How do you calculate the net promoter score for your product?

3 How to calculate NPS?

To calculate NPS, you need to subtract the percentage of detractors from the percentage of promoters. For example, if you have 100 customers who respond to your NPS survey, and 50 of them are promoters, 30 are passives, and 20 are detractors, your NPS would be:

NPS = (50/100) - (20/100) = 0.5 - 0.2 = 0.3

NPS can range from -1 to 1, where -1 means that all your customers are detractors and 1 means that all your customers are promoters. A positive NPS indicates that you have more promoters than detractors, which is a good sign for your product performance. A negative NPS indicates that you have more detractors than promoters, which is a bad sign for your product performance.

4 How to analyze NPS data?

Calculating NPS is not enough; you must analyze the data to understand why customers rate your product the way they do, and what you can do to improve their experience. To analyze NPS data, you can segment customers by characteristics such as demographics, behaviors, preferences, or feedback to identify which segments are more or less satisfied with your product. Additionally, tracking NPS over time can help you evaluate the impact of product updates, marketing campaigns, or customer service initiatives on customer satisfaction and loyalty. Lastly, act on customer feedback to improve product features, functionality, design, or value proposition. You can also follow up with customers to thank them for their feedback, address their concerns, or reward them for their loyalty.

5 How to use NPS to improve your product performance?

NPS is not just a number; it is a tool that can help you improve your product performance. With NPS, you can increase customer retention by identifying and reducing the number of detractors and increasing the number of promoters. This will in turn reduce customer churn and increase customer lifetime value. Additionally, engaging and delighting promoters can encourage them to spread positive word-of-mouth and referrals, which can boost your brand awareness and reputation. Finally, by listening to customer feedback, you can create a customer-centric product that meets their needs and expectations, delivering value and satisfaction.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?