InteractCM - Fact Sheet - Customer Retention

An organisation's business development strategy is driven by the three business priorities of acquisition, retention and growth. Retention of existing customers is a key part of the mix for protecting the value of the customer franchise.

The focus of retention programs should be directed towards the most profitable customers and those that have the potential to become more profitable. This implies that the organisation has a unique profile for each high value and high potential value customer, and can tailor its communications to the individual needs of each customer.

In particular, warning signs are needed to alert the organisation to a customer's "vulnerability" to partial or full defection, and specific recovery action is needed once a customer has closed an account or signalled their intention to take their business elsewhere.



	High value or high potential value customers cannot be identified
	High churn rates for high value/high potential value customers
	Revenue or profit per customer declining


	Retain high value/high potential value customers by influencing behaviour
	More efficient to retain existing customers than attract new ones
	Improved customer satisfaction and loyalty as a result of more personalised, relevant messages
	Increased revenue and profit


An effective customer retention strategy will involve the following key steps:
	Build customer profiles to enable the identification of high value and high potential value customers. This step may involve identifying what information is needed, what information is missing, how it can be collected and then collecting the necessary information. InteractCM's Advanced Customer Profile (ACP) can provide our clients with a "fast start" for customer profiling
	Design and build the models to measure customer profitability, potential, vulnerability, etc for the target customer segments
	Develop and implement appropriate retention and win-back programs, triggered by events and other indicators provided by the customer behaviour models
	Establish effective monitoring and review processes to ensure that the program is achieving the desired outcomes

Please fill out the form below and we will get in contact regarding how we might assist you with this offering.

Your Details
Name:
Phone Number:
Email Address:
Organisation Name:

Return to the Convert Customer Knowledge to Value page.

Top