At a glance Amazon-grade automated customer retention for SMB e-commerce.

In 11 months: •  > 3000 shops in 55

countries tracking 3 million consumers

Designed for the non-technical sales and marketing end user: •  Push button integration •  Easy to understand •  Affordable

Opportunity Mining & Automated Selling: •  Real-time alerts about high

value selling moments •  Triggered Smart Campaigns

with personalized product recommendations

E-commerce •  Customer •  Products •  Core Metric = Orders

SaaS, App or Game •  User •  Features •  Core Metric = Session

A Model for Increasing Retention and Growing Customer / User Loyalty

Important Vocabulary

A 5% increase in customer retention can increase your profit by 75%, since current customers…

And that’s not all…

Growth is More than Acquisition

The power of loyal customers:

–  Best source of referrals –  Most likely to try — and love — your new products –  Welcome up-sell and cross-sell suggestion

Lengthening Lifecycle is Key

A simple yet highly effective model for retention

The one time buyer problem

81% one time

The impact of the 2nd order

New – ordered once in the last 30 days

Retention To-Do List:

•  Send a thank you •  Explain care and

usage •  Invite them to join

your social channels

•  Share your story

Drifting – 1-3 orders, 31 to 90 days ago

Retention To-Do List:

•  Recommend popular products

•  Offer a time-limited discount

Sleepers – 1-3 orders, > 91 days ago

Retention To-Do List:

•  Bold email subject lines for attention

•  Be persistent

Promising – 2-3 orders, within last 60 days

Retention To-Do List:

•  Consider free shipping and exclusive offers

•  Recommend

products based on previous purchases

Loyal – 4+ orders, within last 90 days

Retention To-Do List:

•  Share exciting news •  Ask for reviews and

referrals •  Convey a sense of

exclusivity •  Consider loyalty

programs

At Risk – 4+ orders, 91-365 days ago

Retention To-Do List:

•  Personal outreach to discover problems

•  Send a satisfaction survey

•  Offer a discounts for orders above a minimum value

Red Alert – 4+ orders, > than 1 year ago

Retention To-Do List:

•  Personal outreach to learn what went wrong

•  Identify similar trends

Loyals  Leaving  

Going  to  Sleep   Dri3ing  Away  

Ready  to  Review  

Newly  Loyal  

Ready  to  Refer  

Ready  to  Advise  

•  Recency  Frequency  Monetary  (RFM)  segmentaBon  –    –  Fact:  The  more  recently  a  customer  has  purchased  from  you,  the  more  likely  he  is  to  maintain  awareness  of  your  company.    

•  Communicate  Based  on  Life  Cycle  SegmentaBon  -­‐  selling  moments  and  brand  building  moments  

•  Automate  at  key  customer  relaBonship  inflecBon  points    

Tips for Increasing Retention

•  Tweet @retentiongrid to ask for preso

•  22 Ways to Reduce Churn with Growth Hacking – Lincoln Murphy – SixteenVentures.com

•  Turning Customer Data into Profits with a Spreadsheet – JimNovo.com

•  RetentionGrid blog – blog.retentiongrid.com

Resources

•  What are your retention problems?

•  What do you do to increase customer loyalty?

•  Can anyone share a retention success story?

Questions for you