Net promoter score

Net promoter score (NPS) is a market research metric that is based on a single survey question asking respondents to rate the likelihood that they would recommend a company, product, or a service to a friend or colleague.

[2] Proponents of the Net Promoter approach claim the score can be used to motivate an organization to become more focused on improving products and services.

[3] The primary objective of the net promoter score methodology is to infer customer loyalty (as evidenced by repurchase and referral) to a product, service, brand, or company on the basis of respondents' responses to a single survey item.

[7]: 49–51 [7]: 61–65 [7]: 77–81 [10] For some industries, in particular annuity-based business-to-business software and services, it has been shown that Detractors tend to remain with a company, while Passives are more likely to leave.

[12] As it represents responses to a single survey item, the validity and reliability of any corporation's NPS ultimately depend on collecting a large number of ratings from individual human users.

[15] While the net promoter score has gained popularity among business executives and is considered a widely used instrument for measuring customer loyalty in practice, it has also generated controversy in academic and market research circles.

He recommended tracking repeat customers and referrals by other means, and conducting a small number of conversations if needed to identify problems and opportunities for improvement.

Net Promoter Score (NPS)