Hey founders & friends….. happy Friday!
A few newsletters back we shared some insights into the different ways to measure churn. You can read it below 👇👇
We wanted to dive a bit deeper into this topic and provide a few basic strategies that can be used to increase customer retention. Let’s jump into it!
1. high-performing account management teams
Building out and properly managing a high-performing account management/customer success team is one of the most effective strategies for improving customer retention. A successful account management team can create strong relationships with customers, support them with any product issues, and help optimize the user experience. This will not only increase retention but in a lot of cases, help drive referrals.
2. Customer segmentation
Customer segmentation is critical for improving retention as it allows a company to understand which customers are “at-risk” of churning, thus putting more resources into retention strategies for these segments.
Further, by properly breaking customers into groups with similar characteristics, then analyzing why those groups tend to churn allows companies to focus their efforts on keeping similar customers from leaving.
3. Improving pricing strategies and product offerings
Certain price and product offering strategies allow for more opportunities to improve net retention. A module-based offering and tiered pricing allow for opportunities to upsell customers. Another effective pricing strategy to improve net retention is implementing price escalation into multi-year contracts.
Interested in learning more about this topic?? Make sure to check out the following below 👇
Favorites from the Ecosystem
Updates from team Bloom👇…..
What We’re Reading and Listening To…
News from the Industry: deals, deals, and more deals 💰
End Note 🔚
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