5 Schritte zur niedrigen Churn Rate

Your ability to retain customers from month to month— minimizing your churn rate—is the lifeblood of any successful subscription-based business.

Churn rate can mean different things to different people, but at its core is measuring the percentage of customers who leave (cancel or stop subscribing) over a certain period of time.

The financial effects of a high churn rate are disastrous. First you have to consider the money it takes to replace the customers who leave. If you have a high churn rate, the revenue you’re pulling in from the churners is probably significantly less than the cost it took to acquire them.

So you’re forced to spend more and more money acquiring new customers to replace the old ones if you want any chance to grow. As a consequence the higher the churn rate, the lower the average lifetime value of your customers.

Your ability to retain customers from month to month— minimizing your churn rate—is the lifeblood of any successful subscription-based business.

Churn rate can mean different things to different people, but at its core is measuring the percentage of customers who leave (cancel or stop subscribing) over a certain period of time.

So you’re forced to spend more and more money acquiring new customers to replace the old ones if you want any chance to grow. As a consequence the higher the churn rate, the lower the average lifetime value of your customers

1. Find Out Why You’re Losing Customers

2. Keep Current Customers Engaged

3. Use Drip Email Campaigns

4. Downsell Customers Basic Offer

5. Figure Out What Customers Can’t Live Without and Introduce it Early

Quelle: .business2community.com

1. Find Out Why You’re Losing Customers

This seems the most obvious way to reduce your churn rate, but many businesses fall short here.

They speculate and rely on their instincts about what went wrong instead of reaching out to the only people who can tell them for sure: dissatisfied customers.

Genuine customer feedback is an invaluable tool… if you make an effort to collect it. Feedback can give you insight into whether there are issues with your product or service itself, or if it’s the execution and support that are to blame.

You can find out what you’re doing well and where you could improve by reaching out over email or even the phone. Another thing you can do is to offer brief online surveys. Tools like UserVoice or Qualaroo can simplify this for you.

The best bet is to solicit feedback automatically when a customer cancels their subscription. Doing this—and responding quickly in the face of the feedback—gives you chances to salvage relationships with customers who didn’t understand how to use your product or service.

2. Keep Current Customers Engaged

As the online space gets more competitive, the overall quality of viable products or services is increasing. Customers aren’t as impressed by quality alone as they used to be. A quality offer is a necessary, but not sufficient, component of a low churn rate.

Assuming you’re already delivering on quality, one way you can distinguish yourself is through your customer service. For subscription businesses, this starts from first contact with the customer and continues indefinitely.

How can you give your customers an experience that makes them feel special from the very start? Delivering this won’t just help you acquire new customers; it will encourage existing customers to stick around because they know they can’t find that anywhere else.

You can also educate your customers better so they understand how to get the most value out of your product or service. Most won’t read instruction manuals or scour Q&A forums. That’s why you need to take matters into your own hands and provide that content. It could be video demos, blog articles, or free technical support; it’s up to you.

Quicksprout does a great job of this. Check out their Quicksprout University page, which offers a ton of free videos to teach visitors online marketing:

This seems the most obvious way to reduce your churn rate, but many businesses fall short here.

They speculate and rely on their instincts about what went wrong instead of reaching out to the only people who can tell them for sure: dissatisfied customers.

This seems the most obvious way to reduce your churn rate, but many businesses fall short here.

They speculate and rely on their instincts about what went wrong instead of reaching out to the only people who can tell them for sure: dissatisfied customers.

This seems the most obvious way to reduce your churn rate, but many businesses fall short here.

They speculate and rely on their instincts about what went wrong instead of reaching out to the only people who can tell them for sure: dissatisfied customers.

Tags: ChurnRate

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