Net Promoter Score

Net Promoter Score: Customer Loyalty Measurement

Fred Reichheld, Bain 2003 Very Simple

Net Promoter Score (NPS) is a customer loyalty metric based on a single question: "How likely are you to recommend us?" It categorizes respondents into Promoters, Passives, and Detractors.

What Is It?

NPS is elegantly simple: one question on a 0-10 scale. "How likely are you to recommend [company/product] to a friend or colleague?" Responses classify customers into three groups.

Promoters (9-10) are loyal enthusiasts who refer others and fuel growth. Passives (7-8) are satisfied but vulnerable to competitors. Detractors (0-6) are unhappy customers who can damage your brand. NPS = % Promoters - % Detractors.

NPS works well with Kano Model for understanding what drives satisfaction, Customer Journey Mapping for identifying touchpoints, and Voice of Customer for deeper insights.

NPS calculation
Net Promoter Score: Scale, Categories, and Benchmarks

Quick Reference

Complexity
Very Low (2/10)
Time to Decision
1-2 weeks
Data Required
Very Low
Team Size
1-2
Objectivity
Low
Learning Curve
Instant

When to Use

  • Quick pulse on customer loyalty
  • Benchmarking against competitors
  • Tracking satisfaction over time
  • Identifying at-risk customers
  • Post-interaction feedback
  • Board-level reporting metric

When NOT to Use

  • As sole measure of customer health
  • For understanding why customers feel a certain way
  • In B2B with complex buying committees
  • When response rates are too low

Key Strengths

  • Simple: One question, easy to understand
  • Benchmarkable: Compare across industries
  • Actionable: Identify promoters and detractors
  • Quick: Fast to implement and analyze

Key Weaknesses

  • Can be misleading without follow-up
  • Doesn't explain why
  • Cultural bias in scoring
  • Gaming possible

How It Works

1 Primary InputCustomer survey responses (0-10 scale)
2 Data You NeedCustomer contact list, survey tool, response collection
3 Primary OutputNPS score (-100 to +100), segment breakdown, trend analysis