Profitable strategies for increasing the number of retained customers and donors
- Retention analysis – Devise anti-churn strategy and create KPIs for retention, measure them and begin to predict customer behaviour
- Retention strategy – Now you can measure your retention you need to integrate retention into your marketing strategy
- Retention budgeting – How to apportion your marketing budget to ensure maximum customer retention whilst still acquiring customers
- Retention e-marketing – Send one-to-one marketing messages using QbaseMail to reflect individual customer attributes in every email
Most marketing budgets are disproportionately allocated to acquisition. This makes perfect but unprofitable sense when you consider that if little money is spent on retention and there is no formal strategy focussing on this, then you will lose large volumes of customers and therefore be compelled to ever-increasing new customer targets to top up a very leaky customer base.
"Customer loyalty is declining"... so customer retention is under pressure in many markets and the problem is exacerbated by the web which allows you to get comparative quotes for almost any product on-line in seconds.
This is evidenced in some major consumer markets in Europe with the huge amount of churn in the mobile phone and insurance markets - both of which have always offered huge incentives to new customers whilst offering little if any incentive to existing customers.
Customer retention is a conscious act
Few if any businesses can operate on the principle that customers will stay with them this year because it is easier than finding a new supplier.
Solving the problem of customer retention is not complex, but it does require the development of a specific customer retention plan and the ability to observe and measure customer behaviour.
Qbase has been working with a number of companies in direct response, publishing, communications and the charity sector to devise cost effective customer retention campaigns for several years.
We have always increased customer retention where our strategies have been deployed. We have four simple services all of which can be easily integrated into your current marketing strategy to help reverse the trend of declining customer retention.
Paresh Patel will help you implement customer retention.