At Vidora, we help businesses around the world turn their behavioral data into future predictions. These predictions can be used to find patterns. For example, it can indicate customers most likely to purchase a particular offer. It can also be used to find others who exhibit the behaviors of your most loyal customers. Regardless of the prediction type, the goal is to understand our customers better in order to give them a more personalized experience.
However, the most important prediction you can make for your customers is whether or not they will Churn. Churn & Customer Retention is a topic we’ve written at length about before:
- Using ML to Understand Why Customers Stay Retained
- Showing how Small Changes in Churn can lead to Large Changes in Revenue
- Showing how Vidora Customers have reduced churn by 5% through ML
Once you understand the likelihood a user will Churn, there are many ways you can take action on that data. Here are a few ways we’ve seen other Vidora Customers utilize these Churn Predictions.
Make Information Available to Support Team
One way to utilize Churn Predictions is to make these likelihoods known to your support team. The idea being, whenever a customer reaches out e.g through Email or Phone, the representative receiving that inquiry will immediately know the status of this customer.
Communicating with a customer who has a very low likelihood of churning will likely be different than communicating with a customer who has a very high likelihood of churning. By arming your Support team with this information upfront, they can choose the best path when responding to the customer.
Another popular way to utilize Churn Predictions is through Marketing Campaigns. If you know there is a percentage of your customer base that has a high likelihood of churning, it may make sense to reach out to them proactively with a Marketing campaign.
These campaigns can come in a wide variety, be it a simple message to bring your brand top of mind or through a specific offer to encourage the customer to make a purchase. When you’re able to segment your users based on Churn Likelihood, you can customize your outreach to best reach each audience.
You can also utilize Churn Predictions inside your actual product offering. If a customer comes to your site and you know they have a high likelihood of churning, you may want to serve them a different offer or experience.
Regardless of the way you act on your Churn Predictions, it’s important information to know and start gathering. As is often reported, the cost to acquire a new customer is often multiple times more than the cost to retain a current customer. The more information you have on your current customers, the easier it becomes to keep them engaged and retained.