An empirical study of the relationship between perceived value and the net promoter score: Application to specialized retail chains

Abstract

Despite the Net Promoter Score’s (NPS) popularity among managers, the marketing literature has given limited attention to this indicator and has, instead, focused primarily on its impact on business performance. However, to highlight the mechanisms that contribute to the formation of the NPS and identify operational means to improve the score, it is important to get a deeper understanding of the factors that distinguish the NPS’s customer categories (“detractors,” “passives,” and “promoters”). Accordingly, this research explores the relationship between perceived value and the NPS. An empirical study of 893 customers from two specialized retail chains was conducted to examine the relations between value sources and customer categorization as “detractors,” “passives,” or “promoters”. The results also lead to the identification of differentiated value profiles according to these customer categories.