Calculation of the NPS index using the formula
Posted: Sun Jan 19, 2025 5:46 am
Experts from Russia and Western countries call the NPS index one of the best metrics characterizing the loyalty of customers to a company or a specific product. What is the formula for calculating the NPS index? The standard method for calculating this indicator consists of several stages.
The first stage begins immediately after the purchase is made. The client is asked to take part in a short survey, which necessarily contains a question like “What is the likelihood that you will advise your relatives, friends, colleagues to buy our product (use the services of our company)?”
This question is expected to be answered qatar business email list in points on a 10-point scale, where zero corresponds to a categorical refusal to ever recommend the services or products of this company, and 10 corresponds to a willingness to recommend them always and everywhere.
Customers are then classified according to their responses into three categories:
Implementing a customer loyalty calculation method in your company
Supporters, or promoters, are those who gave 9-10 points in the survey. They are extremely loyal to the brand or product, with a 90% probability of recommending it to their friends and making repeat purchases. Supporters are often pleasantly surprised by the quality of the service or product: it exceeds all their expectations. Delight and joy make them recommend the brand or product to their friends, advertise it by word of mouth.
In the middle are neutral clients. Neutrals have a fairly positive attitude towards the product, but the probability of repeat purchases and recommendations from them is much lower than that of promoters. If competitors have a similar product cheaper or offer it on more favorable terms, they will prefer to buy from competitors.
The least loyal category of consumers are detractors , or critics . They strongly dislike a company or brand, and do not plan to ever buy their products again. They give the lowest scores, sometimes even write scathing reviews on the Internet or complain in complaint books. Information on the Internet spreads instantly, which makes this category of customers dangerous for the company.
The first stage begins immediately after the purchase is made. The client is asked to take part in a short survey, which necessarily contains a question like “What is the likelihood that you will advise your relatives, friends, colleagues to buy our product (use the services of our company)?”
This question is expected to be answered qatar business email list in points on a 10-point scale, where zero corresponds to a categorical refusal to ever recommend the services or products of this company, and 10 corresponds to a willingness to recommend them always and everywhere.
Customers are then classified according to their responses into three categories:
Implementing a customer loyalty calculation method in your company
Supporters, or promoters, are those who gave 9-10 points in the survey. They are extremely loyal to the brand or product, with a 90% probability of recommending it to their friends and making repeat purchases. Supporters are often pleasantly surprised by the quality of the service or product: it exceeds all their expectations. Delight and joy make them recommend the brand or product to their friends, advertise it by word of mouth.
In the middle are neutral clients. Neutrals have a fairly positive attitude towards the product, but the probability of repeat purchases and recommendations from them is much lower than that of promoters. If competitors have a similar product cheaper or offer it on more favorable terms, they will prefer to buy from competitors.
The least loyal category of consumers are detractors , or critics . They strongly dislike a company or brand, and do not plan to ever buy their products again. They give the lowest scores, sometimes even write scathing reviews on the Internet or complain in complaint books. Information on the Internet spreads instantly, which makes this category of customers dangerous for the company.