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NPS

General

Net Promoter Score

A customer loyalty metric derived from a single 0โ€“10 'likelihood to recommend' question, calculated as the percentage of Promoters minus the percentage of Detractors.

Definition

Net Promoter Score (NPS) is a customer loyalty metric built around a single survey question: "How likely are you to recommend [company/product] to a friend or colleague?", answered on a 0โ€“10 scale. Based on their score, respondents are sorted into three groups: Promoters (9โ€“10), who are loyal enthusiasts likely to keep buying and referring others; Passives (7โ€“8), who are satisfied but unenthusiastic and vulnerable to competitive offers; and Detractors (0โ€“6), who are unhappy customers who can damage a brand through negative word-of-mouth.

NPS was developed to be a simple, comparable proxy for overall customer loyalty and growth potential, replacing longer satisfaction surveys with one number that's easy to track over time and benchmark across companies and industries.

Formula

NPS = %Promoters โˆ’ %Detractors

Where:

  • %Promoters = (Number of respondents scoring 9โ€“10 / Total respondents) ร— 100
  • %Detractors = (Number of respondents scoring 0โ€“6 / Total respondents) ร— 100
  • Passives (scores of 7โ€“8) are included in the total respondent count but excluded from the subtraction

The result is expressed as a whole number (not a percentage) ranging from -100 (every respondent is a Detractor) to +100 (every respondent is a Promoter).

Worked Example

A software company surveys 200 customers with the recommend-a-friend question:

Group Score Range Respondents % of Total
Promoters 9โ€“10 90 45%
Passives 7โ€“8 60 30%
Detractors 0โ€“6 50 25%

NPS = 45% โˆ’ 25% = 20

A score of 20 is positive and acceptable, but with 25% of respondents actively unhappy, the company has room to convert Passives into Promoters through improved onboarding and support. Use the Net Promoter Score calculator to compute your score directly from survey response counts.

Key Things to Know

  • NPS predicts behavior, not just sentiment: Promoters are statistically far more likely to make repeat purchases, upgrade, and refer new customers, which is why NPS often correlates with conversion rate improvements when referral programs are layered on top.
  • Segment your NPS, don't just track the headline number: Breaking NPS down by customer tenure, plan tier, or acquisition channel reveals which segments are dragging the score down, rather than treating the company-wide average as actionable on its own.
  • Passives are the biggest growth lever: Because Passives sit just below the Promoter threshold, targeted engagement campaigns to move them up 1โ€“2 points on the scale can meaningfully lift NPS โ€” closely tied to overall engagement rate with the product.
  • Sample size and timing bias matter: A tiny sample or a survey sent only to recently onboarded users will produce an unrepresentative score โ€” always survey a consistent, adequately sized cross-section of the customer base.
  • Low NPS is an early warning for churn rate: Detractors are disproportionately likely to cancel or switch providers, so a declining NPS trend often precedes a rise in churn by one or two quarters.
  • NPS should be paired with open-ended follow-up: The single 0โ€“10 score tells you what customers feel, but a follow-up "why did you give that score?" question is what tells you what to fix.

Frequently Asked Questions

NPS scores above 0 are considered acceptable, above 30 is good, above 50 is excellent, and above 70 is world-class. Benchmarks vary heavily by industry โ€” SaaS companies often average 30โ€“40, while telecom and cable providers frequently score below 0. Use the [Net Promoter Score calculator](/net-promoter-score-calculator/) to see how your score compares once you enter your survey responses.
NPS is Promoters minus Detractors, so if more respondents are Detractors (scoring 0โ€“6) than Promoters (scoring 9โ€“10), the result is negative. A score of -20, for example, means Detractors outnumber Promoters by 20 percentage points of respondents. Negative scores signal that unhappy customers currently outweigh loyal advocates, which is a warning sign for churn and negative word-of-mouth.
Passives (scores of 7โ€“8) are counted in the total respondent base used to calculate percentages, but they are excluded from the numerator โ€” they contribute to neither the Promoter nor the Detractor count. This means a survey with many Passives will have a 'compressed' NPS, since a large neutral middle dilutes the score's sensitivity in either direction.
CSAT measures satisfaction with a specific interaction or transaction, typically on a 1โ€“5 scale, and is best for short-term, tactical feedback. NPS measures overall relationship loyalty with a single forward-looking question โ€” 'how likely are you to recommend us' โ€” and is better suited to tracking long-term brand health and predicting referral behavior and churn.
Most companies run relationship NPS surveys quarterly or twice yearly to track trends without over-surveying customers, while transactional NPS (sent after a specific purchase or support interaction) can run continuously. What matters most is consistency in survey timing, audience, and wording so scores are comparable period over period.