National Research Corporation (NRC): Marketing Mix Analysis [Dec-2025 Updated]

You're looking to cut through the noise and see exactly how National Research Corporation (NRC Health) is translating its data-driven patient experience platform into shareholder value as we head into late 2025. Honestly, the four P's show a classic, high-retention SaaS play focused squarely on the US healthcare system, evidenced by their $141.7 million Total Recurring Contract Value (TRCV) as of Q3 2025 and a solid 31% Adjusted EBITDA margin. This isn't just about patient surveys; it's about a subscription engine growing at 8% year-over-year, driven by direct sales and thought leadership like their annual Experience Perspective Report. Let's break down the Product, Place, Promotion, and Price mechanics that are powering this performance, so you can map the near-term opportunities.

National Research Corporation (NRC) - Marketing Mix: Product

The product element for National Research Corporation (NRC) centers on its portfolio of data-driven insights and analytics delivered as subscription-based solutions to healthcare organizations. This offering is designed to facilitate the measurement and improvement of the patient, consumer, employee, and market experiences across the continuum of care. National Research Corporation supports more than 7,200 organizations with its integrated solutions.

The core of the product strategy is the continuous listening, understanding, and improvement cycle, manifested in specific solution sets. These digital solutions address mission-critical, constituent-related elements for healthcare clients.

• Digital solutions target Patient Experience (PX), Consumer Experience, Employee Experience, and Market Experience.
• Specific solution names include nGage for cross-journey conversational listening, nQuire for AI-powered smart feedback, and nAct for assisted service recovery.
• The research emphasizes a trust framework, identifying Reliability, Competence, and Respect as the three key drivers of patient trust.
• The Market Insights product is specifically noted for aiding in global strategy development and health system brand management.

National Research Corporation is actively modernizing its platform to embed advanced technology, specifically supporting AI-driven innovations. The Huey™ engine is positioned as an AI engineered component exclusively for healthcare experience management, suggesting a significant product investment to enhance analytical capabilities and automation within the platform. This modernization effort is crucial as the company seeks to leverage its data to drive quality improvement and cost reduction for clients.

The subscription-based nature of the services underpins the product's financial stability and perceived value. The Total Recurring Contract Value (TRCV), a key forward-looking indicator, reached $141.7 million as of the third quarter of 2025. This metric showed a year-over-year increase of 8% in Q3 2025, marking the strongest TRCV growth since 2020, which suggests strong adoption and retention for the subscription offerings that cover areas like brand perception and patient feedback management.

The comprehensive experience portfolio was reported as completed in Q2 2025, which aligns with the strategic move to expand offerings, including the acquisition of Nobl Health for $7 million announced in August 2025. The product momentum is reflected in the subscription metrics: Q2 2025 saw TRCV grow sequentially by 2%, the third consecutive quarter of growth, and net retention was at its highest since 2020. The overall revenue for the quarter ending September 30, 2025, was $34.6 million.

Here's a quick look at the financial validation of the subscription product performance as of late 2025:

The product's perceived value is also supported by capital returns, signaling management confidence in the recurring revenue stream. In Q3 2025, the quarterly dividend was increased by 33% to $0.16 per share, and in Q2 2025, the company repurchased 381,736 shares at an average price of $14.96 per share. You can see the underlying strength in the cash generation, with Cash Flow from Operations hitting $13.8 million in Q3 2025, a 46% jump.

National Research Corporation (NRC) - Marketing Mix: Place

You're looking at how National Research Corporation (NRC) gets its experience improvement solutions into the hands of healthcare providers. The distribution strategy is heavily concentrated geographically, which is typical for a specialized B2B service provider.

The primary market is definitely the United States healthcare sector. Looking at the geographic revenue split from the latest data, the United States accounts for 92.4% of revenue, with International Markets making up the remaining 7.6%.

Distribution relies on a high-touch, direct sales team engagement model. This approach lets the sales force foster deep relationships with healthcare executives, which is key for selling complex analytics solutions. The company has been actively expanding its sales teams, noting that this sales force expansion in early 2025 has been a key driver of growth.

Digital delivery of SaaS solutions via the modernized technology platform is central to the 'Place' strategy now. The cloud-based platform enables real-time feedback collection. This digital channel is adapting to new regulatory requirements, for instance, with the Centers for Medicare & Medicaid Services (CMS) approving new survey administration methods in 2025, such as Web-mail and Web-phone options, which rely on digital capture rates. The company's platform incorporates AI-driven tools for enhanced digital interaction.

Here's a snapshot of the scale of their physical and digital footprint within the target market as of late 2025:

The strategic focus remains squarely on key segments within the healthcare ecosystem. The solutions are designed to serve hospitals, health systems, and long-term care facilities. This focus aligns with their core offerings in patient experience, employee engagement, and market insights.

