Christina Stahlkopf looked at the Net Promoter Score (NPS) in a short 2019 Harvard Business Review article. The upshot of the work was that recommendations are complex. We want consumers to be simple but they consistently (and inconsiderately) do things to mess up the metrics that describe them. NPS As A Compass Stahlkopf takes a…
Category: Net Promoter
The Benefits Of Simple
There are many papers on the mechanics of NPS (the Net Promoter Score) across various disciplines. In many ways they are easy to write. Fred Reichheld’s original claim was a bold one. Namely, that NPS was the one number you needed to know to grow. It was clearly a sales claim. It was pretty absurd…
NPS And Casino Patrons
I really appreciate when academic papers seek to address issues that matter to non-academics. Sanghee Kim and Tom Gruca looked at the use of Net Promoter Score (NPS) to predict customer retention and spending a topic important to many business people. What do they find about NPS and casino patrons? Casinos And Net Promoter A…
A New Marketing Metric, Earned Growth
Fred Reichheld brought us the Net Promoter System/Score. As such, he certainly knows how to popularize marketing metrics. He has now introduced a new marketing metric, earned growth. I need to think about it more but it seems to have some potential. Plus, the introduction seems to have avoided some of the problems of NPS…
NPS And Potential Customers
The Net Promoter Score/System (NPS) remains an outlier in marketing metrics. NPS is undoubtedly focused on ‘marketing’ issues but is very widely used across business. Senior managers often know NPS, indeed, they are often the ones promoting it. Is it any good though? The evidence for such a widely used metric is far from overwhelming….
Net Promoter, Do You Really Recommend?
I have mixed feelings about NPS (Net Promoter Score). It is rare for a marketing metric to be quite so successful. As such, I have got to admire how professionally it has been promoted. That said, it is hard to avoid the conclusion that it is over-hyped. It certainly isn’t the one number you need…
Net Promoter And Lessons For Academic Research
I value academic work that speaks to the issues of managers and others outside of academia. The Net Promoter Score/System (NPS) is widely used by managers and so it can be valuable when academics look into this metric. What then can we say about Net Promoter and the lessons for academic research? Reviewing The Literature…
Metrics that Marketers Muddle
From 2016: With Charan Bagga I have just published an article in the Sloan Management Review (see the article here). We called the article — rather self-explanatorily — Metrics that Marketers Muddle. Annoying Things That Marketers Do This central message is a bit cranky. Indeed we could have titled the paper, “annoying things that marketers do”. We highlight:…
Measuring Marketing In The Age Of Absolute Value
Itamar Simonson and Emanuel Rosen suggest that with greater access to information consumers can (and do) make much better purchasing decisions. They are, in effect, arguing that much academic work in marketing is too artificial when it shows decision-making problems. In the real-world consumers can solve problems that confound students in the laboratory. Too much choice can paralyze but this…
A Set of Metrics
The Canadian Marketing Association (CMA) have produced a set of metrics to capture performance. I would like to improve the definitions. In addition, the set more coherently presented. (For example, why squish retention and acquisition together in the list below?) Still, it is an interesting view on what marketers think. CMA Task Force The process…
