# Net Promoter Score

This measure calculates the percentage of customers who are promoters minus the percentage of customers who are detractors. An organization's Net Promoter Score (NPS) is calculated based on surveys given to customers in which they answer the following question: "How likely is it that you would recommend [this organization] to a friend or colleague?" Respondents can answer with any number from 0 to 10, where 0 = "not at all likely," 5 = "neutral," and 10 = "extremely likely." To calculate NPS, take the percentage of customers who are promoters (scores 9-10) and subtract the percentage who are detractors (scores 0-6). This measure is part of a set of Process Efficiency measures that help companies optimize the performance of their "market and sell products and services" process by minimizing waste and refining resource consumption.

## Benchmark Data

Measure Category:
Process Efficiency
Measure ID:
104725
Total Sample Size:
3,934 All Companies
Performers:
25th Median 75th
- - -
Key Performance Indicator:
Yes

## Compute this Measure

Units for this measure are percent.

`Net Promoter Score`

## Key Terms

Process efficiency represents how well a process converts its inputs into outputs. A process that converts 100% of the inputs into outputs without waste is more efficient than one that converts a similar amount of inputs into fewer outputs.

The metric value which represents the 50th percentile of a peer group. This could also be communicated as the metric value where half of the peer group sample shows lower performance than the expressed metric value or half of the peer group sample shows higher performance than the expressed metric value.

