The Net Promoter Score® is one of the world's leading and the most popular Customer Experience metric for measuring customer satisfaction and loyalty. It is a pivotal predictor of business growth since it determines how likely customers are to do business with you again and recommend you to others.
The Net Promoter Score is measured using NPS surveys with a simple NPS question:
“On a scale of 0 to 10, how likely is it that you would recommend our organization to a friend or colleague?”
Based on the score given via an NPS survey, the customers are classified into three different categories. These NPS Categories are:
Detractors are considered to be very unsatisfied. They are less likely to repurchase and may speak negatively about the brand among other potential buyers.
Passives are neither looking at speaking ill nor positively about your brand. They are likely to be swayed by better deals and offers by your competitors.
Promoters are brand loyalists, customers who are most likely to recommend your brand to others, as well as be your brand ambassadors.
The individual responses to your NPS surveys combined together form the overall Net Promoter Score.
But now comes the important question – how to calculate NPS?
Here’s a simple formula to begin with:
Net Promoter Score Formula
To calculate NPS, we use a simple NPS formula where we subtract the total percentage of Detractors from the percentage of Promoters to determine your overall Net Promoter Score.
For example, if your % Promoters are 80% and % Detractors 30%, then your
Net Promoter Score = 80% - 30% = 50
NPS Score ranges from -100 to 100.
How to Calculate NPS?
There's only one standard (and right) formula to calculate the Net Promoter Score, as laid out by Bain & Co. Based on how you conduct the NPS Survey, you can use various methods to derive the Net Promoter Score. Let's explore them below.
3 Methods to Calculate the Net Promoter Score
How to Calculate Net Promoter Score in Excel?
Calculating the Net Promoter Score manually is a tedious and time-consuming task. But thanks to Excel since it has made NPS Calculation an easy task. You can calculate NPS by using the COUNTIF function. It is the statistical function that counts the number of cells that contain data (NPS Scores). Calculating the NPS via Excel is not rocket science, with just a few steps you can create your own NPS Calculator in Excel or Google Sheet.
Step 1 - Export or copy-paste the data from the file into an excel sheet.
Step 2 - Now separate the responses in each category (detractors, passives, and promoters) and count them. Say, the scores given by respondents are contained in Column C. So, the function for finding the number of responses for:
- Detractors (0-6): =COUNTIF(C:C,”<=6”)
- Passives (7-8): =COUNTIF(C:C,"7")+COUNTIF(C:C,"8")
- Promoters (9-10): =COUNTIF(C:C,">=9")
Step 3 - Now you can find the percentage of each category by using the simple formula: Number of Responses from (different NPS audience - Detractors, Passives, and Promoters) ÷ Total Number of Respondents x 100.
For Example: Say, you've sent an NPS Survey with the NPS questions and you've received 40 responses from your customers:
10, 7, 5, 9, 9, 9, 6, 4, 9, 8, 9, 9, 9, 10, 10, 10, 4, 5, 5, 7, 7, 10, 10, 10, 5, 6, 10, 10, 9, 8, 10, 10, 8, 7, 9, 9, 9, 10, 9, 7
Now paste the score and arrange them in your Excel sheet.
- Detractors - 8 responses
- Passives - 8 responses
- Promoters - 24 responses
When you calculate the percentages for each group, you get 20%, 20%, and 60% respectively.
In an excel sheet, you can get your NPS Score either by calculating manually or by using the simple Net Promoter Score formula: Net Promoter Score = % of Promoters - % of Detractors
NPS = 60% - 20% = 40
So, Your Net Promoter Score is 40
You can also use the COUNTIF functionality formula to find your net promoter score:
Note - Net Promoter Score is always shown as just an integer and not a percentage.
How to Calculate NPS using Online Calculator?
Calculating the Net Promoter Score is very easy by summing up all the responses and then subtracting the percentage of detractors (those who rated between 0-6) from the percentage of promoters (those who rated 9-10). The Net Promoter Score ranges from +100 to -100 and is a metric that tells you about the loyalty of your customers or employees. Use the free online NPS Calculator to know the Net Promoter Score.
How to Calculate NPS using NPS Survey Tool?
An ideal way to measure Net Promoter Score is to use an NPS Survey App. With the help of NPS Software, you can conduct NPS surveys across various platforms like on-premises using tablets, iPads, and kiosks, or send email and SMS surveys with NPS questions or embed NPS Surveys on your website. These NPS Survey Tools also enable you to view scores and feedback responses in real-time to identify your detractors and take action. You can use Net Promoter Score Survey Templates with Comments, Net Promoter Score Survey Templates with Customer Information, Net Promoter Score Survey Templates with Follow up Questions, and so on.
The Net Promoter Score gives you not only a number but an opportunity to improve your business along with the customer experience. Thus, Net Promoter Score provides you with the privilege to focus on the ‘Why’ behind the ‘What’ for both promoters and detractors to augment the health of your customer experience. You can also create your customized Net Promoter Score report for different team members and share them to inspire action.
Ready to get started? We’ve got FREE Net Promoter Score Calculator (in excel) for you.