There are countless ways competitors lure your customers away. But, savvy marketers build customer retention strategies to anticipate behaviors, engage customers, reward loyalty and retain loyal customers longer.
The most successful weapon to fight customer attrition is creating a personalized customer experience. — B2C, Nov 2015
Customer Retention Strategies — Benefits
Loyalty isn’t something that can be bought with rewards. Loyal behavior is cultivated over time by consistently knowing, meeting and anticipating customer needs. Marketers anticipate customers by keeping track of visits and purchase frequencies. They engage customers with relevant offers on items frequently purchased, or on complementary items. If a loyal customer hasn’t visited when expected, marketers tempt the individual with an offer she can’t refuse. Marketers reward loyalty with promotions on items customers care about, encouraging purchases. These offers not only tempt customers, but add that special treatment which consumers expect.
For many marketing decision-makers, a significant barrier to implementing the technology is a lack of adequate data science tools and applications. Many marketers also feel there is an absence of experience in translating data into insights and action, as well as a dearth of staff resources. eMarketer, Nov 2017
Customer Retention Strategies — Challenges
Retention analytics include: recency, frequency, monetary; segmentation; and market basket. The details are available in the sales data and can be tailored to unique customer segments, or individuals. The data management and data mining, although not rocket science, are complex and require a deep dive into transactions and complex joins with customer and product data.
Even if CMOs recognize they need to build stronger relationships with consumers through analytics, many struggle sifting through vast amounts of data, coming up with actionable insights. — IBM Big Data Hub, Nov 2015
Many business analysts lack data management skills. They can’t manage complex data, or aren’t trained in data mining. They create inappropriate and error-filled analytics. And in-house reporting tools fail when data is out of reach or too complex. Marketers don’t get the customer picture they need and lose confidence in both reporting and data.
Customer Retention Strategies — IDP
Effective use of customer data is a competitive weapon. And the foundation to successful customer retention is accurate, reliable data. At IDP, we understand that your data is challenging, and that you have limited resources.
A problem marketers run into is they don’t have the skillset to understand and manage data, along with tools to analyze and gather data… — Forbes, Oct 2015
We remove the requirement that business analysts manage complex data. We bridge the gap between data management and analytics. So analysts focus on statistics and not on data.
At IDP, we manage large data volumes with complex structures; we integrate disparate data sources and build rock-solid analytical data sets, even in the face of difficult data. And we always collaborate with marketing executives to generate marketable analytics.