Net Promoter Score (NPS)

One of the most popular methods of measuring customer loyalty, NPS is founded on the premise that the single most important determinant of how customers feel about a company is the answer to the question, “Would you recommend this company to a friend or colleague?” Proponents contend that NPS is highly correlated with growth, but researchers have yet to identify a causal connection nor any greater ability than other popular methods to predict customer behavior. This has led to confusion about what exactly NPS measures, and in fact it’s often used as a measure of customer satisfaction. This is especially true in tech support, where NPS usually does not directly measure loyalty because of the phrase “Based on this particular interaction…” that precedes the central NPS question.

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