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"Start ups tend to focus on signups / daily active" when they could be focusing on retention. Could not agree more. Although retention is indeed very hard to m

by sida 13y ago

"Start ups tend to focus on signups / daily active" when they could be focusing on retention. Could not agree more. Although retention is indeed very hard to measure, and things like net promoter score seems a bit flaky at best. I am curious, Does anyone use net promoter score extensively and found it useful?

mwetzler 13y ago
I agree - the common methods for measuring net promoter (surveys) seem to put a burden on the customers. I think twitter could potentially be pretty effective if you combine the number of mentions with a sentiment score. But then, it's pretty easy to increase twitter engagement using various tools. I'm also looking for a good way to measure net promoter, but for another reason -- to quantify it for investors. We hear great customer feedback and get referrals all the time, but don't have a measurement for it. Even though it's true, I'm not sure investors will just believe that "our customers love us!".
- sutterbomb 13y ago
  "Net Promoter Score" can only be measured by survey, because that's exactly what it is. It's a 1-question survey with a standardized scoring methodology that is a de-facto standard measure of customer loyalty across industries. If you want to measure customer loyalty and quantify it for investors, you can use that methodology, or you can find another way but call it something else. I wouldn't recommend doing something else and trying to call it NPS.
weixiyen 13y ago
Retention is not difficult to measure. You essentially track how often a user comes back over 1 day, 3, 7 days, 15, 30 days, etc, and benchmark against your competitors. The hard part is figuring out why your numbers are low and why the drop-off is happening, and coming up with creative solutions to solve the problems. In addition to Net Promoter score, consider tracking K-Factor for virality, which is way more objective, and might give you some hints on what your NPS score is.
seanellis 13y ago
I use KISSmetrics to measure retention. Their cohort reports are great.
sutterbomb 13y ago
NPS is the de-facto standard for customer loyalty across almost every industry. That itself is a very useful thing. You can come up with a dozen other ways to try to measure customer loyalty on your own, but then you're on your own. No way to compare to others in the space, no easily told story to press, investors, potential partners or high-profile clients etc.

by sida 13y ago

mwetzler 13y ago

I agree - the common methods for measuring net promoter (surveys) seem to put a burden on the customers. I think twitter could potentially be pretty effective if you combine the number of mentions with a sentiment score. But then, it's pretty easy to increase twitter engagement using various tools. I'm also looking for a good way to measure net promoter, but for another reason -- to quantify it for investors. We hear great customer feedback and get referrals all the time, but don't have a measurement for it. Even though it's true, I'm not sure investors will just believe that "our customers love us!".

sutterbomb 13y ago
"Net Promoter Score" can only be measured by survey, because that's exactly what it is. It's a 1-question survey with a standardized scoring methodology that is a de-facto standard measure of customer loyalty across industries. If you want to measure customer loyalty and quantify it for investors, you can use that methodology, or you can find another way but call it something else. I wouldn't recommend doing something else and trying to call it NPS.

weixiyen 13y ago

Retention is not difficult to measure. You essentially track how often a user comes back over 1 day, 3, 7 days, 15, 30 days, etc, and benchmark against your competitors. The hard part is figuring out why your numbers are low and why the drop-off is happening, and coming up with creative solutions to solve the problems. In addition to Net Promoter score, consider tracking K-Factor for virality, which is way more objective, and might give you some hints on what your NPS score is.

seanellis 13y ago

I use KISSmetrics to measure retention. Their cohort reports are great.

sutterbomb 13y ago

NPS is the de-facto standard for customer loyalty across almost every industry. That itself is a very useful thing. You can come up with a dozen other ways to try to measure customer loyalty on your own, but then you're on your own. No way to compare to others in the space, no easily told story to press, investors, potential partners or high-profile clients etc.