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A Summary of

A Practitioner's Guide to Net Promoter Score (NPS)

by
Sachin Rekhi
Sachin Rekhi
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NPS is a KPI that measures customer loyalty

  • Survey customers on how likely they are to refer the company on a scale of 0-10
  • Group responses into categories: promoters (9-10), passives (7-8), and detractors (0-6)
  • NPS = % of promoters - % of detractors
  • Score ranges from -100 (all detractors) to +100 (all promoters)
  • NPS > 0 is good; NPS >50 is excellent

Collection Methods

  • Send survey through email to customers or through in-product prompt
  • Offer survey on both mobile and desktop platforms to optimize responses
  • Be care of potential bias from more engaged customers

Sample Selection and Size

  • Survey random sample that reflects user base’s actual engagement levels and customer tenure
  • Administer the survey to align with product planning cycle

Analysis

  • Focus on successes with promotors just as much as concerns of detractors
  • Target product optimization by deducing its “magic moment” or what activates users

Limitations

  • Infrequent results make for poor metric for day-to-day analysis
  • Sample size might induce margin of error
  • NPS should not replace product strategy
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