net promoter score nps

Net Promoter Score (NPS®) – The Mantra to Measure Customer Satisfaction

CloudCherry | Featured | June 16, 2015


Net Promoter Score (NPS®) – The Mantra To Measure Customer Satisfaction

Net Promoter Score or NPS has become the staple diet for businesses that have a customer and more so if that customer happens to be the ultimate consumer. FMCG companies, Telcos and a wide variety of consumer facing service and product companies swear by NPS world wide. NPS practice is a Billion dollar Industry.


As the saying goes, You can’t control what you can’t measure.

So, the first step towards achieving customer delight is measuring it.

Enter Net Promoter Score

Net Promoter Score, popularly known as NPS is a metric every single brand across the globe is focusing on since it is said to be an indicator of how delighted customers are with your brand; The Net Promoter Score. Developed by Fred Reichheld of Bain & Company, a Global leader consulting firm, is a score that is measured over a 11-point scale ranging from 0 to 10 with Just one question – Believe me !!

“How likely are you to recommend us to your family & friends?”

NPS is considered a powerful metric for measuring customer delight because it is ‘delight’ that drives a customer to endorse/promote the product.

Based on the responses, they are classified as promoters(9 & 10), passives(7 & 8) and detractors(0 & 6). Customers who give a 9 & 10 are those whose expectations are exceeded and they’re truly delighted with your brand. They’re your promoters.The ones who gave a 7 & an 8 are just about satisfied & aren’t really delighted. They’re your passives. The detractors are the ones that have unmet expectations and aren’t even satisfied, forget being delighted.

Your Net Promoter Score is the difference between the percentage of promoters & detractors.

While the measure itself is very simple, it is the way an organisation uses it makes the real difference.

Measuring is the beginning, not the end.

Measuring NPS isn’t the end of your customer delight story. It is in fact just the beginning. You are measuring your Net Promoter Score. Great! But, how does it matter to your customer?

The objective here is achieving customer delight & not just measuring NPS. NPS is the means to an end. This is exactly where a lot of brands need help in taking this further. NPS has a treasure-trove of information behind it & all one needs to do is dig a little deeper.

So, what are your next steps?

  1. Analyze NPS data
  2. Derive insight
  3. Turn it into action
  4. Implement the steps
  5. Measure NPS again


This is an ongoing process which will help your brand evolve with time according to the preferences of your customers & thus keep them delighted. Until you analyze, derive insight & use it to delight your customers, there’s really no purpose in merely measuring it.

Follow-up with Everybody. Not just your Detractors

Following up with your customers after collecting NPS data is a great way to assure them that you are acting on it. It restores the faith they have in you that you’re genuinely a brand that listens.

Your detractors will certainly have some critical feedback for your brand & by fixing them, you up your service a few notches above. If they decide to give you a second chance, it is a clear case of win-win.

At the same time, your promoters may have a thing or two to say in your interest. Something that you may have never thought of & could be very helpful in boosting customer experience. So, never restrict your NPS follow-up to your detractors alone.

Also follow-up to find out if your ‘promoters’ really promoted your offering or not.

A loose cannon is not only useless but also dangerous

Opinions are everywhere. But, only a handful of them really matter. Similarly, the footfalls in your store consist of a wide range of people. It is quite likely that not every visitor to your store is a buyer. So, firing NPS questions at all of them can distort your insight and paint a picture that is not real. Survey only your customers. Leave the mystery shoppers, on-lookers, window shoppers etc. out of the picture as it is only the paying customers whose opinions matter.

And that isn’t all

There’s even more you can do with your NPS data. If your organization has an annual customer engagement event for your loyalty circle members, you can also create panels of detractors and promoters and design occasions to reach out to them for insights. This will help you derive deeper insight about your brand.

This might sound a bit futuristic, but hey, before you even know it, we’ll be there. Integrating your CRM data & your CEM data(which will also have your NPS data) can give you great insights.

How do you use your NPS data? Tell us about it in the comments section.

(NPS®, Net Promoter® & Net Promoter® Score are a registered trademark of Fred Reichheld, Satmetrix, and Bain & Company.)

This post originally appeared on BusinessLine and can be read here.