What is Net Promoter Score ®?

Net Promoter Score ® (NPS) is a customer loyalty metric by Fred Reichheld from Bain & Company. It indicates the likelihood that a customer will recommend your business to a friend or a colleague.

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What is Net Promoter Score ®?
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How to Calculate Net Promoter Score ®?

NPS = (PROMOTERS – DETRACTORS) / RESPONDENTS

NPS is based on a single question: “How likely is it that you would recommend us to a friend or colleague?” The customer then rates their answer on a scale of 0-10. There are three categories of users, based on scores.

  • Promoters (9-10)
  • Passives (7-8)
  • Detractors (0-6)

Hint: pay less per customer

Promoters are likely going to promote your business and passives are looking for something better. Detractors, on the other hand, are likely to disparage you.

net promoter score or nps is critical to social media success.

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What are the limitations of Net Promoter Score ®?

  • NPS doesn’t tell you why customers promote you or not
  • People lie in surveys
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