Who finds actual value from Net Promoter Score?
It's a vanity metric, just like asking "would you pay $10 for this?" instead of getting someone to actually pay $10. https://en.wikipedia.org/wiki/Net_Promoter#Criticism_of_NPS
It's a vanity metric, just like asking "would you pay $10 for this?" instead of getting someone to actually pay $10. https://en.wikipedia.org/wiki/Net_Promoter#Criticism_of_NPS
For instance, Apple has a very high NPS. A lot of Apple customers recommend Apple products to all their friends. Why might they do that? On reason might be that Apple products are high quality and their users have a good experience from using them. Another explanation is that there's a network effect and that Mac users want to be able to share programs and files and be able to get help when their computer breaks from their other Apple-owning friends.
A manufacturer of Windows laptops might see that their NPS score is lower than Apple and take that as a sign that their customers are more unhappy with their products than Apple's (which very well might be true), but it could also be the case that, in general, Windows laptop owners don't particularly care what brand their friends all buy because Windows laptops are more-or-less interchangeable. Company executives might conclude that adding more proprietary features to their products and creating a walled-garden ecosystem like Apple's is a good idea, when it probably isn't.
A lot of SaaS businesses have proved this for their customer base and found it's worth driving by. If it's not true for you, that's fine.
It's useful for us.
That said, the NPS methodology is much more than the overall score. The real value is in the individual scores, verbatim feedback and its proven ability to tie those results into both growth and churn. All combined (and when done correctly)it can help drive funding, determine PMF, guide your product roadmap, forecast revenue and drive measurable growth (just to name a few benefits).
Breaking it down to just a score is looking at NPS far to simplistically.
Yes, you can ask any customer any question and get a response, but does that question/response elicit the same intelligent and predictive value of the NPS questions? Will randomly surveying your customers generate the same response rate as an NPS survey?
NPS is a proven methodology with predictive intelligence and high response rate, what you're suggesting is not. The choice is yours though.
That's a blank statement that tries to be authoritative and sounds nice, but where's the proof?
CSAT has been far more illuminating. NPS often indicates success, while CSAT would actually show issues happening on the ground. It feels like NPS is idealistic and in the clouds, while CSAT is grounded and shows real feedback.
Plus, clients just don't like NPS either.