USAA (insurance and financial services) and JetBlue are on this elite list, as is Apple. Enterprise software companies have typically had average scores below 20.
“It’s tremendous validation to enjoy such high marks,” Shafique says. “But what’s most important are the things our team does to earn them. We’re taking the best of the best practices from the customer success discipline, and adding our own tools and techniques to constantly stay one step ahead of our customer’s needs.”
One trend noted by Forrester Research is a growing preference for self-service and FAQs. These are channels that AppDynamics has put considerable resources into developing. That development work has been informed to a great extent by data about customer usage of the platform through a proprietary tool developed by AppDynamics’ engineers called, “Proactive.” This data provides the customer success team with insights about the phases in deployment and usage that can benefit from additional self-service resources. It also helps to identify when live interaction with a customer is needed to ensure their success.
“Everyone at AppDynamics is responsible for our customers’ success. This is one of the foundational pillars of our success as a company — it is all about the customer, all the time,” explains AppDynamics Founder and CEO Jyoti Bansal. “And we are very excited that we continue to deliver more and more value and success to our customers."
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