NPS or net promoter score is a vital metric sales teams use to assess the loyalty of their customers. In a nutshell, this metric is used to calculate the likelihood of a particular customer to recommend your products or services to people who surround them. Simply put, it is an indicator of your clients’ willingness to promote your brand.
As a rule, teams use a 10-grade system to evaluate a customer’s loyalty. Based on each customer score, they can be attributed to one of three basic categories:
- Detractors – usually, customers with a score from 0 to 6, or those who are not satisfied with your product or services and can harm your reputation;
- Passives – clients with a score from 7 to 8, who are satisfied with your brand but not enthusiastic enough to promote it;
- Promoters – clients with the highest scores (9-10), who are satisfied and actively promote your company.
How can you calculate your net promoter score?
It’s easy! To do this, you can use a standard formula: the percentage of all Detractors should be subtracted from the percentage of Promoters.