Customer Retention Strategies

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For an updated version of this presentation: https://www.slideshare.net/clearaction/customer-retention-strategies-125750732 Is customer retention included in your marketing plans and budgets? Many companies are involving customers in 2-way conversation to build relationship strength. Trust is the #1 way to retain customers ... by preventing hassles in policies and processes ... making your company irresistible, for sustained organic growth. See https://ClearAction.com

Business Technology

www.ClearActionCX.com
Customer Retention Strategies
Engagement Externally & Internally

Why is it Hard to Retain Customers?
Value
Disappointment
Offers
Ours vs. Others Affinity
Ours vs. Others
Service
Disappointment
Product
Disappointment
© Copyright ClearAction LLC. All rights reserved.

Get Off the Churn Bandwagon
OrangeTM by France Telecom

Awareness  Exploration / Expansion  Commitment  Dissolution
• Pricing
• Branding
• Community
• Individualization
• Interactivity
Experience
Spectrum
Marketing
Mix
Message
- Timing
- Frequency
- Content
Realities
vs.
Aspirations
Shared Interest:
- in Information
- in Activity
- from Commonality
Marketing Plan Includes Customer Retention?
© Copyright ClearAction LLC. All rights reserved.

Executives Include Customer Retention?
© Copyright ClearAction LLC. All rights reserved.

Database
Build
Volume
Build
Loyalty
Build
Loyalty
Present
Customers
Competitors’
Customers
New/Emerging
Customers
Maintain
Usage
Build
Usage
Gain
Trial
Marketing Tools Include Customer Retention?
Value
Segmentation Experience
Personas Predictive
Modeling
Awareness  Exploration / Expansion  Commitment  Dissolution
© Copyright ClearAction LLC. All rights reserved.

Product & Service
Quality
Leadership
Can Be Trusted
Treats Employees
Well
Priorities Reflect Trust-Builders?
#1 #2 #3
#4 Value for the money
#5 Stays within the spirit & letter of the law
#6 Strong financial future
#7 Frequent communication about the state of its business
#8 Innovates new products, services or ideas
#9 Creates & maintains local jobs
#10 Gives time, money or resources to public good
#11 Strong commitment to protect the environment
© Copyright ClearAction LLC. All rights reserved. -2009 Edelman Trust Barometer

1%
Reduction
of Negative
Word-of-Mouth
1%
Increase
of Positive
Word-of-Mouth
0.41% Revenue Growth 0.14% Revenue Growth
Higher ROI by Acting on Constructive Feedback
300% ROI on reducing negative buzz
compared to increasing positive buzz
-London School of Economics
Advocacy Drives Growth study
© Copyright ClearAction LLC. All rights reserved.

Best Average Laggard
Customer Retention 15% 1% 0%
Customer Satisfaction 19% 8% 3%
Profitability 8% 6% -8%
Customer Retention is Smart Business
-Aberdeen Group
2008 Customer Experience Management Study
Year-over-year increases for best-in-class, average & laggard customer experience practitioners
© Copyright ClearAction LLC. All rights reserved.

ClearActionCX.com
See the whole presentation in ClearAction Insiders!
© Copyright ClearAction LLC. All rights reserved.

ClearActionCX.com
If You Like These Concepts, Get the Book!
© Copyright ClearAction LLC. All rights reserved.
>30 Tools &
Techniques
Step-by-Step
Guidelines

ClearActionCX.com
If You Like These Concepts, Get the Book!
5 Keys Explained
>20 Tools &
Techniques
Step-by-Step
Guidelines
© Copyright ClearAction LLC. All rights reserved.

ClearActionCX.com
If You Like These Concepts, Get the Book!
4 Keys Explained
10 Templates
Step-by-Step
Guidelines
© Copyright ClearAction LLC. All rights reserved.

ClearAction Consulting Clients
“ClearAction taught us things
that wouldn’t readily cross our
minds and has increased our
efficiency & accuracy in many
areas. We highly recommend
ClearAction as a business
consultant.”
© Copyright ClearAction LLC. All rights reserved.
Partial List
Send us a note:
OptimizeCX@ClearActionCX.com

OptimizeCX@ClearActionCX.com
tel +1 408 687 9700
Lynn Hunsaker
ClearAction
company/clearaction-llc
+ClearActionCXO
CustomerExperienceOptimization

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Customer Retention Strategies

1. www.ClearActionCX.com Customer Retention Strategies Engagement Externally & Internally

2. Why is it Hard to Retain Customers? Value Disappointment Offers Ours vs. Others Affinity Ours vs. Others Service Disappointment Product Disappointment © Copyright ClearAction LLC. All rights reserved.

3. Get Off the Churn Bandwagon OrangeTM by France Telecom

4. Awareness  Exploration / Expansion  Commitment  Dissolution • Pricing • Branding • Community • Individualization • Interactivity Experience Spectrum Marketing Mix Message - Timing - Frequency - Content Realities vs. Aspirations Shared Interest: - in Information - in Activity - from Commonality Marketing Plan Includes Customer Retention? © Copyright ClearAction LLC. All rights reserved.

6. Database Build Volume Build Loyalty Build Loyalty Present Customers Competitors’ Customers New/Emerging Customers Maintain Usage Build Usage Gain Trial Marketing Tools Include Customer Retention? Value Segmentation Experience Personas Predictive Modeling Awareness  Exploration / Expansion  Commitment  Dissolution © Copyright ClearAction LLC. All rights reserved.

7. Product & Service Quality Leadership Can Be Trusted Treats Employees Well Priorities Reflect Trust-Builders? #1 #2 #3 #4 Value for the money #5 Stays within the spirit & letter of the law #6 Strong financial future #7 Frequent communication about the state of its business #8 Innovates new products, services or ideas #9 Creates & maintains local jobs #10 Gives time, money or resources to public good #11 Strong commitment to protect the environment © Copyright ClearAction LLC. All rights reserved. -2009 Edelman Trust Barometer

8. 1% Reduction of Negative Word-of-Mouth 1% Increase of Positive Word-of-Mouth 0.41% Revenue Growth 0.14% Revenue Growth Higher ROI by Acting on Constructive Feedback 300% ROI on reducing negative buzz compared to increasing positive buzz -London School of Economics Advocacy Drives Growth study © Copyright ClearAction LLC. All rights reserved.

9. Customer Retention by Delivering Brand Promise • Customer- centric • Trust • Marketing Plans • Budget • Personas • Processes • Policies • Proactive • Involvement • Equity (non- transferable) Culture Tools Prevention Passion Under-Managed © Copyright ClearAction LLC. All rights reserved.

10. Best Average Laggard Customer Retention 15% 1% 0% Customer Satisfaction 19% 8% 3% Profitability 8% 6% -8% Customer Retention is Smart Business -Aberdeen Group 2008 Customer Experience Management Study Year-over-year increases for best-in-class, average & laggard customer experience practitioners © Copyright ClearAction LLC. All rights reserved.

15. ClearAction Consulting Clients “ClearAction taught us things that wouldn’t readily cross our minds and has increased our efficiency & accuracy in many areas. We highly recommend ClearAction as a business consultant.” © Copyright ClearAction LLC. All rights reserved. Partial List Send us a note: OptimizeCX@ClearActionCX.com

16. OptimizeCX@ClearActionCX.com tel +1 408 687 9700 Lynn Hunsaker ClearAction company/clearaction-llc +ClearActionCXO CustomerExperienceOptimization

Customer Retention Strategies

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Customer Retention Strategies