## Measure Scope

### Cross Industry (7.4)

• 3.1 - Understand markets, customers, and capabilities (10101)
• 3.1.1 - Perform customer and market intelligence analysis (10106)
• 3.1.1.1 - Conduct customer and market research (10108)
• 3.1.1.1.1 - Understand consumer needs and historical behaviors (10114)
• 3.1.1.1.2 - Predict customer purchasing behavior (21424)
• 3.1.1.2 - Identify market segments (10109)
• 3.1.1.2.1 - Determine market share gain/loss (10115)
• 3.1.1.3 - Analyze market and industry trends (10110)
• 3.1.1.4 - Analyze competing organizations, competitive/substitute products/services (10111)
• 3.1.1.5 - Evaluate existing products/services (10112)
• 3.1.1.6 - Assess internal and external business environment (10113)
• 3.1.2 - Evaluate and prioritize market opportunities (10107)
• 3.1.2.1 - Quantify market opportunities (10116)
• 3.1.2.2 - Determine target segments (10117)
• 3.1.2.2.1 - Identify under-served and saturated market segments (18941)
• 3.1.2.3 - Prioritize opportunities consistent with capabilities and overall business strategy (10118)
• 3.1.2.4 - Validate opportunities (10119)
• 3.1.2.4.1 - Test with customers/consumers (10120)
• 3.1.2.4.2 - Confirm internal capabilities (10121)
• 3.2 - Develop marketing strategy (10102)
• 3.2.1 - Define offering and customer value proposition (11168)
• 3.2.1.1 - Define offering and positioning (11169)
• 3.2.1.2 - Develop value proposition including brand positioning for target segments (11170)
• 3.2.1.3 - Validate value proposition with target segments (11171)
• 3.2.1.4 - Develop new branding (11172)
• 3.2.2 - Define pricing strategy (10123)
• 3.2.2.1 - Conduct pricing analysis (13169)
• 3.2.2.2 - Establish guidelines for applying pricing and discounting of products/services (10124)
• 3.2.2.3 - Establish pricing targets (19999)
• 3.2.2.4 - Approve pricing strategies/policies and targets (10125)
• 3.2.3 - Define and manage channel strategy (20000)
• 3.2.3.1 - Determine channels to be supported (20001)
• 3.2.3.2 - Establish channel objectives (20002)
• 3.2.3.3 - Determine channel role and fit with target segments (10127)
• 3.2.3.4 - Select channels for target segments (10128)
• 3.2.3.5 - Identify required channel capabilities (20003)
• 3.2.3.6 - Evaluate channel attributes and potential partners (10126)
• 3.2.3.7 - Orchestrate seamless customer experience across supported channels (20004)
• 3.2.3.7.1 - Define omni-channel strategy (16590)
• 3.2.3.7.2 - Define omni-channel requirements (16591)
• 3.2.3.7.3 - Develop omni-channel policies and procedures (16592)
• 3.2.3.8 - Develop and manage execution roadmap (20005)
• 3.2.4 - Analyze and manage channel performance (20006)
• 3.2.4.1 - Establish channel-specific measures and targets (16573)
• 3.2.4.2 - Monitor and report performance (16574)
• 3.2.4.3 - Monitor and report events influencing factors (16575)
• 3.2.4.4 - Analyze channel performance (16500)
• 3.2.4.5 - Develop plan for channel improvements (16501)
• 3.2.5 - Develop marketing communication strategy (16848)
• 3.2.5.1 - Develop customer communication calendar (16849)
• 3.2.5.2 - Define public relations (PR) strategy (16850)
• 3.2.5.3 - Define direct marketing strategy (16851)
• 3.2.5.4 - Define internal marketing communication strategy (16852)
• 3.2.5.5 - Identify new media for marketing communication (16853)
• 3.2.5.6 - Define new media communication strategy (16854)
• 3.2.5.7 - Define point of sale (POS) communication strategy (16855)
• 3.2.5.8 - Define communication guidelines and mechanisms (18627)
• 3.2.6 - Design and manage customer loyalty program (18924)
• 3.2.6.1 - Define customer loyalty program (20007)
• 3.2.6.2 - Acquire members to customer loyalty program (18925)
• 3.2.6.3 - Build engagement and relationship with members (18926)
• 3.2.6.4 - Monitor customer loyalty program benefits to the enterprise and the customer (16633)
• 3.2.6.5 - Optimize loyalty program value to both the enterprise and the customer (18927)
• 3.3 - Develop and manage marketing plans (20008)
• 3.3.1 - Establish goals, objectives, and measures for products/services by channel/segment (10148)
• 3.3.2 - Establish marketing budgets (10149)
• 3.3.2.1 - Confirm marketing alignment to business strategy (10155)
• 3.3.2.2 - Determine costs of marketing (10156)
• 3.3.2.3 - Create marketing budget (10157)
• 3.3.2.4 - Determine projected ROI for marketing investment (17683)
• 3.3.3 - Develop and manage pricing (20593)
• 3.3.3.1 - Understand resource requirements for each product/service and delivery channel/method (20009)
• 3.3.3.2 - Determine corporate incentives (18948)
• 3.3.3.3 - Determine pricing based on volume/unit forecast (10163)
• 3.3.3.4 - Execute pricing plan (10164)
• 3.3.3.5 - Evaluate pricing performance (10165)
• 3.3.3.6 - Refine pricing as needed (10166)
• 3.3.3.7 - Implement promotional pricing programs (11495)
• 3.3.3.8 - Implement other retail pricing programs (11496)
• 3.3.3.9 - Communicate and implement price changes (11497)
• 3.3.3.10 - Achieve regulatory approval for pricing (17684)
• 3.3.4 - Develop and manage promotional activities (20010)
• 3.3.4.1 - Define promotional concepts and objectives (10167)
• 3.3.4.2 - Develop marketing messages (10159)
• 3.3.4.3 - Define target audience (10160)
• 3.3.4.4 - Plan and test promotional activities (10168)
• 3.3.4.5 - Execute promotional activities (10169)
• 3.3.4.6 - Evaluate promotional performance metrics (10170)
• 3.3.4.7 - Refine promotional performance metrics (10171)
• 3.3.4.8 - Incorporate learning into future/planned consumer promotions (10172)
• 3.3.5 - Track customer management measures (10153)
• 3.3.5.1 - Determine customer lifetime value (10173)
• 3.3.5.2 - Analyze customer revenue trend (10174)
• 3.3.5.3 - Analyze customer attrition and retention rates (10175)
• 3.3.5.4 - Analyze customer metrics (10176)
• 3.3.5.5 - Revise customer strategies, objectives, and plans based on metrics (10177)
• 3.3.6 - Analyze and respond to customer insight (16613)
