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Digital Marketing

What is Net Promoter Score?

May 31, 2019

Client feedback is very important to us, and to measure customer feedback, we try to implement NPS (Net Promoter Score) in all our projects and engagements. We have received several queries about this methodology and in this blog we attempt to explain the same.

Table of Contents hide
  1. 1. What is NPS?
  2. 2. The Promoters
  3. 3. The Detractors
  4. 4. The Passives
  5. 5. The Score
  6. 6. Are you planning to implement an NPS feedback system in your organization?

What is NPS?

NPS is a management system that measures customer feedback. More precisely, it tries to measure customer loyalty, and whether the customers are likely to promote your business / services / products or discourage others to use them. The tool has enjoyed widespread acceptance as more than two-thirds of Fortune 1000 companies use it.

The survey consists of one basic question – an 11 point scale (0 to 10) that seeks an answer to the question “ “How likely are you to recommend this business / product / service to a friend or colleague?”

The Promoters

As shown in the graphic, customers who answer 9 and 10 are marked as promoters. Promoters are people who are not only likely to use your service / product again, but also influence / recommend their friends, family and colleagues to use your products / services.

In customer satisfaction terms, these customers are the ones who were delighted by your offering.

The Detractors

Customers who give a score of 6 or less are detractors. These are customers who did not have a good experience with your offering. It is likely that these customers will be a source negative “word-of-mouth” and spread the bad experiences to their circle of influence.

This will hence detract their friends or family to use your products and services.

The Passives

The people who answer 7 and 8 had an okay experience and are not really likely to have an opinion (good or bad) about the brand, and hence, do not really influence the promoter score of our offering.

The Score

To calculate NPS, we subtract net percentage of detractors from the net percentage of promoters. NPS scores can vary from -100% (all customers are detractors) to 100% (all customers are promoters). A positive NPS is what all brands should strive to have. It is also a good practice to know what the industry standard NPS score is.

Are you planning to implement an NPS feedback system in your organization?

Give us a call today at 9801136042 or fill out this form to book a FREE 1 hour consultation with our expert consultants.

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Amod Niroula Co-Founder & Project Manager

An engineer by education and economist by heart, Amod heads new and ambitious projects to take us to new horizons.

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