Blog: The most useful customer retention metrics, ranked #8391
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@andyvan-ph I still need to do some work on the layout, visuals, but the copy and markdown is, I think, pretty much done. |
Cool. If it's ok, I'll wait to review when everything is in. |
andyvan-ph
requested changes
May 3, 2024
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Have gone through and less comments and suggestion. Some broader feedback:
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Remember who are audience is. Talking about normal bricks and mortar businesses isn't relevant to them.
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Although we changed the subtitle to "How is it useful?" the actual copy in those sections is mostly the same. I rejigged some of these, but have a look through to fix those. I changed it to "Why" as well.
On order, I'm thinking:
- customer retention/churn
- revenue churn
- NPS
- DAU/MAU
- CLTV
- CES
- CSAT
- Feature adoption
Did I miss any?
Co-authored-by: Andy Vandervell <92976667+andyvan-ph@users.noreply.github.com>
jtemperton
commented
May 3, 2024
jtemperton
commented
May 3, 2024
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| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand new users are less reliable and useful than those from people who have been using your product for a long time. |
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| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand new users are less reliable and useful than those from people who have been using your product for a long time. | |
| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand users are less reliable and useful than those from people who have been using your product for a long time. |
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Is this what you want? Doesn't make sense now.
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Huh yeah lemme fix that...
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| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand new users are less reliable and useful than those from people who have been using your product for a long time. | |
| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data. As a result, scores from new users are less reliable and actionable than those from people who have been using your product for a long time. |
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@andyvan-ph Tweaked and updated throughout. Order you suggested works for me. I'll swap them around once the other edits are cleared. Thanks! |
Co-authored-by: James Temperton <162187331+jtemperton@users.noreply.github.com>
andyvan-ph
approved these changes
May 29, 2024
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| This effectively means that Netflix spends a lot less time and money attracting new subscribers to replace people who’ve left. Apple TV+’s 8% monthly churn might not sound that much higher, but churn compounds. Annually, if Apple TV+ did nothing to attract new subscribers, it would lose almost 80% of its customers. Netflix, on the other hand, would lose 22.1%. | ||
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I think we can elevate this a tiny bit by grouping these by how good / bad they are. I'd suggest:
- 0.5, 1, 1.5% = Great
- 2, 3, 4% = Good
- 5, 6, 7% = OK
- 8, 9, 10% = Bad
Co-authored-by: Andy Vandervell <92976667+andyvan-ph@users.noreply.github.com>
jtemperton
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May 29, 2024
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| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand new users are less reliable and useful than those from people who have been using your product for a long time. |
There was a problem hiding this comment.
Huh yeah lemme fix that...
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| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand new users are less reliable and useful than those from people who have been using your product for a long time. |
There was a problem hiding this comment.
Suggested change
| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data, and scores from brand new users are less reliable and useful than those from people who have been using your product for a long time. | |
| That said, this isn’t the most useful metric for very early-stage startups. NPS relies on having a large number of established customers to provide meaningful data. As a result, scores from new users are less reliable and actionable than those from people who have been using your product for a long time. |
| author: | ||
| - james-temperton | ||
| featuredImage: >- | ||
| https://res.cloudinary.com/dmukukwp6/image/upload/posthog.com/contents/images/blog/posthog-marketing/marketing-hog.jpg |
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| https://res.cloudinary.com/dmukukwp6/image/upload/posthog.com/contents/images/blog/posthog-marketing/marketing-hog.jpg | |
| https://res.cloudinary.com/dmukukwp6/image/upload/lovehog_be749b577f.jpg |
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| This effectively means that Netflix spends a lot less time and money attracting new subscribers to replace people who’ve left. Apple TV+’s 8% monthly churn might not sound that much higher, but churn compounds. Annually, if Apple TV+ did nothing to attract new subscribers, it would lose almost 80% of its customers. Netflix, on the other hand, would lose 22.1%. | ||
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Adds a post about the most useful customer retention metrics.
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