NPS
Net Promoter Score (NPS) is a simple metric, from -100 to 100, that measures customer loyalty by asking one question: 'How likely are you to recommend our company/product/service to a friend or colleague?'
How it works
Respondents are grouped into Detractors (score 0-6), Passives (score 7-8), and Promoters (score 9-10). The score is calculated by subtracting the percentage of Detractors from the percentage of Promoters. It matters because it provides a clear, standardized benchmark for customer satisfaction and business growth potential.
Examples
- 1.A SaaS company surveys its users after a support interaction to gauge overall satisfaction and identify areas for improvement.
- 2.A product team uses a consistently low NPS for a specific feature to prioritize a redesign in the next development cycle.
- 3.Company leadership tracks NPS quarterly as a key performance indicator (KPI) for the health of the customer base.