named a in the Gartner's
Magic Quadrant for
- Low-code platform
Previously we found out why data mining and BI tools can’t help small and mid-size companies prevent churn. We also outlined steps of a churn management campaign, discovered how to calculate customer lifetime value and how to gather feedback right. Now it’s time to go on and define and collect factors that have an impact on customer churn decision.
It could be internal factors (a wide range of disadvantages and weak characteristics of your product/service, business model, skills, market position etc.) as well as external (activities of competitors, changes in customer’s priority etc.). Of course the right way is to minimize influence of these factors and improve performance. Unfortunately it takes some time and after all it could even be unachievable. But it is very useful to know them, to clarify their potential impact and use this knowledge in planning churn prevention campaigns.
After matching customer feedback and defining internal/external factors, company can go further to discovering symptoms (patterns of customer behaviour) which would cause decreased level of cooperation and a possible shift to another supplier. It can be complaints, delays in delivery, reduction of purchases as well as negative comments on Twitter or Facebook. For every single industry different indicators could be enlisted.
Symptoms and factors (they are mentioned earlier) should be qualified and marked according to their potential influence and the value of a customer. All symptoms can be classified in 2 types: critical (intensive event which alone could cause a churn) or recapitulative (summary of negative customer experiences). Emergence of symptom(s) should be used as a trigger to start reactive action (or flow of actions) to prevent churn.
Evaluation of emotions is also extremely important. For instance in BPMonline CRM we suggest customers to choose a mood (kit of smileys) after every single communication. A customer may not have a formal reason for dissatisfaction but actually might be dissatisfied with communications themselves.
Let’s go in depth with a few examples:
I hope now you have at least a slight idea of how to define and collect impact factors and discover possible symptoms. In the final post I advice some tools for you that will help you build effective churn management campaign. Stay tuned.
CEO and Managing Partner Creatio
The last 17 years have been an incredible journey for our team at bpm’online. When we started the company, it was just a handful of young graduates with big dreams, ready to work hard to achieve them.
Over the years, we have experienced lots of ups and downs of growing and running a business. However, there has always been one thing that inspired us: the powerful, unique solutions created on the bpm’online platform by our community of partners and customers, many of whom I am proud to call friends.
Our customers and partners use bpm’online platform and CRM solutions to bring business ideas to life through automation. Solutions that they create reflect unique differentiation of their companies, these solutions are their own creations. It is in the DNA of our customers and partners to generate ideas, create, and to change the status quo. And we’re thrilled to honor and support the creators in each of them!
With that, I am very excited to share the news… Our company has changed its corporate and product names to Creatio!
The new name reflects our strong belief that everyone will become a developer, able to automate ideas and create custom solutions in minutes. We call these solutions “creatios.”
We have rolled out the Creatio renaming on October 30, 2019. I hope you’ll enjoy a recording of an online launch event at creatio.com/new-watch
While our name is changing, the strategy, products, our team and commitment to empowering our users with the best low-code / no-code BPM platform and sophisticated CRM products remain the same. The new name only reinforces our vision of creating a world where any business idea can be automated in minutes.
Please visit our FAQ page for more information on the renaming process. As always, I'd appreciate your feedback and I'm happy to answer any questions.
CEO and Managing Partner