Challenge
The difference between companies that grow and those that don’t is customer retention. The more customers that you can keep and continue to sell to, the more likely you are to achieve your business goals.
Investment in customer acquisition far exceeds investment in retention. Yet, selling to an existing customer is 6-7 times cheaper. So, why are companies spending most of their budgets on generating new customers?
Solution
Standard data formats and attributes that can be populated based upon the client data. For example, to calculate a customer score for the ‘Value’ dimension, Annual spend per customer may be available, whereas Share of Wallet may not, at least initially.
The Retention Targeted Model will generate a Customer Value score based on whichever combination of Value plug-ins are activated. As data becomes available for additional plug-ins, the process does not need to change, simply the accuracy of the score is improved.
Each dimension generates a score for each customer, which is then combined to create a retention activity priority score. This score is then passed to the retention processes, which depending upon the client, may be manual or automated. The model will progressively learn as more data is introduced.