December 17, 2019 Last updated January 13th, 2020 1,261 Reads share

Reasons to Not Slack on Calculating Your Business’s Net Promoter Score

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Did you know that Tesla’s Net Promoter Score is a whopping 96! Net Promoter Score (NPS) measures the willingness of a customer to recommend your company’s products or services to their friends and family. It means almost every Tesla customer would recommend it to everyone they know.

More importantly, these customers will stay with Tesla, and there are high chances that the next car they will purchase would also be a Tesla. These customers will be easier to upsell or cross-sell, too, because they love Tesla, which is why their NPS score is high.

Here Are 5 Strong Reasons to Not Slack on Calculating Your Business’s Net Promoter Score

Simple Feedback

There is nothing complex about the NPS question that you pose to your customer. You give them a simple scale of 0-10 to choose from. The key aspect is How likely are they to recommend.

This metric can be tracked week-on-week and month-on-month so that you can be on top of the numbers. Most of the other feedback mechanisms can be complicated for the average user. NPS asks a straightforward question whose answers are even simpler.

John Waldmann, the founder of Homebase, an employee scheduling software, adopted NPS early to track customer’s feedback. They used it as a channel of communication between the company and its users.

They have even integrated NPS surveys into their software. The NPS feedback is relayed to their team weekly to take care of issues; this keeps the product team on their toes.

Retention Rate

Having loyal customers is the hallmark of any successful brand. Measuring the loyalty of your customers is what NPS does best. The way your customers perceive your brand is important for you to take business decisions.

Apart from the NPS score, the comments that you get from users should assist you in working on your product and keeping your existing customers happy.

In the Satmetrix Customer Net Promoter Benchmark report, the ‘software and apps’ segment’s NPS ranks low. What does this mean? These companies focus only on acquiring customers while not caring about retaining the customers.

It Helps You Know When to Upsell

Upselling adds more revenue to your business. It is something that all businesses should do on a regular basis, but isn’t there a right time to do it? Yes.

When a customer responds with a 9 or 10 (Promoters), it means that they are more likely to recommend your product to their friends and family, this is when you can clearly upsell.

Do hire a good copywriter to ensure that your emails, while upselling, don’t come off as pushy or needy. Take note of all the Promoters and get on calls with them.

It will help you understand how you can serve them better and see if there are other business functions where your expertise would be needed.

Recruiting Analytics software company Entelo uses the NPS feedback and closes the feedback loop which helps them cut down churn as well as shock their customers with fast responses.

The happiest customers are highly probable candidates for cross-sells and upsells, and NPS helps you qualify who are the ones who would be interesting in more of your offerings.

Predictor of Future

Not sure why things are going downhill in your company? You see a series of customers stopping their business with you only to work with your competitor.

Your NPS score is an indicator of how well you are performing according to the expectations of your clients.

If the NPS score has been dropping, expect that to reflect in the form of declining revenue, lesser sales, and higher customer churn. Whenever you see a less-than-desirable NPS score, start working on your business on a war footing.

Slack’s meteoric rise as a billion-dollar company in its first year is attributed to its use of NPS. They tried to use feedback for every parameter of their business.

Convert Customers Into Brand Advocates

Having brand advocates is a clear sign of an extremely successful company. If your NPS score is 50, then you have at least half of your customers who are willing to recommend you to their friends.

Keep doing the NPS surveys on a regular basis to see if the NPS number is rising or not. Get back to each customer who has not given you a 9 or 10 on your NPS. Ask them how you can keep them happy.

Turn everyone who gave you anything less than a 9 into brand advocates.


NPS helps you see where you are in the minds of your customers. It shows you how loyal your customers and help predict the future of your business. Using NPS regularly will keep you focused as it is a clear metric that you can use to keep your business steady.


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Piyush Gupta

Piyush Gupta

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