NPS
Net Promoter Score - a metric measuring guest loyalty by asking how likely they are to recommend your hotel on a 0-10 scale.
Definition
Net Promoter Score (NPS) is a widely used loyalty metric that measures how likely guests are to recommend your hotel to others. Guests rate on a 0-10 scale and are classified as Promoters (9-10), Passives (7-8), or Detractors (0-6). NPS is calculated by subtracting the percentage of Detractors from the percentage of Promoters, yielding a score from -100 to +100. In the hotel industry, NPS is a key predictor of repeat bookings, positive reviews, and word-of-mouth referrals.
Why it matters
NPS captures the emotional relationship between a guest and your hotel. High NPS correlates with higher direct booking rates, more positive online reviews, and increased lifetime guest value. It's a leading indicator - changes in NPS often precede changes in revenue performance. Hotels use NPS to identify service gaps, benchmark against competitors, and track the impact of improvement initiatives.
How to calculate
NPS is calculated from a single survey question: 'On a scale of 0-10, how likely are you to recommend us?'
NPS = % Promoters (9-10) - % Detractors (0-6) Result ranges from -100 to +100
Example
If 100 guests respond: 60 rate 9-10 (Promoters) = 60% 25 rate 7-8 (Passives) = 25% 15 rate 0-6 (Detractors) = 15% NPS = 60% - 15% = +45
Best practices
- 1Send NPS surveys within 24 hours of checkout for best response rates
- 2Follow up with Detractors personally to recover the relationship
- 3Track NPS by guest segment, booking channel, and room type
- 4Use NPS feedback to identify specific operational improvements
- 5Benchmark your NPS against industry averages (hotel average is 30-50)