What Is NPS, and Why Averaging the Scores Is Wrong

NPS is not the average of the scores; it's the percentage of promoters minus the percentage of detractors. Take the average and you produce a number that has no interpretation.

NPS is built from a single question: "How likely are you to recommend us to a friend?" answered on a scale of 0 to 10. But the number that comes out of it is not the average of those answers.

The correct calculation

Respondents are split into three groups:

ScoreGroupMeaning
9 and 10PromotersActively recommend you
7 and 8PassivesSatisfied but indifferent; not included in the calculation
0 to 6DetractorsMay actively discourage others

The formula: NPS = % promoters − % detractors

The result is a number between −100 and +100, not between 0 and 10.

A worked example

Out of 20 responses: 5 promoters (25%), 7 passives, 8 detractors (40%).

NPS = 25 − 40 = −15

Now compute the average of the same responses: about 6.8 out of 10. A 6.8 looks "acceptable." A −15 is a warning. Same data, two completely different messages, and −15 is the right one, because it says you have more detractors than promoters.

Why passives are left out

This is deliberate. Someone who gives a 7 or an 8 is satisfied but does nothing: they neither recommend you nor speak badly of you. NPS was designed to measure growth through recommendation, and passives play no part in that.

Interpreting the number

  • Above 50: excellent
  • 20 to 50: good
  • 0 to 20: acceptable but fragile
  • Below zero: detractors outnumber promoters. This is a warning, not just a bad score

But comparing NPS across industries is meaningless. A mobile carrier's NPS can't be compared with a café's. What is meaningful is the trend of your own NPS over time.

Three common mistakes (we see them a lot in Iran)

  1. A small sample. With 20 responses, two people moving between groups shifts the NPS by 20 points. Below 100 responses, don't take the trend seriously.
  2. Asking at the wrong moment. Asking for NPS right after a successful interaction inflates the number artificially. If you want the real figure, ask a random sample, not the people whose problem was just solved.
  3. Not asking "why." The number alone doesn't tell you what to do. An open-ended follow-up ("What was the main reason for your score?") is worth more than the number itself.
Tags:NPScustomer satisfactionanalysis