BIG RYG - CS Conference - Oct 8, 2020

Case Study: Year One Impact – Higher Customer Retention

21% Increase in Retention Rates

NPS Rating Increases by 10 points

The Overview

Pete Pietro leads Customer Success at HomeActions and its’ IndustryNewsletters division. HomeActions / IndustryNewsletters is a newsletter marketing service that allows their customers to produce both printed and email newsletters with access to professionally written articles. Their customers are primarily real estate professionals, payroll companies, accounting firms and estate planning attorneys. With an extensive client base serving multiple industries, Pete needed a way to improve customer retention, increase brand loyalty, and maximize renewals.

They invested in ChurnZero and began a new approach to solve his company’s churn problems.

The Challenges

The HomeActions & IndustryNewsletters customer success and support teams had the following challenges:

  • Unable to effectively monitor its client base for satisfaction with the product.
  • Limited ability to segment customers by lifecycle stage based on their interactions with the product.
  • Knee-jerk reactions to cancellations instead of being able to determine potential problems ahead of time.
  • Manual process of developing campaigns to inform and educate customer base on key product features.
  • Disconnect between information reported between CRM and product platform resulting in reliance on IT to provide critical data.

What HomeActions & IndustryNewsletters Did

HomeActions & IndustryNewsletters partnered with ChurnZero for its customer churn solution and did the following:

  • Integrated their CRM and product platform with ChurnZero: There was a focus to obtain accurate, real-time data without the need to go to IT every time to obtain it.
  • Launched NPS Survey: To reduce churn, Pete had to first get a handle on what customers thought of the product and service offered.
  • Created segment by targeted groups: Customers were grouped by lifecycle stage based on product interactions, tenure, annual revenue, features purchased, renewal cycle, and other criteria.
  • Developed automated “Plays”: Since ChurnZero is dynamic and real-time, automatic campaigns were created that instantly responded to customers based on the targeted criteria being monitored.

The Impact

In less than a year, HomeActions and IndustryNewsletters has seen the following results:

  • +21% in over-all customer retention.
  • A return on investment of over 2000% on out-of-pocket cost.
  • A ten-point improvement in NPS.
  • Increased customer referrals.
  • Significant improvement in client communications.
  • Total company now focused on the importance of churn.
  • Higher earnings for sales staff due to less back charges on cancellations.
  • Capability to view, in real-time, key user interactions without going through IT.

How You Can Start, According to Pete Pietro:  

  • Get top management to understand the importance and value of reducing churn.
  • Chart the journey your customers incur when purchasing your product or service.
  • Determine your existing customer churn rate.
  • Set realistic goals for improvement.
  • Involve everyone in your company and be fully transparent with data.
  • Partner with ChurnZero.

“If you are serious about reducing churn or learning what your customers are really doing, invest in ChurnZero.”

Pete Pietro, Customer Success Manager | HomeActions & IndustryNewsletters