NPS Calculator
What is net promoter score (NPS)?
Net Promoter Score (NPS) is a metric that is used to measure customer loyalty and satisfaction. It helps you to determine the likelihood of customers recommending your product or service to others. To calculate this rate, an NPS survey is performed where customers are asked how likely they are to recommend a particular product on a scale of 0 to 10.
Relevant channels: Customer experience management, product management, marketing, and customer service.
How to use this NPS calculator
To calculate your NPS, simply enter the number of respondents in each category—promoters, passives, and detractors. The calculator will then provide your NPS, which can help you understand your customers’ overall sentiment towards your brand.
Note: Based on the responses you get in your NPS survey, you can categorize your customers into the following categories:
- Promoters (score 9-10): These are loyal customers who will recommend your products to others.
- Passives (score 7-8): These are satisfied but unenthusiastic customers who may be open to try competitor products.
- Detractors(score 0-6): These are customers who are dissatisfied with the product and can hurt your brand reputation through negative word-of-mouth.
NPS formula
NPS = Percentage of Promoters - Percentage of Detractors
Understanding the NPS result
Your NPS score can be either positive or negative. Generally, a score over 50 is considered to be an excellent one.
- A positive NPS indicates that you have more promoters than detractors, which suggests that your business is healthy and growing. A higher NPS indicates a greater number of people who are satisfied and would promote your product.
- A negative NPS indicates that you have more detractors than promoters. This signals that you must take immediate action to address customer dissatisfaction.
When to calculate NPS
Here are some key scenarios where you should calculate your NPS:
- After a product launch or service update to gauge customer feedback
- During quarterly or annual performance reviews to monitor customer loyalty trends
- After significant changes to customer service or support strategies
- When comparing performance against competitors or industry benchmarks
- To assess the effectiveness of customer experience improvement initiatives
How to calculate NPS with example
Suppose you conducted a survey with 200 respondents. If 120 are Promoters, 50 are Passives, and 30 are Detractors, you would calculate your NPS as follows:
NPS = Percentage of Promoters - Percentage of Detractors
Promoters: (120/200) X 100 = 60%
Detractors: (30/200) X 100 = 15%
NPS: 60% - 15% = 45
In this example, your NPS would be 45, indicating a strong level of customer loyalty.
How to improve your NPS
- Address customer feedback proactively
- Improve the quality of your products or services
- Enhance customer support and engagement strategies
- Create personalized customer experiences
- Regularly communicate updates and improvements to your customers
- Monitor and analyze NPS trends to identify areas of improvement
- Foster strong customer relationships through loyalty programs
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