Keeping and growing customers Phone: 0121 663 1011 Email: info@achaleon.com Web: www.achaleon.com

Customer acquisition and retention Increasing customer retention rates by 5% can increase profits by 25% or more (1) Acquisition cost is typically 5-25x higher than retention cost (2) Balance retention and acquisition to fit business strategy (1) Reichheld, Bain and Company (2) Gallo, Harvard Business Review

Retention and growth strategies Focus on your best customers – not the loudest Let go of unprofitable customers Keep it simple and manageable Build it in to everything you do Low potential High potential Great customer Keep Indulge Poor customer Lose Develop

What makes a great customer? Not all customers are right for you Every business has its niche You need to know who are your best customers Profitability Expected lifetime value Ease of doing business Strategic fit Market influence/advocacy

How to identify them Good data is essential Decide up-front what you need to measure Purchases/revenue Usage/behaviour/contact Costs incurred Referrals made Build measurement into business processes

Breakout: customer retention tactics List examples of customer retention tactics you have seen or experienced Perhaps from: Amazon, Sky, Ocado, BA, Next, Tesco Costa, TUI, RAC, Facebook, National Trust Pick three tactics that could be adapted for your customers

Systems for service and retention Design your systems to make it easy to report and to act Make sure your system and processes can differentiate key aspects of your service Look for patterns to predict churn Choose the right tools for your business Spreadsheet? Customer database/CRM? Ecommerce system? Custom backend for your app?

Different types of system Record keeping and data analysis Google Sheets Excel Marketing automation Infusionsoft Marketo Hubspot Customer and sales management CRM Salesforce Zoho SugarCRM Cheap CRM Act! Capsule Nimble Ecommerce and apps WooCommerce Paid Memberships Pro Whatever you specify and build

In summary Define your ideal customers (and those you don’t want) Put in place systems to track and measure Create processes to deliver outstanding service to those you care about

Questions philip.jones@achaleon.com 0121 663 1011 07796 441297