What is the alternative to the NPS score for Product Managers?
Net Promoter Score (NPS) is a customer satisfaction and loyalty metric that is used to gauge the likelihood that a customer will recommend a product or service to others. It is based on a single question: “On a scale of 0 to 10, how likely are you to recommend this product/service to a friend or colleague?” Customers who respond with a score of 9 or 10 are considered “promoters,” those who respond with a score of 7 or 8 are considered “passives,” and those who respond with a score of 0 to 6 are considered “detractors.” The NPS is calculated by subtracting the percentage of detractors from the percentage of promoters.
There are a number of alternative metrics that can be used to measure customer satisfaction and loyalty, depending on the specific needs and goals of a business. Some alternatives to NPS include:
- Customer Satisfaction (CSAT) — This metric measures how satisfied customers are with a product or service. It is typically based on a single question: “How satisfied are you with the product/service you received?” Customers can respond on a scale of 1 to 5 or 1 to 10.
- Customer Effort Score (CES) — This metric measures how much effort a customer has to put into getting their issue resolved or their question answered. It is based on a single question: “How much effort did you personally have to put forth to handle your request?” Customers can respond on a scale of 1 to 5 or 1 to 7.
- Customer Loyalty Index (CLI) — This metric measures the likelihood that a customer will continue to do business with a company. It is based on a series of questions that assess a customer’s overall satisfaction, willingness to recommend, and likelihood to continue doing business.
- Customer Experience Index (CXI) — This metric measures the overall customer experience with a product or service, taking into account various touchpoints and interactions throughout the customer journey. It is based on a series of questions that assess a customer’s satisfaction, loyalty, and advocacy.
- Customer Happiness Score (CHS) — This metric measures the overall happiness of customers with a product or service. It is based on a single question: “How happy are you with the product/service you received?” Customers can respond on a scale of 1 to 5 or 1 to 10.
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