A customer loyalty metric based on how likely people are to recommend a company, product, or service.
A simple relationship measure commonly used to monitor customer sentiment over time.
Short and sweet:
A customer loyalty metric based on how likely people are to recommend a company, product, or service.
A simple relationship measure commonly used to monitor customer sentiment over time.
See also: Customer Satisfaction, Customer Loyalty, Customer Retention
Net promoter score is calculated by asking customers how likely they are, on a zero-to-ten scale, to recommend a business to someone else, then subtracting the percentage of low-scoring detractors from the percentage of high-scoring promoters to arrive at a single number that can range from negative 100 to positive 100. Its main appeal is simplicity, since it condenses a broad sense of loyalty and satisfaction into one figure that’s easy to track over time and compare across periods or even competitors. Critics point out that the single number hides a lot of nuance behind why people answered the way they did, which is why many companies pair NPS with open-ended follow-up questions rather than relying on the score alone.
Airlines like Delta regularly survey passengers with the classic Net Promoter Score question, asking how likely they are on a scale of 0 to 10 to recommend the airline to a friend.
Apple consistently posts one of the highest scores of this kind in consumer electronics, a reflection of the fierce loyalty its customers show toward the brand.
A SaaS company tracking this figure over several quarters might notice a steady decline right after a product update, a warning sign worth investigating before it shows up in churn numbers.
