How to Minimize Your Business’ “Churn Rate” – (And Why You Need to Know How!!) – Part 2
Welcome to part two of this two-part series on reducing the churn rate.
In Part 1, I explained:
- What is a Business Churn Rate?
- Why it’s Important to Know?
- 4 Strategies for Minimizing It
Let’s jump right into four other methods for keeping your customer churn rate low and therefore keeping your retention rate high.
As mentioned, we want smooth sailing. We don’t want customers leaking out of your business’ (or non-profit’s) infrastructural vessel. – or worse, the Titanic (or the Poseidon Adventure).
5) Shamelessly One-Up the Competition.
Savvy businessmen and women know that keeping an eye on the competition is key, and nowhere is this more important than in customer acquisition and churn rate assessments.
Take time out of every day, week, or month – depending on the cycle time and speed of your market – to research what your competitors have been up to.
- Are they doing something that you aren’t?
- If so, is it something that you, as a customer, would want and benefit from?
- Be honest here. If the answer is “yes,” how could you not only implement something similar, but improve on it?
This is simply part of the process of continuously adding value to a business. Keeping an eye on competition helps you to gauge the rate at which you should be adding value.
- Rather than trying to slowly dole out new goodies to your customers, could you challenge yourself to give away new value as it comes about in real time?
This also mean that you won’t be able to to rest on your laurels.
- How could you constantly innovate in order to have bigger and better offers for your customers.
Seem like tough work? It is – and it’s also how industry leaders get to the top.
6) Be Personal; Don’t Automate Where You Should Not.
Automation is one of the trickiest things to master when your business begins to grow. You want to be able to manage everything at once. However, if you started with a personal touch, then losing it can be detrimental to your relationship with leads and customers.
As a rule of thumb, it’s ok to automate, but don’t fake it. This means that things like post-purchase emails, can be automated, and people have come to expect them to be automated. However, don’t fake communications that are expected to be real and genuine.
Don’t try to be authentic with automated messages that are ultimately canned, pre-written, and going out to a lot of people, whether it be 50, 500, or 5,000 people.
For example, let’s say you write an email for your list to announce a new offer. Don’t use name tagging to fake personalization. People see straight through that, and it is (rightfully) perceived as phony. People understand that they are part of a mailing list, so don’t try to convince them otherwise.
If they write to you, however, respond personally. If that becomes logistically impossible, then make it clear that a support team is the one helping to field questions and concerns. (It may help to acknowledge in an automated message that there will be time constraints in reaching out to people one-on-one or in responding to all emails.)
Also, keep in mind that “impossible” should mean something different to you as an entrepreneur. You should be a time management ninja, and also realize that your work day might be 10 12, or 16 hours, not eight.
7) Ride the Wave, Don’t Chase It.
Even more important than watching the competition is to keep your finger on the pulse of your industry and the context within which it exists.
For example, Facebook noticed (and then helped champion) the bringing of rudimentary mobile internet to new countries that have never had such services. The company launched a stripped-down, Facebook Lite app to better accommodate these low-bandwidth markets. As soon as new mobile plans hit these countries, Facebook will be one of the first apps available.
Aim to be the Facebook of your industry. Sound like big shoes to fill? They are! But the point is that you should be looking to ride along with new trends as they crest, and leave everyone else to chase after you. That’s the mark of an industry leader.
8) Be mobile-friendly. Mobility is not just an example of innovation but needs to be a standard part of one’s marketing strategy including with respective to reducing churn rates.
One of the most important things you need to do is make sure your sites are mobile friendly If not then you are burning though a lot of your hard earned traffic!
Perhaps, four times as many people are using a mobile device than on the internet in general. So your site needs to be accessible and quick to download on mobile, and “responsive” with respect to the size of the screen.
One way to get a mobile responsive website is to simply use a mobile responsive theme. You can get many beautiful, responsive themes by using Thrive Themes. Thrive Themes works to make your website look great on mobile and INCREASE CONVERSIONS!
Business, Nonprofit, Arts Consultant
Actor, Writer, Producer
Ragone Enterprises and Productions
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Transforming Vision to Value
Roberto Ragone has over 25 years experience in government, nonprofits, and business, working with them on strategic planning, marketing and public relations, fundraising, and outreach. He has also worked on literary, film, and theatre projects.
One of his guiding principles is a determination to help you attract popularity, prosperity, and prestige — fans, friends, funds, and fame. He helps define and disseminate the uniquely compelling story about you, transforming your vision to value so you “REaP” the benefits of your hard work.