A Review of Net Promoter Score (NPS) as a Predictive Indicator for Customer Advocacy and Brand Loyalty
Sadick Essandoh, Stephen Ehilenomen Aifuwa, Ayodele Sunday Babalola, Micheal, Ayorinde Adenuga, Adaobi Beverly Akonobi, Chigozie Emmanuel Benson, Ejielo, Ogbuefi
Abstract
This paper critically reviews the metric as a predictive indicator for customer advocacy and brand loyalty. The paper examines how customer satisfaction and loyalty are interlinked with advocacy behaviors by drawing on established theoretical frameworks—including expectancy disconfirmation, social exchange, relationship marketing, and commitment-trust theories. A comprehensive literature review is presented, detailing the evolution, methodology, calculation, and interpretation of the metric while also contrasting it with complementary measures such as the Customer Satisfaction Score and Customer Effort Score. The analysis synthesizes empirical findings consistently, indicating a strong correlation between high scores and positive customer behaviors, including repeat purchases, word-of-mouth promotion, and sustained brand engagement. The paper further investigates the predictive validity of the metric, demonstrating that high scores serve as reliable indicators of future customer behavior. It also identifies several limitations inherent in using the metric as a standalone predictor. These include its reliance on a single-question format, susceptibility to response biases, and the influence of cultural and contextual variations on customer responses. The discussion emphasizes that while the metric offers significant diagnostic value as an early warning system for customer disengagement, its effectiveness is enhanced when used in conjunction with additional quantitative and qualitative feedback mechanisms. Real-world case studies spanning industries such as technology, retail, and financial services illustrate practical applications where the metric has successfully forecasted brand loyalty and retention. Based on these findings, the paper offers strategic recommendations for businesses to integrate the metric into a broader customer engagement framework, advocating for regular measurement intervals, data segmentation, and th
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References
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