Statistics show that boosting customer retention rates by as little as 5% brings 5 to 95% amount of increased profits. This shows that enterprises must implement churn reduction strategies to increase sales and profits.
Gainsight knows that customer acquisition is lot more expensive and less profitable than customer retention. It focuses on nurturing and retaining amicable customer relationships as customer retention contributes towards cost reduction and sales improvements. It employs various strategies to retain customers and reduce churn. Gainsight’s churn reduction strategies include:
- Engage with customers on a regular basis to understand their wants and grievances
- Analyze transactional, behavioral and cross channel interaction data to identify the future behavior of customers
- Identify and address issues that impair customer experience and drive churn
- Evaluate sales performance
- Track and measure operational efficiency and marketing campaigns
- Review and amend, if necessary, company policies and processes to boost customer profitability
Gainsight understands that instead of a reactive approach, a proactive approach can easily reduce customer churn. It uses its customer success and retention process automation technology to identify customer intent and employ churn reduction strategies to convince customers to stay.
