Preventing customer churn is as crucial an aspect as customer acquisition, if not even more so. It is often more efficient and resource-saving to retain more firmly those users who have already had a good experience with a company. To prevent churn, it's important to play out the ideal content at the ideal time on the ideal channel. This is how you show your customers that you understand and can serve their needs. Intelligent, AI-powered tools help you to keep the effort for such a customer-specific approach very low through automation.
What is Churn Prediction?
A Churn Prediction gives an indication of whether a customer is at risk of leaving the company and its services. There are various indicators for this, such as the following:
- Changes in buying behavior (buys other products, buys less frequently or less)
- more complaints & returns
- specific complaints
- negative reviews (e.g. Google reviews), social media comments)
- less contact & feedback (less frequent inquiries, email correspondence, reactions on marketing)
- no reaction to approaching end of a contract period
- and many more.
Why is churn prediction so important?
Especially with a large customer base and the enormous amounts of data that modern CRM systems collect, it is almost impossible to manually assess the risk of customers churning. This is where churn prediction comes in: early warning systems take advantage of Big Data, use machine learning and artificial intelligence algorithms, calculate the probability of a customer churning, and raise the alarm early enough. Your sales and service team can then respond appropriately, present customer-specific offers, and evaluate optimization potential in customer retention and care.
Thanks to smart marketing automation tools, tailored, personalized content can be sent immediately to potential churners in order to retain them.
With an intelligent, AI-powered CRM like those from BSI or HubSpot, you can take your customer retention and nurturing to the next level, save precious resources, and free up your service team. In addition to in-app customer engagement features, it's a good idea to use integrations that bring detailed churn prediction features like real-time alerts, WalkThroughs, customer segmentation, and more. There are several smart integrations available for churn prediction. You can find some of the best churn prediction software here. Attractive integrations for HubSpot are Churnly, Churnzero, or ClientSuccess, for example.
Do you need help choosing the right CRM for your company's needs or the best churn prediction integration for your CRM? The marketing experts at W4 would be happy to support you.
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