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What is a Net Promoter Score? (NPS)

The Net Promoter Score comes from measuring the responses to the following question:
“On a scale from 1 to 10 how likely would you be to recommend (company/product/service) to a friend or colleague?”
  • The people who answer 9-10 are your promoters (They love your product!)
  • The people who answer 0-6 are your detractors (They might be having issues.)
  • The people who answer 6-8 are your passives (They are still getting to know your product.)

How is NPS calculated?

Take the total number of people who answered and convert each group into percentages. Subtract the percentage of detractors from the percentage of promoters. Exclude the passives.
For example:
100 people answered your survey: 40 were promoters, 30 were detractors, 30 were passives
40%-30%=10%
Your net promoter score is 10!

How to interpret your NPS Score? What is a Good NPS score, and What is Bad?

NPS scores can range from -100 to 100. If you have more detractors than promoters, you will have a negative score. With more promoters you will have a positive score.
The definition of a ‘good’ vs. ‘bad’ NPS will vary across different industries. To see whether your NPS score is good or bad, you need to compare it against the ‘benchmark’ average for your industry. Here are the industry benchmarks for a few most common industries (see left).
 
A few rules of thumb:
  • If you have an NPS higher than 0 it means that the more of your customers are happy than dissatisfied.
  • Across industries, NPS scores between 0 and 30 are considered good,while 50+ NPS score is excellent.
Check out our blog post to see if you have a good NPS score and learn how to improve it.


How to make most out of your NPS score with tools

NPS score userpilot
NPS score userpilot
You will also want interactive insights and segmentation so that you can take action based on the results-rather than leaving it as many SaaS companies do-a vanity metric.

See our list of NPS tools for 2021 here.
With a tool like Userpilot you can easily launch an in-app NPS survey and see the breakdown of different responses by score.
nps responses
NPS over time
Then you can dive deeper into the answers of your follow up question and segment between your promotors, passives, and detractors.
Segment even further by tagging responses with specific keywords and see user sentiment at scale.
 
Understand *why* most of your users feel in a particular way – good or bad based on their common user behavior patterns and responses.
 You can then create in-app experiences that immediately address the scores and responses of each segment you have created.
  • Only focus on users who fit your customer persona. Most likely a large portion of your detractors won’t like your product because it wasn’t built for them.
  • Focus on the issues that align the most with your product roadmap.
  • Convert passives into promotors, market your product aggressively to your promotors, shift your detractors into passives.
Finally, you are able to see what are the topics and the features that are contributing the most negatively and positively to your NPS score-and take specific actions to fix or amplify the issues.
 
By tracking your NPS score over time, in real-time, you will know which feature releases have the most impact on customer satisfaction and which updates might be tanking your score.
Userpilot lets you build NPS surveys for your product with zero code and with its advanced analytics feature, you can track which users are your promoters and detractors!
Based on their responses, you can find the common themes in their behavior and create product experiences that will improve your overall NPS score!
NPS score userpilot

Why the Net Promoter Score matters

The NPS is the world’s leading metric for measuring customer loyalty and satisfaction. Here are three reasons why you should adopt it:
  1. You can easily collect scores at scale. By asking customers the Net Promoter question, you can receive feedback from a large share of your customer base, quickly.
  2. You can track the score over time. Is your score going up or down? Understanding its trajectory and what influences it can help your organization focus on the areas that matter most to your customers.
  3. It helps you identify and focus on initiatives that drive customer retention and growth. When customers are successful, so are you. For example, Gartner discovered that 80% of an organization’s future revenue growth comes from only 20% of current customers.