NPS – Net Promoter Score is one of the most popular customer loyalty measurement metrics.

Many different methods are used in customer experience measurement. NPS (Net Promoter Score), which emerged in the 2000s, has become a very popular measurement method in recent years.

What is NPS?

Net Promoter Score is a customer loyalty metric that calculates the probability of your customers recommending you based on the answer given to a single question and shows you this with a score between -100 and +100.

NPS was developed by Fred Reichheld, Bain & Company and Satmetrix Systems.

NPS was first introduced by Reichheld in the article titled “One Number You Need To Grow” published in Harvard Business Review in 2003.

How should the NPS question be?

The NPS question should be about the probability / probability of recommending. The answer to the question should include score options from 0 to 10.

NPS questions can be in the following formats:

• How likely are you to recommend us to your acquaintances?
• How likely are you to recommend our brand to your network?
• Would you recommend us to your acquaintances?
• Give a score between 0 and 10. 10 for definitely recommend, 0 for never recommend.
• Would you recommend our service?
• How likely are you to recommend this company to a friend or colleague?
• ‘If you were to give a score between 0 and 10 to the likelihood of recommending our company to a friend, what score would you give?’

How is NPS calculated?

When calculating NPS, your customers are classified according to their responses as follows:

0 – 6 = Detractors

7 – 8 = Passives

9 – 10 = Promoters

NPS = (Number of Promoters – Number of Detractors) / (Number of Respondents) x 100

Inactives who score 7 and 8 from these three groups are not taken into account in the calculation. The other two groups are proportioned as plus (+) and minus (-), resulting in a percentage score between -100 and +100. This score represents your business’s NPS®, or Net Promoter Score.

The most interesting thing about NPS calculation is that those who give 0 points and those who give 6 points have the same effect.

Through which channels can NPS be measured?

You can convey the NPS question to your customers through different channels. It is possible to measure NPS through channels such as website, IVR, SMS, e-mail, mobile application, kiosk.

How often should NPS be measured?

Today, many companies announce their NPS scores for the relevant period along with their periodic financial results.

NPS reports should be prepared periodically, such as every 3 months, every 6 months, or annually, and care should be taken to ask a customer the NPS question at most once in the same period. The measurement should not be done on a single day and should be distributed equally throughout the relevant period.

How should NPS results be evaluated?

The first question that comes to mind after NPS measurement: ¨What is a successful NPS score?¨

The answer to this question will vary by sector and region. First of all, you should look at the sector average that your business is in. While a score of +50 is a very successful score in some sectors, a score of +20 may be considered successful in some sectors.

However, we can say this; As long as NPS does not fall to – (minus) value, there is no need to panic, but if there is a negative value or a decreasing NPS, your business may be losing blood.

It is very important to follow the NPS score periodically. Measure NPS instantly and compare it in monthly, weekly or even daily periods.

Instead of a general NPS of your brand, you can measure NPS in your business based on sales channels or products and services. This breakdown can tell you more.

It is possible to have research companies measure NPS, but the healthiest method is to ask the customer for instant NPS scores at touchpoints.

NPS results of world’s famous brands

We see that the vast majority of companies on the Fortune 500 list perform NPS measurements. NPS results are usually announced with financial results.

The latest known NPS score of Apple, the world’s most valuable brand, is +47. The NPS score of Google, the leader in the search engine market, is +11. The NPS score of Google’s mobile application store, Google Play, is +30. Facebook, which has been on the agenda with scandals and has been losing blood, has a low NPS score of -21.

You can access the announced NPS results of the largest companies in this article.

Are there any negative aspects of using NPS surveys?

There are many discussions about NPS measurement. It is not possible to say that NPS is a 100% accurate method. There are various criticisms, especially about the calculation method. The fact that customers who give 0 and 6 points are considered equal in the calculation, and those who give 7 and 8 do not affect the calculation creates question marks in minds. Take a look at the 6 most common mistakes in NPS measurement.

Considering that it is very difficult to get 10 or 9 points from perfectionists, we cannot ignore the fact that the given points can vary from person to person.

Instead of using NPS as a customer experience measurement method alone, it would be right to position it as an auxiliary measurement method alongside evaluations made on the Likert scale or CSAT. It would be useful to ask why your customer gave this score with an open-ended question after the NPS question.

Start measuring NPS now

You can easily measure your business’s NPS with Wiseback. Request Demo from Wiseback and start measuring NPS and managing customer experiences in real-time.