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All About NPS

Marketing today has made its way into the online virtual realm. Like many merchants, traders, entrepreneurs, and businessmen who see the possibilities of the internet – we will see a large increase in online products.

Are you an independent entrepreneur wondering what NPS is all about? Today, we will discuss more what NPS is all about. Later on, we will also tackle why it plays a crucial role in your business.

Net Promoter Score (NPS)

While the majority of the world is slowly trying to get its industries back after the pandemic, there has been a surge in online marketing. Many people in the past two years now rely on online methods of purchasing items they need from different online sources.

However, as many of them now exist online, many online merchants worry about getting more return customers.

NPS is the popular term for Net Promoter Score. It serves a major role in businesses since it helps their owners determine if their product promotions are working.

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It is bad for your whole business, company, or brand to have an NPS detractor promoter that is unhappy with your products. These NPS detractors represent the probability that they will not buy from you again.

To recover from having a Net Promoter Score, it is mindful to keep tabs on customers that seem to be unsatisfied with your products. Another way is to remind yourself to increase the ratio of promoters against the number of your detractors.

By doing this, you will have an improvement with your overall Net Promoter Score.

How is the Net Promoter Score Calculated?

Net promoters play a major role in the visibility of your product regarding the human population. Taking advantage of gossip and daily small talk, any person who is satisfied with your product can spread its positive attributes. It will result in hopeful yields and gaining revenue.

To discover the number of Promoters and Detractors, many businesses give a two-minute questionnaire to their customers. The questionnaire asks your customers how likely they will promote your product to their relatives, friends, and acquaintances.

After answering the two-minute questionnaire, your customers will be grouped into the following.

  • Promoters (Score: 9-10) are people that enjoy using your product and have a high chance of returning.
  • Passives (Score: 7-8) represent the group of customers who like your product but are still gullible to purchase another brand.
  • Detractors (Score: 0-6) are customers who will only buy your product once and might not return due to unsatisfactory results.

Both Promoters and Detractors are factors that will help you calculate your overall NPS (Net Promoter Score. Now that you know how they obtain the number of promoters and detractors, let us discuss with you how to calculate NPS.

NPS Calculation:

Example Problem:

You have 150 customers given the two-minute questionnaire. After the results come in, you discover that 85 are promoters, 45 are passives, and 20 are detractors. Calculate your company NPS.

Convert each number to Percentage:

a.) Promoters =  = 56.7 %

b.) Passives =  = 30 %

c.) Detractors =  = 13 %

Calculate your Company’s NPS:

Company NPS = (% of Promoters) – (% of Detractors)

Company NPS = 56.7% – 13% = 43.7%

Why Should you Measure your NPS?

NPS stands for Net Promoter Score. Imagine this situation, after launching a brand new product, you are searching for a way to learn about its overall reception. Your best solution to get this answer is by using the NPS Methodology.

Getting your overall Net Promoter Score helps you determine if your product is doing well with your customers. Here are some benefits of measuring your NPS:

Make Improvements to a Product

By sending a two-minute questionnaire to your customers, you will gain knowledge of which traits of your product are doing well. It will also give you some feedback about possible changes or ideas for its next version.

A good example is the development of smartphones, every year or season we get to see new models coming to the market with more capabilities than their previous versions.

Opportunity for Growth

NPS results allow companies and businesses to grow. If they take NPS Measurement results as a key metric, it helps them direct their customer services and gain some income from upselling and referrals.


NPS is short for Net Promoter Score. All you have to do is subtract the percentage of promoters and detractors. To learn about your number of promoters and detractors, you have to send a two-minute questionnaire to your customers.


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