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Net Promoter Score and NPS are registered trademarks of Bain & Company, Inc., Fred Reichheld and Satmetrix Systems, Inc

Your score comes from the Net Promoter Score question which typically takes the following form:

“How likely would you be to recommend (fill in the blank) to a friend of colleague?”

The fill in the blank can be a company or a specific product/service.

The question prompt is followed by a rating scale, asking the respondent to select a number from 0 (least likely to recommend) to 10 (most likely to recommend).

Depending on the number each customer selects, we’d group them into one of three groups:

Promoters: Customers who select a 9 or 10 rating. This group represents your most satisfied customers with the highest chance of recommending your services to others.

Passives: Customers who select a 7 or 8 rating. This group is relatively satisfied but can be swayed to a competitor based on factors like price, new features, customer service, etc.

Detractors: Customers who select a rating between 0 to 6. They’re your least content customers who are not only at risk of leaving, but also of sharing their negative experiences with others.Related: What a good NPS looks like across different industries!

Once all your the responses come back, you can get your score using the following Net Promoter Score calculation:

To help you understand this formula, let’s walk through a brief example.

Say you’ve collected 150 responses to your NPS question. The distribution of the scores looks like this:

  • 80 customers gave either a 9 or 10 rating
  • 30 customers gave either a 7 or 8 rating
  • 40 customers gave between a 0 to 6 rating

This means you have 80 Promoters, 30 Passives, and 40 Detractors. To calculate the percentage of Promoters, use the following formula:

To find the percentage of Detractors use the same formula. Just substitute the total number of Promoters for Detractors.

This means you have 80 / 150 * 100% = 53% Promoters, while your percentage of detractors is 40 / 150 * 100% = 27%

Subtracting the percentage of Promoters from the percentage of Detractors give you the Net Promoter Score:

You’ll notice that the score is positive. This isn’t always the case. Net Promoter Scores can range from -100 to 100, depending on the scores and their distribution.

The NPS is the world’s leading metric for measuring customer loyalty and satisfaction. Here are three reasons why you should adopt it:

  1. You can easily collect scores at scale. By asking customers the Net Promoter question, you can receive feedback from a large share of your customer base, quickly.
  2. You can track the score over time. Is your score going up or down? Understanding its trajectory and what influences it can help your organization focus on the areas that matter most to your customers.
  3. It helps you identify and focus on initiatives that drive customer retention and growth. When customers are successful, so are you. For example, Gartner discovered that 80% of an organization’s future revenue growth comes from only 20% of current customers.

This is only a fraction of the benefits from using the score. To learn more, read our ultimate guide to the NPS.

We have other calculators, too! Check out our A/B testing calculator to see if your results are statistically significant.

A “good” score is hard to pin down.

Unfortunately, there isn’t a one-size-fits-all answer. Scores can vary dramatically, depending on factors like industry and company size. This means you’ll want to benchmark your score against competitors to truly know where you stand.

SurveyMonkey Benchmarks can help you do just that. When you use SurveyMonkey to ask an NPS question, we not only perform the Net Promoter Score calculation automatically, but also allow you to compare your score to other companies in your size and industry.

Businesses that use the Net Promoter Score are more likely to be successful. When we surveyed approximately 600 businesses, we found that more than 80% of those who use the score view themselves as either very or extremely successful. And roughly a third who use it estimate annual growth rates of greater than 10%, on average, per year.

So take the time to write quality surveys that include the NPS question. We have several survey templates, like our Net Promoter Score Survey Template and our NPS and Brand Loyalty Survey Template, that include other customer-experience questions to help you contextualize your NPS results.

Ready to take your customer experience to the next level? Learn how our turn-key NPS solution, SurveyMonkey CX, can help.

NPS, Net Promoter & Net Promoter Score are registered trademarks of Satmetrix Systems, Inc., Bain & Company and Fred Reichheld.

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