We know that the typical business loses around 20% of customers annually due to neglecting to nurture and strengthen its existing customer relationships. What’s even more concerning is that close to 70% of customers stop frequenting a business because they are under the impression that the organization simply doesn’t care about them. This research finding suggests that the absence of a sophisticated customer retention strategy is bound to harm long-term profits and business growth.
Customer churn prediction software helps business owners to identify those customers most likely to churn — and then formulate an effective response. A decent growth platform will help you cultivate intelligent decision-making based on established patterns in previous customer behavior. An advanced customer retention platform will also provide you with the data needed for closely targeted multi-channel marketing campaigns. It will inspire you on how to improve customer experience and thereby boost retention rates.
Focus on Customer Experience
A recent survey found that half of customers would happily switch to a rival business after just a single unpleasant experience — a figure that surges to 80% after several bad experiences. The offending moment can occur at any touchpoint in the customer’s journey, from the first contact to the checkout and beyond. That’s why it should be considered the responsibility of each department to be proactive in ensuring consistently positive experiences. If you want customers to keep returning, the goal is to avoid being seen as just another website or e-shop.
When it comes to customer churn, you can’t fix a problem if you don’t even know what’s wrong. That’s where customer retention software plays such an important role — collecting vital insights on customers’ pain points so they can be addressed rapidly. By tracking customer data and satisfaction metrics, you can also figure out what’s going well and adopt those same tactics in future customer engagements. But without the benefit of powerful software, this feat is trickier than ever since today’s businesses struggle with three times as much data as just five years ago!
Marketing is a numbers game — and is typically focused on the actions most likely to have the most significant impact on selected KPIs. With the dynamic micro-segmentation of customers (according to earlier behavior), it’s possible to achieve an almost immediate boost in sales and retention, an uplift in both short-term and long-term revenues, improved customer satisfaction and loyalty, and even a reduction in marketing costs. However, this approach demands a very high level of technical expertise, which is where Overdue comes in.
Our advanced customer retention platform integrates directly into Stripe. With the Overdue widget, everything you need is conveniently positioned in one place — and your efforts to combat churn are not only more effective but greatly simplified and vastly accelerated.