So the business is chasing profits. In the short term that means customers paying money - any will do (happy or unhappy).
But in the long term, happy is the key. Happy customers are the single biggest marketing tool you have. Happy customers promote and recommend you. Unhappy customers do the opposite (and are more effective at doing so.)
So, if the metric stops at Customers then you are greatly missing the long-term value. Since a good business is planning for the long term, not just right now, Happy customers I the correct metric.
Remember, you ultimately get what you measure (no more).
> Happy customers are the single biggest marketing tool you have. Happy customers promote and recommend you. Unhappy customers do the opposite (and are more effective at doing so.)
And yet, there's some irrational counter examples; there's video games that has huge detractors while having huge financial success. Negative reviews on Steam, "4000 hours played". The metrics say they aren't happy with the product... but they still play it, talk about it, may have pulled in friends to play it, and spend money on it.
People can be unhappy about a product but still pay and promote it, counter-intuitively. Of course, the unhappiness is what they say, their behaviour says otherwise so for the sake of the metrics they would be considered happy I suppose?
So the business is chasing profits. In the short term that means customers paying money - any will do (happy or unhappy).
But in the long term, happy is the key. Happy customers are the single biggest marketing tool you have. Happy customers promote and recommend you. Unhappy customers do the opposite (and are more effective at doing so.)
So, if the metric stops at Customers then you are greatly missing the long-term value. Since a good business is planning for the long term, not just right now, Happy customers I the correct metric.
Remember, you ultimately get what you measure (no more).