The go-to-market model is evolving to accelerate growth and client partnerships, moving beyond just transactional sales. This shift is supported by strong recurring revenue metrics; for example, Total Recurring Contract Value (TRCV) grew 8% year-over-year to $141.7 million in Q3 2025, signaling that the focus on durable client partnerships is translating into committed future revenue. The Adjusted EBITDA margin for Q3 2025 stood strong at 31% of revenue, showing efficient scaling of the service delivery model.

Sales: Review Q4 pipeline conversion rates against the $141.7 million TRCV base by next Tuesday.

National Research Corporation (NRC) - Marketing Mix: Promotion

Thought leadership is established through the annual Experience Perspective Report, which was released in April 2025 during a live national webcast. This report features key findings based on extensive research involving millions of consumers, patients, and other healthcare leaders nationwide. A key finding highlighted that consumers are nearly 300% more likely to recommend a healthcare organization when they trust it.

The direct sales force drives new logo acquisition and cross-selling, contributing to strong sales momentum. In Q3 2025, National Research Corporation (NRC) secured an expansion deal with a top-50 health system that represented an over $1 million TRCV (Total Recurring Contract Value) expansion. Furthermore, the company secured two additional nearly $1 million cross-sells with top 100 health systems and a new logo win exceeding $500,000 in TRCV.

National Research Corporation (NRC) hosts flagship events. The 2025 Consumer Loyalty Awards were determined using data from the Market Insights study, which measures insights from over 310,000 individuals annually. The 2025 Excellence in Patient Experience Awards winners were selected based on Net Promoter Scores (NPS) measured between April 1, 2024, and March 31, 2025. For instance, one award recipient, Prisma Health, had patients complete more than 1.1 million surveys in 2025. The company also hosts the HUB conference, with HUB25 scheduled for October 15-17, 2025, in Orlando, Florida, and the next flagship event, HUB26 | Human Understanding Beyond, planned for September 2-4, 2026, in Nashville.

National Research Corporation (NRC) utilizes national webcasts and digital channels for research dissemination, such as the live national webcast for the 2025 Experience Perspective Report release. The company also received the 2025 Best in KLAS Award for Healthcare Experience Management.

Sales momentum in Q3 2025 reflected strong execution across the sales channels. The Total Recurring Contract Value (TRCV) finished at $141.7 million, an 8% year-over-year increase. The customer strategy team reduced TRCV losses and downsells by nearly 50% over the past year.

The promotion activities are supported by the overall financial performance, which provides the resources for these outreach efforts.

• GAAP Net Income for Q3 2025 was $4.1 million, representing 12% of revenue.
• Adjusted Net Income per diluted share for Q3 2025 was $0.23 on 22.1 million fully diluted shares.
• Net cash from operating activities for Q3 2025 was $13.8 million, representing 40% of total revenue.
• The company returned $28.1 million to shareholders through dividends and stock repurchases during 2025.

The Chief Operating Officer, Helen L. Hrdy, was granted 100,000 shares of common stock in April 2025, and her annual base salary remains $400,000.

Finance: draft 13-week cash view by Friday.

National Research Corporation (NRC) - Marketing Mix: Price

National Research Corporation (NRC) pricing is fundamentally anchored in a subscription model with recurring fees, which is the backbone of its financial predictability. This structure is designed to ensure continuous access to their healthcare experience improvement solutions for clients.

The most critical leading indicator for National Research Corporation's future revenue visibility is the Total Recurring Contract Value (TRCV). As of the third quarter of 2025, this key metric reached $141.7 million. This figure represents a strong 8% year-over-year growth in Q3 2025, marking the fourth consecutive quarter of sequential TRCV growth and the strongest growth seen since 2020.

This recurring revenue stream is supported by a value-based pricing philosophy. The cost of National Research Corporation's services is justified by the tangible benefits clients realize, which include demonstrably improved patient satisfaction and higher staff retention rates. The company's operational discipline in managing costs, alongside this value proposition, is reflected in its profitability metrics.

For Q3 2025, the Adjusted EBITDA margin expanded to 31.4%, up from 27.2% year-over-year, reflecting strong cost control and operational execution, even with total revenue at $34.6 million. You can see how the growth in the recurring base translates into margin performance:

The pricing strategy's success in securing long-term commitments also allows National Research Corporation to manage financing and return capital to shareholders effectively. This financial stability supports the ongoing investment in their value proposition.

Here are some related financial actions taken in Q3 2025 that underscore confidence in the recurring revenue base:

• Quarterly dividend increased by 33% to $0.16 per share.
• Repurchased 618,264 shares for $9.3 million.
• Net retention rate hit its highest level since 2020.
• Customer expansion activity was reported as the best in six years.

Honestly, the market is clearly rewarding the stability of the subscription base, as evidenced by the strong TRCV growth despite a slight year-over-year dip in total revenue. Finance: draft 13-week cash view by Friday.