Net Promoter Score, or NPS, measures customer loyalty by asking how likely someone is to recommend a product to others, on a 0-10 scale, then subtracting the percentage of detractors (scores 0-6) from the percentage of promoters (scores 9-10).
The resulting score ranges from -100 to 100, and while there's no single universal benchmark for what counts as good, since it varies a lot by industry, a positive score generally means promoters outnumber detractors, and companies typically track their own trend over time more than comparing directly against unrelated industries.
NPS is a simple, widely used proxy for customer sentiment, but it's a lagging, self-reported signal, not a substitute for actual behavioral data like retention or expansion revenue. Worth tracking alongside real usage metrics rather than as a stand-alone measure of how the business is actually doing.
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