liveBook · Manning

Net promoter score

As explained in Effective Data Analysis

The Net Promoter Score is a standardized customer-loyalty metric calculated as the percentage of promoters minus the percentage of detractors.

Net promoter score (NPS) is a standardized measure used to gauge customer satisfaction and loyalty. It starts with one question: how likely is a customer to recommend a business, product, or service? Customers answer on a scale from 0 (“not at all likely”) to 10 (“extremely likely”). section 6.1.2

Responses are grouped before the score is calculated:

  • Promoters give a 9 or 10 and are considered likely to continue using and recommending the offering. section 6.1.2
  • Passives give a 7 or 8 and are treated as neither actively promoting nor discouraging others. section 6.1.2
  • Detractors give a lower score and are considered likely to discourage others. section 6.1.2

Subtract the percentage of detractors from the percentage of promoters to get NPS, a score from −100 to 100. The simple calculation makes it easy to track the score over time and benchmark it against other businesses. The question uses an 11-point, single-response Likert scale and often includes a free-text follow-up asking why the customer chose that rating. section 6.1.2 section 6.2.2

Treat the score as a starting point, not a complete account of customer experience. One recommendation question cannot establish the reasons behind a rating or fully describe satisfaction and loyalty. Read the accompanying written responses to investigate positive and negative aspects of the offering before deciding what to change. section 6.1.2 section 6.2.2

How Effective Data Analysis covers it

How deep it goes
Defines response groups and the percentage calculation, then explains why one question cannot reveal customers’ reasons.
Examples
Uses recommendation prompts on websites or in marketing emails and a free-text follow-up asking customers to explain their ratings.
What it assumes
Introduces the 0–10 response groups and percentage subtraction before discussing how the question fits a self-report survey.
What you can do after
Evaluate/understand NPS as a benchmark while recognizing that the score alone does not explain customers’ responses.
How it connects
Links NPS to Likert scales, self-report measures, customer satisfaction, customer loyalty, and qualitative survey responses.

Related concepts

This explainer was generated by Manning's knowledge graph from the text of Effective Data Analysis. The section links point to the parts of the book it draws on.