What is Net Promoter Score (NPS)
Net Promoter Score - How loyal are your customers?
Net Promoter Score (NPS) is a metric specifically developed to measure customer loyalty, judging by a customer’s likelihood to recommend a product to others. The NPS survey is specifically centered around the question: “How likely is it that you would recommend Company to a friend or colleague?”
Why measure NPS?
NPS brings a simple solution to finding out who trusts in your brand and why.
You can use this knowledge to enhance your customer service, but it can also be used by your marketing department to gauge your customers feeling toward your product.
How to measure NPS?
The NPS survey asks customers “How likely are you to recommend *|COMPANY|* to a friend or colleague?” and they respond on a scale from 1 (very unlikely) to 10 (very likely).
Customers who answer lower than 6 are a detractors, while those who respond with a 9 or higher are a promoters. Customers responding 7-8 are passives
NPS is calculated by subtracting the % of detractors from the % of promoters.
NPS scores range from -100 (very bad) to +100 (very good).
What does an NPS survey look like?
Due to it being based on a research by Bain & Co, NPS survey will always look the same—a scale from 0 to 10.
The question itself can vary slightly. One such example could be a question “On a scale from 1-10, how likely are you to recommend this organization as a good place to work?”—this is also known as Employee Net Promoter Score.
