Question: While the NPS gives businesses a rough idea about consumer advocacy, the metric has its disadvantages: The NPS lacks context Why did the brand score
While the NPS gives businesses a rough idea about consumer advocacy, the metric has its disadvantages:
The NPS lacks context Why did the brand score poorly with some customers while winning a thumbs up from others? Delving deeper into this question allows the company to identify problem areas and take specific action.
Sample sizes might be small The NPS is calculated from a single question that is part of a broader survey. However, surveys can have low response rates due to shifting public attitudes towards surveys privacy concerns, and technological advancement As we have seen earlier in the chapter, small sample sizes can shake the credibility of a surveys findings.
The NPS oversimplifies human behavior NPS detractors say the metric does not consider the difference between what people say they will do and what they actually do In the case of the NPS a key question iswhat percentage of people actually recommend the brand to a friend or family member? Moreover, the NPS does not take into account the complex lineup of products and services offered by a brand. A customer may like one product but dislike another.
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