Yes, it is possible. But what is negative Churn? It’s when a business Macedonia Phone Number List manages to increase sales to its existing customer base, and revenue exceeds the amount lost through cancellations. Let’s go back to the first example, which we mentioned when talking about Revenue Churn. The company lost 5 customers, all subscribers to the Macedonia Phone Number List plan. The total loss is R$250.00. But in the same month, the company managed to get 3 customers to upgrade from the Macedonia Phone Number List plan to the most expensive of all, which costs R$250.00. With these 3 sales to those who were already in the customer base, sales increased by — an amount greater than the Macedonia Phone Number List lost with cancellations. This would represent a negative Churn. What’s the lesson here? Increasing Average Ticket is a great way to reduce Revenue Churn. What drives customers to leave a company? Understanding what is going on in customers’ minds is not easy, especially when you thought everything was fine and they decide to abandon your product or service. It’s no use holding hunches or completely ignoring the decision, it ‘s vital that your company knows how to identify what drives customers to give up. Only then will you be able to reverse the situation and prevent the same from happening to others. Macedonia Phone Number List The most common reasons for someone to give up are as follows.
Delivery of a value lower than what was promised
Promising everything and a little more just to close the sale might seem like a good idea when the prospective customer is undecided and the month’s goal hasn’t been reached. But this attitude proves to be terrible in the medium and long term, as the result cannot be other than giving up. Sooner or later, the customer will realize that the delivery of value is less than what was promised. Macedonia Phone Number List If that’s the case for you, change the sales culture right away. Customers who give up because of false promises are often very frustrated and make a point of talking about the bad experience they had with the company whenever they get the chance. 2. Lack of attention to detail Details make all the difference, especially for products with high ticket and used by the so-called enterprise market, made up of large companies. When a customer spends a lot of money on your solution, he expects everything Macedonia Phone Number List to be perfect. Performance issues, lack of agility and bureaucratic processes are some of the factors that can spoil the customer’s consumption experience in a very slow and subtle way. At some point, some details accumulate so much time that they become unforgivable problems, and the only action left is to look for something different in the market.
Change in customer need
Just as your business needs to constantly adapt and evolve to remain relevant in the market Macedonia Phone Number List , your customers also change. In some cases, cancellation because the person/organization needs something that you are no longer able to offer. In others, it may even be that the type of service you provide is no longer needed. Another possibility is that the customer just doesn’t have more money to pay you. The key, in this case, is to see if the change in need really makes it impossible to keep buying from you or just requires a different solution within your own portfolio. Macedonia Phone Number List Closing the transaction It can always happen that the customer in question completely terminates the activity that required the use of his product. In the case of a company that goes bankrupt, for example, it would be no use trying to make the person reconsider the decision. It also shows that it was an external factor, not a problem in your business Macedonia Phone Number List , that caused the cancellation. As already stated, it is always valid to assume that the problem is on your side of the contract, but it is essential to follow up on each case to be sure when it is your responsibility and when there is nothing to be done.
