Understanding Net Promoter Scores

You are online, you have decided what to buy, struggled through the checkout process with card verification, delivery charges and a delivery address and then a pop up asks you ‘how likely you are to recommend our company to a friend?’ Your answer gives the company its Net Promoter Score (NPS).

The concept behind the NPS is that you are either a promoter for the business, a detractor or a neutral. The validation for the score suggests that the promoters will do more than just tell a friend about the business, they are likely to exhibit more loyalty to the company, buying more over a longer period. The detractors, on the other hand, have the potential to damage your business and are likely to move on to another business. So overall the NPS measures the health of the business through a combination of customer satisfaction and potential business growth.