IN OUR BLOG
“It is between 5 and 12 times cheaper to keep an existing customer than it is to acquire a new one” (Source: The US Office of Consumer Affairs)
Customer Retention isn’t just about persuading customers to stay at the end of a set period. Customer churn can happen at any customer touchpoint and any moment in time. Organisations can identify innovative tactical ways to drive loyalty and to tackle issues at source that cause customers to leave. We have worked with organisations across different industry sectors to develop innovative communications and channel-based initiatives to tackle issues such as:
Early and mid-term churn, e.g.
- Welcome and first-bill calling – One simple phone call can improve customer churn performance by as much as 20 percent!
- Midterm communications – reminding customers of the benefits they receive and the additional services that can be utilised can significantly increase customer retention
- Direct Debit conversion and reinstatement schemes – sometimes customers can leave you by mistake by simply cancelling a direct debit in error. Reinstatement programmes can have a major positive impact on this
Loyalty & rewards management, e.g.
- Loyalty schemes – can be a great way of getting your customers to keep coming back; however when they are not managed properly, then can actually drive disloyalty. Getting the right balance between frequency, timing, consistency and relevancy of loyalty and rewards communications can hold the key to this.
Retention management, e.g.
- ‘Save’ initiatives – When the customer has decided that they no longer wish to do business with you, is it not worthwhile having specialist resource to deal with them? Dedicated Save teams can improve customer retention by as much as fifty percent.
- Upsell & down-sell initiatives – It is dangerous to assume that every customer who is unhappy with their existing product or service is only open to the ‘down-sell’. One Spanish insurance company we worked with found that they upsold more than they down-sold to customers they retained
Retention & Loyalty Management