• 3.3.6.1 - Monitor and respond to social media activity (16627)
• 3.3.6.2 - Analyze customer website activity (16614)
• 3.3.6.3 - Analyze customer purchase patterns (16615)
• 3.3.6.4 - Develop business rules to provide personalized offers (16616)
• 3.3.6.5 - Monitor effectiveness of personalized offers and adjust offers accordingly (16617)
• 3.3.7 - Develop and manage packaging strategy (10154)
• 3.3.7.1 - Plan packaging strategy (10178)
• 3.3.7.2 - Test packaging options (10179)
• 3.3.7.3 - Execute packaging strategy (10180)
• 3.3.7.4 - Refine packaging (10181)
• 3.3.8 - Develop go-to-market strategy (21425)
• 3.3.9 - Manage product marketing material (16629)
• 3.3.9.1 - Manage product images (16630)
• 3.3.9.2 - Manage product copy (18130)
• 3.4 - Develop sales strategy (10103)
• 3.4.1 - Develop sales forecast (10129)
• 3.4.1.1 - Gather current and historic order information (10134)
• 3.4.1.2 - Analyze sales trends and patterns (10135)
• 3.4.1.3 - Generate sales forecast (10136)
• 3.4.1.4 - Analyze historical and planned promotions and events (10137)
• 3.4.2 - Develop sales partner/alliance relationships (10130)
• 3.4.2.1 - Identify alliance opportunities (10138)
• 3.4.2.2 - Design alliance programs and methods for selecting and managing relationships (10139)
• 3.4.2.3 - Select alliances (10140)
• 3.4.2.4 - Develop customer trade strategy and customer objectives/targets (11465)
• 3.4.2.5 - Define trade programs and funding options (11521)
• 3.4.2.6 - Conduct planning activities for major trade customers (11466)
• 3.4.2.7 - Develop partner and alliance management strategies (10141)
• 3.4.2.8 - Establish partner and alliance management goals (10142)
• 3.4.2.9 - Establish partner and alliance agreements (18629)
• 3.4.2.10 - Develop promotional and category management calendars (trade marketing calendars) (11522)
• 3.4.2.11 - Create strategic and tactical sales plans by customer (11523)
• 3.4.2.12 - Communicate planning information to customer teams (11468)
• 3.4.3 - Establish overall sales budgets (10131)
• 3.4.3.1 - Calculate product market share (17682)
• 3.4.3.2 - Calculate product revenue (10143)
• 3.4.3.3 - Determine variable costs (10144)
• 3.4.3.4 - Determine overhead and fixed costs (10145)
• 3.4.3.5 - Calculate net profit (10146)
• 3.4.3.6 - Create budget (10147)
• 3.4.4 - Establish sales goals and measures (10132)
• 3.4.5 - Establish customer management measures (10133)
• 3.5 - Develop and manage sales plans (10105)
• 3.5.1 - Manage leads/opportunities (10182)
• 3.5.1.1 - Identify potential customers (10188)
• 3.5.1.3 - Validate and qualify leads/opportunities (18115)
• 3.5.1.4 - Match opportunities to business strategy (11773)
• 3.5.1.5 - Develop opportunity win plans (18116)
• 3.5.1.6 - Manage opportunity pipeline (20011)
• 3.5.1.7 - Determine sales resource allocation (10209)
• 3.5.1.8 - Manage customer sales calls (10184)
• 3.5.1.8.1 - Perform sales calls (10190)
• 3.5.1.8.2 - Perform pre-sales activities (10191)
• 3.5.1.8.3 - Manage customer meetings/workshops (20012)
• 3.5.1.8.4 - Close the sale (10192)
• 3.5.1.8.5 - Record outcome of sales process (10193)
• 3.5.2 - Manage customers and accounts (10183)
• 3.5.2.1 - Select key customers/accounts (20013)
• 3.5.2.2 - Develop sales/key account plan (11173)
• 3.5.2.3 - Manage sales/key account plan (20014)
• 3.5.2.4 - Manage customer relationships (11174)
• 3.5.2.5 - Manage customer master data (14208)
• 3.5.2.5.1 - Collect and merge internal and third-party customer information (16598)
• 3.5.2.5.2 - De-duplicate customer data (16599)
• 3.5.3 - Develop and manage sales proposals, bids, and quotes (11779)
• 3.5.3.1 - Receive Request For Proposal (RFP)/Request For Quote (RFQ) (11781)
• 3.5.3.2 - Refine customer requirements (11780)
• 3.5.3.3 - Review RFP/RFQ request (11782)
• 3.5.3.4 - Perform competitive analysis (11783)
• 3.5.3.5 - Validate with strategy/business plans (11784)
• 3.5.3.6 - Understand customer business and requirements (11785)
• 3.5.3.7 - Develop solution and delivery approach (20015)
• 3.5.3.8 - Identify staffing requirements (11787)
• 3.5.3.9 - Develop pricing and scheduling estimates (11788)
• 3.5.3.10 - Conduct profitability analysis (11789)
• 3.5.3.11 - Manage internal reviews (20016)
• 3.5.3.12 - Manage internal approvals (20017)
• 3.5.3.13 - Submit/present bid/proposal/quote to customer (11790)
• 3.5.3.14 - Revise bid/proposal/quote (20018)
• 3.5.3.15 - Manage notification outcome (11793)
• 3.5.4 - Manage sales orders (10185)
• 3.5.4.1 - Accept and validate sales orders (10194)
• 3.5.4.2 - Collect and maintain account information (10195)
• 3.5.4.2.1 - Administer key account details (10201)
• 3.5.4.2.2 - Retrieve full customer details (10202)
• 3.5.4.2.3 - Modify involved party details (10203)
• 3.5.4.2.4 - Record address details (10204)
• 3.5.4.2.5 - Record contact details (10205)
• 3.5.4.2.6 - Record key customer communication profile details (10206)
• 3.5.4.2.7 - Review involved party information (10207)
• 3.5.4.2.8 - Terminate involved party information (10208)
• 3.5.4.3 - Determine availability (10196)
• 3.5.4.4 - Determine fulfillment process (10197)
• 3.5.4.5 - Process back orders and updates (10199)
• 3.5.4.6 - Handle sales order inquiries including post-order fulfillment transactions (10200)
• 3.5.5 - Manage sales partners and alliances (10187)
• 3.5.5.1 - Provide sales and product/service training to sales partners/alliances (10211)
• 3.5.5.1.1 - Provide certification enablement training (20019)
• 3.5.5.1.2 - Manage certifications and skills (20020)
• 3.5.5.1.3 - Provide support to partners/alliances (20021)
• 3.5.5.2 - Provide marketing materials to sales partners/alliances (18641)
• 3.5.5.3 - Evaluate partner/alliance results (10214)
• 3.5.5.4 - Manage sales partner/alliance master data (14209)
• 3.5.6 - Perform sales at physical outlets (21427)
• 3.5.7 - Perform field sales (21428)
• 3.5.8 - Perform digital sales (21429)