*The Net Promoter Score (NPS) is a market research metric that gauges client loyalty based on a single survey question. Respondents are asked to rate their likelihood of recommending a company on a scale of 1 to 10.
Here’s how it works:
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Respondents are divided into three categories:
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Promoters: these are individuals who provide ratings of 9 or 10.
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Passives: give ratings of 7 or 8.
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Detractors: these respondents provide ratings of 6 or lower.
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The Net Promoter Score is calculated by subtracting the percentage of detractors from the percentage of promoters. The result is typically expressed as an integer rather than a percentage.
NPS scores range from -100 to +100, offering insights into customer loyalty and satisfaction. An NPS above 0 is considered good and an NPS above 50 is considered excellent.