N
E-commerce Glossary

What is a NPS (Net Promoter Score)?

Understanding NPS (Net Promoter Score) in E-commerce

Quick Definition

Net Promoter Score (NPS) is a customer loyalty metric measuring the likelihood of customers recommending a business to others. Calculated by surveying customers who rate their experience on a 0-10 scale, NPS categorizes respondents as Promoters (9-10), Passives (7-8), and Detractors (0-6), providing a single numerical indicator of customer satisfaction and potential growth.

1 min read

Understanding Net Promoter Score (NPS)

NPS Calculation Method

NPS = % Promoters - % Detractors

Example Calculation:

Total Responses: 100

Promoters (9-10): 60

Passives (7-8): 20

Detractors (0-6): 20

NPS = (60% - 20%) = 40

NPS Customer Segments

Promoters (9-10)

Loyal enthusiasts who will likely recommend your business and drive organic growth

Passives (7-8)

Satisfied but not enthusiastic customers who could switch to competitors

Detractors (0-6)

Unhappy customers who might spread negative word-of-mouth

Industry NPS Benchmarks

IndustryAverage NPSTop Performers
E-commerce30-4560+
Technology20-4050+
Retail25-3545+

Improving Customer Experience

Tools like Growth Suite can help track customer sentiment by providing post-purchase engagement analytics and personalized follow-up strategies that can potentially improve NPS by addressing customer concerns proactively.

A high NPS indicates strong customer loyalty, reduced churn, and increased potential for organic growth through positive word-of-mouth recommendations.

Put NPS (Net Promoter Score) into Practice

Ready to apply these concepts to your store? Growth Suite provides the tools you need to implement effective nps (net promoter score) strategies.