The Revenue Formula

NPS Sucks

12 snips
Jul 11, 2023
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INSIGHT

Survivor Bias Inflates NPS Over Time

  • NPS naturally improves over time because unhappy customers churn away, biasing the remaining sample.
  • That self‑selection makes NPS a self‑correcting but misleading indicator of product health.
INSIGHT

The NPS Scale Enables Easy Gaming

  • The NPS scale (0–10) and thresholds (9–10 promoters) enable easy gaming and misleading presentation.
  • Visual tricks like color‑coding push respondents toward 'promoter' answers without improving product outcomes.
ANECDOTE

Honey‑Pot Surveys Favor Positive Respondents

  • App developers ask satisfied users to leave public reviews and hide the survey from unhappy users.
  • Companies use the same honey‑pot tactic with NPS to collect only positive responses.
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