How to Calculate Your Net Promoter Score (NPS)

NPS faces

Net Promoter Score (NPS) is a critical metric used by businesses to gauge important metrics such as customer satisfaction and retention. 

It's a simple yet powerful figure that provides insights into customer sentiment and helps drive improvements in products, services, and overall customer experience. 

In this blog post, we'll delve into the process of calculating net promoter score, understand its significance, analyze its implications, and explore methods to collect NPS data effectively.

Why Does NPS Need to be Calculated?

NPS serves as a barometer of customer loyalty and satisfaction, offering businesses a clear picture of their standing in the market. 

By calculating NPS, companies can identify promoters, passives, and detractors within their customer base. 

Promoters are loyal enthusiasts who advocate for the brand, while detractors are unhappy customers who can potentially damage the brand's reputation. Passives fall in between, neither promoting nor detracting significantly.

Understanding the percentage of promoters, passives, and detractors enables businesses to prioritize efforts aimed at converting detractors into promoters and enhancing customer satisfaction overall. 

NPS calculation provides a quantifiable measure of customer sentiment, facilitating data-driven decision-making and strategic planning.

NPS Expanded & Interpreted

A net promoter score is calculated based on responses to a single question: "How likely are you to recommend our product/service to a friend or colleague?" 

Respondents typically rate their likelihood on a scale of 0 to 10, with 0 being highly unlikely and 10 being highly likely.

To calculate NPS, respondents are segmented into three categories:

  1. Promoters: Respondents who rate the likelihood of recommendation as 9 or 10.
  2. Passives: Respondents who rate the likelihood as 7 or 8.
  3. Detractors: Respondents who rate the likelihood as 0 to 6.

The NPS formula subtracts the percentage of detractors from the percentage of promoters to yield a score ranging from -100 to 100. 

A good net promoter score indicates a healthier customer sentiment and greater potential for business growth, while a negative score suggests significant room for improvement.

NPS survey question

Analyze Your Current NPS Score

Analyzing your current NPS provides valuable insights into customer satisfaction metrics, trends, and areas for improvement. 

This is why our net promoter score company recommends regular monitoring of the metric. Doing so enables businesses to track performance over time, identify patterns, and measure the effectiveness of initiatives aimed at enhancing customer experience.

Additionally, comparing NPS ratings across different segments, such as demographics, geographic regions, or product lines, can reveal disparities in customer satisfaction and highlight areas requiring targeted interventions. 

Plus, by drilling down into the underlying reasons for variations in NPS scores, businesses can effectively tailor strategies to address specific customer needs and preferences.

Recommended Reading: Improving Your Net Promoter Score (& Why It's Important)

Use Customer Surveys to Collect Your NPS Data

Collecting NPS data efficiently is essential for obtaining accurate insights and driving actionable outcomes. The best way to do that is with customer satisfaction surveys.

Online surveys represent a convenient and cost-effective method for gathering NPS feedback from customers across diverse demographics and geographic locations.

NPS Survey Types

Depending on your industry, audience type, and key objectives there are different types of NPS surveys to choose from.

From our experience, most clients choose between a transaction survey or a relationship survey. 

  • Transactional Surveys: Sent immediately after a specific interaction or transaction, transactional surveys capture real-time feedback regarding the customer experience.

  • Relationship Surveys: Conducted periodically, relationship surveys assess overall satisfaction and loyalty towards the brand over an extended period.

By leveraging an online survey company, like Drive Research, you can lean on expert opinions to determine what type of NPS survey is best for your unique needs and goals.

How We Can Help

At Drive Research, we understand the importance of NPS in driving customer-centric strategies and fostering long-term relationships with clients. 

Our comprehensive suite of market research services and resources empowers businesses to lean on our team to measure, analyze, and optimize their NPS scores effectively.

We also act as net promoter score consultants, providing meaningful and actionable recommendations in addition to survey insights. After fielding the survey data, you’ll receive more than an export of data and numbers. 

Many of our reports include a question-by-question analysis, key takeaways, executive summary sections, data visualizations, and industry benchmarking data.

You will walk away with actionable recommendations from the data we collect to accelerate business strategy.

Contact Our Net Promoter Score Company

Drive Research is a full-service market research company specializing in net promoter score surveys.

Our team of senior market research professionals manages each aspect of your NPS survey to ensure 100% quality respondents and data. This includes survey design, programming, fielding, and analyzing feedback.

Interested in conducting an NPS survey with our team? Contact us through any of the four channels below.

  1. Message us on our website
  2. Email us at[email protected]
  3. Call us at888-725-DATA
  4. Text us at 315-303-2040

emily carroll about the author

Emily Rodgers

A SUNY Cortland graduate, Emily has taken her passion for social and content marketing to Drive Research as the Marketing Manager. She has earned certificates for both Google Analytics and Google AdWords.

Learn more about Emily, here.


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