Compendium admissions 2023-25
Key metrics for product management
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- Retention rate
- Customer satisfaction rate
| Key metrics for product management These key product management metrics and KPIs can be used to measure product and process performance. Net promoter score (NPS) NPS quantifies customer satisfaction with the product. Imagine your customers answering this question Would you recommend this product/service to a friend/peer? Promoters are existing clients who can promote the product through positive reviews or word-of-mouth recommendations. Leverage these positive experiences using interviews and case studies. Consider the time it takes to adopt a product or feature that's just been introduced. The NPS also includes the percentage of users adopting the new feature and how often they engage with it. Retention rate Retention rate is a key metric that tracks the percentage of active users compared to the total users fora specific period. 109 SaaS companies or organizations with a subscription-based model commonly use it. To maintain a reasonable retention rate, companies must consistently meet customer expectations and deliver immense value. Churn rate The churn rate is the percentage of customers that leave a company or unsubscribe from a platform within a specific period. Every product-focused company (SaaS companies, in particular) intends to increase retention while reducing customer churn rates. Customer satisfaction rate Every company wants its customer satisfaction rates to be the highest. High customer satisfaction rates imply that a company can deliver what customers want across the buying journey. From attracting customers to delivering the product to post-sales service, customer satisfaction rates rely on users being happy with the entire process. Quantifying customer needs and preferences can act as a benchmark when identifying customer satisfaction scores. A detailed analysis of customers' inputs and feedback can help determine what users want and need from a company's product or service. |