The NPS (Net Promoter Score) is used to measure customers' loyalty by asking the question of how likely it is that they will recommend your business, brand, website, product or service to their friends or family. Surveying and analysis of willingness to recommend will help you increase customers' satisfaction, which, in the long term, will have a positive impact on your performance.

The growing involvement of businesses in Customer Experience activities makes the need to measure and compare the effectiveness of implemented strategies becomes crucial. For those purposes, universal indicators such as the Net Promoter Score are increasingly being used, a standard created by specialists to investigate customers' loyalty and satisfaction.

What the Net Promoter Score is

In general, the NPS is a tool to help in quality management and ultimately to generate an increase in customers' satisfaction. What's more, due to the unified nature of that indicator, in addition to the referring to the initially measured values, it is possible to compare the obtained data in regard to a particular segment, both on local and global markets. Finally, the NPS, along with deepening questions, allows for identification of problems and inconveniences faced by customers and users, which leads directly to improvement of quality and real revenue growth.

The Net Promoter Score is calculated based on responses to one simple question:

"How likely is it that you would recommend [name of company / product / website / services] to your friend or colleague?"

The users answer with a 11-point scale ranging from 0 to 10, where „0" means no willingness to recommend and „10" indicates full loyalty and satisfaction. Based on the collected responses, the users are divided into three groups: the Detractors (those who responded with the score from 0 to 6), the Passives (responses with the score of 7-8, which mean relatively satisfied, but less likely to recommend users) and the Promoters (persons who have declared their likelihood to express their positive opinions and to recommend the company / product / website to their friends or colleagues). The NPS itself is the result of a simple equation and is obtained by subtracting the percentage of active Detractors from the percentage of Promoters  - the result may be negative or positive, within the range from -100 (all users are Detractors) to 100 (all users are willing to recommend the company / product / website). It is assumed that positive index shows good standards, and when it is higher than 50, it means the success. However, although the NPS results from subtracting the percentage of detractors from the percentage of promoters, you should not forget about the Passives – they are the main target for future actions, as they are the persons the easiest to be won over to the Promoters' side. You can read more about the Net Promoter Score on a website dedicated to our tool for NPS surveying. 

Benefits from NPS surveying

Customers' quick getting used to higher levels and quality of service makes today's innovation becomes a standard tomorrow, and weak solutions previously tolerated are not acceptable. For that reason, specialists have been trying for years, with varying degrees of success, to develop the methods for testing consumers' attitudes and behaviors - and although none of those methods is perfect, many major players have recognized the NPS survey as the most effective and useful tool to measure the loyalty.

Main advantages of the Net Promoter Score:

• Ease of survey: one question about the loyalty is enough to determine basic NPS, and the collected answers are presented in readable form and constantly updated.
• Ease of analysis: The obtained data can be easily presented in the charts, and comparisons with the results of other surveys allow for surprisingly useful findings.
• Utility warranty: thousands of companies around the world - including, among others, Apple, Phillips, American Express – use NPS surveys for analyzing consumer behavior to improve the quality of service. The experience of those companies and the developed solutions enable full use of that survey.
• Survey flexibility: the NPS is a very flexible indicator, it allows not only to investigate the overall image of a company or a brand but also to complement the surveys on a particular service, product, or even function or sub-pages within a website or in mobile application. The Net Promoter Score may be used both in online and offline surveys!
• Usefulness of the solutions: referring the NPS to the answers to deepening questions will allow you to identify critical points, weaknesses, problems and inconveniences that may have affect satisfaction and willingness to recommend.
• Growth determinant: surveys confirm that the NPS growth is directly correlated with the increase in revenues, as it is connected directly with growth of loyalty of current customers, and increases the influx of new visitors who are more likely to decide to use the services or to purchase the product.

Meeting the expectations of current and future customers is the key to success!

"When users are really happy, they tell their friends about us, and few of them give up our services. All is driven by users; they inform their friends about great premieres, exclusive materials and all the other attractions that make people go crazy over Netflix. It is a mixture of both of those things. But most of all in terms of user satisfaction. " - Reed Hastings, the Netfix CEO.