How to use an NPS Calculator to Reduce Customer Churn?

How to use an NPS Calculator to Reduce Customer Churn?

What is NPS?

NPS, or Net Promoter Score, is a customer satisfaction metric that measures how likely customers are to recommend your product, service, or brand to others. NPS surveys take the form of a single-question survey where customers are asked to rate their likelihood to recommend a company’s products or services to others from a scale of 0 to 10. A score of 0 indicates they are very unlikely to recommend the company’s products/services and a score of 10 indicates they are very likely.

How is NPS Calculated? 

The following three steps can be used to calculate NPS:

      Step 1: Create and Send NPS Surveys to your respondents

      Step 2: Categorise respondents

      Step 3: Calculate NPS using formula or using NPS Calculator

Create and Send NPS Surveys to your Respondents

The first step is to create an NPS survey to be sent to your respondents. Although most NPS surveys take the form of a single-question survey, it may be beneficial to ask more than one question in order to better understand why customers choose a specific score.

Categorise Respondents

Respondents are categorised into the following three groups based on their response:

What is Customer

1.    Promoters :Respondents that choose a score of 9 or 10

These respondents are very happy with their experience with your company and are likely to spread a positive word about your products or services. Promoters are highly satisfied customers and can bring you more business by attracting new potential customers. 

2.    Passives: Respondents that choose a score of 7 or 8

Passives are indifferent toward your company and the experience they had while doing business with you. They didn’t have a particularly bad or exceptional experience, and are therefore unlikely to spread a positive or negative word about your company. Passives do not have much of an effect on an organization as they do not detract potential customers from your brand, nor do they encourage new customers toward your business.

3.    Detractors: Respondents that choose a score between 0 to 6

This category of respondents is the most detrimental to your business and its brand image. Detractors are unhappy with their experience with your company and may tell others about their negative experiences, detracting new potential customers from doing business with you.

Calculate NPS using formula

Once respondents have been categorized, the following formula can be used to calculate your net promoter score:

NPS Score = % of Promoters – % of Detractors


Although NPS can be calculated using the aforementioned steps, the easiest and quickest way to calculate your NPS score is by using our online NPS calculator. With Voxco’s NPS calculator, you simply input the number of promoters, number of passives, and number of detractors. You then click on “Calculate NPS” and you will immediately receive your NPS score.

What is Customer Churn and Why is it Important?

Customer churn, or customer attrition, refers to the loss of customers or clients. Customer churn is tracked by calculating the customer churn rate, which measures the rate at which customers stop doing business with an entity.

What is Customer

A high customer churn rate can affect profits negatively and stunt growth. Every industry has a different average customer churn rate that is treated as a benchmark to which companies may compare themselves in order to understand their competitiveness.

It is important for companies to track their customer churn rate, because analysing customer churn helps reduce it. By actively focusing on areas where you’re losing customers, you can significantly lower customer attrition.

Studies show that acquiring a new customer can cost five times more than retaining an existing one. This emphasises the need to keep your customer retention rate high and customer churn rate low.

How to Reduce Customer Churn using an NPS Calculator?

The results you get from the NPS calculator help you control your customer churn rate. However, it is important to use your NPS results in the best way in order to maximise positive results.

To reduce customer churn using NPS, you must understand the three different groups of respondents (promoters, detractors, passives) and also understand their reasons for choosing the score that categorized them. By understanding why respondents feel the way they do about your products or services, you can:

1.     Encourage promoters to increase their referral volume by providing them with incentive to do so. This will increase the amount of business they bring to your company.

2.    Take measures to turn passives into promoters by ensuring they have a better experience with your company and don’t turn into detractors.

3.    Focus on understanding detractor grievances through the customer journey map in order to improve on these pain points and turn detractors into passives, or even promoters, so that they do not leave your business.

These are a few strategies that can help reduce churn using your NPS Calculator results:

1.   Customer Journey Map

By mapping customer journeys, you can understand customer behavior at every touchpoint which can help you improve customer experience. Additionally, by frequently sending surveys such as NPS, CES, and CSAT, at different touchpoints, you can better understand at which touchpoint is CX not meeting customer expectations.

2.   Identifying Customer Issues using NPS

NPS surveys can be sent to respondents after certain touchpoints, asking them to answer the survey based on their experience. If you get negative feedback, you should reach out to them in order to close the feedback loops and solve their issue.

 3.   Leverage Promoters

Promoters already love your products and your brand. By leveraging their positive emotions towards you, you can increase the referral volume and bring in more business. This can be done by encouraging them to write a blog post on their experience with your brand, or even writing a positive review on your website.



Shankar is a tech blogger who occasionally enjoys penning historical fiction. With over a thousand articles written on tech, business, finance, marketing, mobile, social media, cloud storage, software, and general topics, he has been creating material for the past eight years.

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