The Demise of Customer Surveys & The Rise of Meaningful Customer Loyalty

I recently listened to a fascinating podcast between Nick Hague and Fred Reichheld (watch it here), and it struck a chord with me. Fred Reichheld is famous for inventing the Net Promoter Score - a well known measure of customer loyalty.

As a seasoned market researcher, I’ve conducted countless customer satisfaction and loyalty surveys over the years. Back in the early days—think 20 to 30 years ago—people were eager to share their feedback. Surveys were insightful, actionable, and genuinely helped companies strengthen customer loyalty. Fast forward to today, and the landscape has changed dramatically.

What Went Wrong with Surveys?

Survey fatigue is real. Response rates often plummet below 20% because:

• Customers are bombarded with too many surveys.

• Surveys are tedious—too long, too repetitive, and frankly, boring.

• There’s scepticism—do companies even act on the feedback?

Fred Reichheld agrees: we’ve lost the plot.

The Problem with Obsessing Over Scores

Many companies fixate on their NPS or satisfaction scores, even tying them to employee bonuses. But this creates a dangerous incentive—frontline staff may pressure customers to give top scores just to hit targets.

This misses the point entirely.

Surveys should uncover:

• What makes customers super satisfied—so loyal they’ll refer others.

• Why some customers are merely satisfied—so you can improve their experience.

• Where you’re falling short—so you can fix critical issues.

The score itself isn’t the goal—it’s the starting point for deeper conversations.

From Surveys to Earned Growth

Instead of chasing numbers, we should focus on real business outcomes:

• Repeat & expanded purchases—Are customers buying more over time?

• Referrals—Are they bringing in new business?

With digital tools, tracking these metrics is easier than ever. Earned Growth Rate—measuring growth driven by customer loyalty—is the true north star.

As Fred Reichheld puts it: Referrals are worth more than silver and gold. They drive profitable, sustainable growth.

Time for a Change

It’s time to move beyond stale surveys and start listening with purpose. Let’s use feedback to build loyalty, not just measure it.

Want to dive deeper? Check out the full conversation here.