|Article by Ernan Roman
Featured on CustomerThink.com
Additionally in a Retention Science study it was noted that:
|•||Advanced customer lifecycle metrics are being adopted slowly with only 23% of marketers tracking the rate at which their customers churn, and under 40% tracking customer lifetime value.|
|•||70% believe that their retention marketing efforts are only average, poor, or need improvement.|
|•||Identifying specific fan behaviors in order to develop three interest-driven databases for targeted communications.|
|•||Creating newsletters that contained content that would speak specifically to the three identified segment audiences.|
|•||Through call-to-action clicks, they were able to ascertain what part of the Derby experience was of importance.|
|•||Based on behaviors, consumers were constantly moved into more appropriate segments so they could receive more relevant communications.
|•||Increasing customer retention rates increases profits.
Not only will you keep the customers you have but they will be more likely to refer your business to others. As reported in Luxury Daily, 20% percent of luxury sales are generated by word-of-mouth.
|•||Understand customer lifecycle metrics.
Marketers need to have a better understanding of their customer's journey - and why customers leave. You need to track the rate and reasons for customer churn, so you can better understand what is needed to increase retention.
|•||Don't run your marketing based on assumptions.
Through the use of well defined and accurately generated data you can develop effective segmentation strategies that will allow you to target the exact audience that is receptive to your messaging.