What Is Net Promoter Score (NPS) and Why Is It Important?

Net Promoter Score (NPS) measures customer loyalty by assessing the likelihood of customers recommending your business, providing insights into customer satisfaction and growth potential. Click to discover how NPS can inform your customer experience strategies.

NPS is a metric that gauges customer loyalty by asking customers how likely they are to recommend your product or service to others on a scale of 0 to 10. Based on their responses, customers are categorized as Promoters, Passives, or Detractors.

Calculating NPS involves subtracting the percentage of Detractors from the percentage of Promoters. A higher NPS indicates a greater level of customer satisfaction and loyalty, which correlates with business growth through repeat purchases and referrals.

Regularly monitoring NPS allows businesses to identify areas for improvement in the customer experience. Tools like Zoho's NPS survey forms can facilitate the collection and analysis of this data, enabling informed decisions to enhance customer satisfaction.

See Next Article

What Is User Generated Content?

User-generated content (UGC) is any content created and shared by your customers or followers — such as photos, reviews, or videos — that features your brand or products.