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NPS® (Net Promoter Score®)

NPS, net promoter score, KPI

Michaela Isaksson avatar
Written by Michaela Isaksson
Updated over a week ago

NPS (Net Promoter Score)

NPS® (Net Promoter Score®) is a standardized measurement system that is used to measure customer loyalty and customer satisfaction. NPS® can be measured by asking customers:

    How likely are you to recommend us to your friends and colleagues?

NPS® helps organizations to predict the company's business growth, especially when NPS® score is compared to NPS® industry benchmark and to competitors' NPS® scores within the same industry. NPS® describes the company history but also the current customer experience in the company. NPS® score is useful when estimating wider trends in customer loyalty and the customers' willingness to recommend your company to their friends or colleagues.

In NPS® tool, there is typically used a scale 0-10 wherein the customers who answer 0 are not likely to recommend and the customers who answer 10 are highly likely to recommend.

So the responses can be divided:

  • 9-10 are promoters (highly likely to recommend),

  • 7-8 are passives (or neutral), and

  • 0-6 are detractors (not likely to recommend).

How NPS® is calculated?

The percentage of customers who are highly likely to recommend you (promoters), subtract those who are not willing to recommend your service or a product, for example. Additionally, they (detractors) aren't most likely to give you good word of mouth either.

% Promoters – % Detractors = NPS®. 

But what is a good NPS® then?

NPS® score can vary between -100 to 100. NPS® score between 

0-50 is good,

50-70 is excellent, and 

70-100 is world class.

More information about NPS® you can find in our blog here.

In addition to NPS®, a company can utilize other customer experience KPI's, such as CSAT and CES. If you like, you can read more about CSAT here, and CES here.

Wan't to learn more? Read about KPI’s in our blog

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