Demand Generation

Net Promoter Score

Friday, June 14, 2019

How a Net Promoter Score program can grow your business

Businesses invest a lot of time and money on complicated tools to assess customer satisfaction to drive growth. However they are measuring the wrong variables. The best predictor of top-line growth can be captured in a two survey questions. On a scale of 0-10 Would you recommend company X to a friend/colleague? Why did you select that score?

This finding is based on two years of research in which a variety of survey questions were tested by linking the responses with actual customer behavior—purchasing patterns and referrals—and ultimately with company growth. Surprisingly, the most effective question wasn’t about customer satisfaction or even loyalty per se. In most of the industries studied, the percentage of customers enthusiastic enough about a company to refer it to a friend or colleague directly correlated with growth rates among competitors.

Willingness to talk up a company or product to friends, family, and colleagues is one of the best indicators of loyalty because of the customer’s sacrifice in making the recommendation. When customers act as references, they do more than indicate they’ve received good economic value from a company; they put their own reputations on the line. And they will risk their reputations only if they feel intense loyalty.


The findings point to a new, simpler approach to customer research, one directly linked to a company’s results. By substituting a single question—blunt tool though it may appear to be—for the complex black box of the customer satisfaction survey, companies can actually put consumer survey results to use and focus employees on the task of stimulating growth.


Hear every single customer

By substituting a single question for the complex black box of the typical customer satisfaction survey, companies can actually put consumer survey results to use and focus employees on the task of stimulating growth.

Know exactly how to retain customers

Net Promoter Score®, or NPS®, measures customer experience and predicts business growth. This proven metric transformed the business world and now provides the core measurement for customer experience management programs the world round.

Deliver recommended actions to the people in the best position to respond

Calculate your NPS using the answer to a key question, using a 0-10 scale: How likely is it that you would recommend [brand] to a friend or colleague?

Respondents are grouped as follows:


Deliver breakthrough customer experience across any use case
  • Pre-Purchase (score 0-6) are unhappy customers who can damage your brand and impede growth through negative word-of-mouth.
  • Purchase (score 7-8) are satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
  • Post-Purchase (score 9-10) are loyal enthusiasts who will keep buying and refer others, fueling growth.

Subtracting the percentage of Detractors from the percentage of Promoters yields the Net Promoter Score, which can range from a low of -100 (if every customer is a Detractor) to a high of 100 (if every customer is a Promoter).

Calculate your NPS

Using the answer to a key question, using a 0-10 scale: How likely is it that you would recommend [brand] to a friend or colleague?

Respondents are grouped as follows:

  • Promoters (score 9-10) are loyal enthusiasts who will keep buying and refer others, fueling growth.
  • Passives (score 7-8) are satisfied but unenthusiastic customers who are vulnerable to competitive offerings.
  • Detractors (score 0-6) are unhappy customers who can damage your brand and impede growth through negative word-of-mouth.

Subtracting the percentage of Detractors from the percentage of Promoters yields the Net Promoter Score, which can range from a low of -100 (if every customer is a Detractor) to a high of 100 (if every customer is a Promoter).


How do you crate an NPS?

NPS surveys are relatively easy to create (in fact free templates like ours mean the work is done for you) but you must think about the long-term data use when deciding how you’ll administer them. You could use survey software, but that will limit your ability to take action on the results because it only measures one metric. We recommend using a Customer Experience Management Platform or NPS software to get a comprehensive view of your customers. Customer experience management platforms allow you to keep track of all the interactions your company has with your customers, both current and potential. You can then use NPS data to see which touchpoints have high NPS scores and which touchpoints have lower scores.

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