When customers churn, it hurts your brand. It can be easy for brands to identifiy customers as being “at risk of churning” after an arbitrary number such as after 30 days of not shopping, and then send customers a win-back campaign to try and get them to come back. However, when customers recognize this static pattern, it’s easy for them to shop, wait 30 days, then receive the next win-back offer and shop again. Which means, you’re losing money!
Instead, our machine learning tool provides personalized cutoff times for each customer that you can leverage in a winback campaign. You will know what life cycle stage all of your customers are in on any given day! This makes it easy to automate a win-back campaign for customers that are actually determined to be at risk of churning.
Our tool does this by providing you Life Cycle Segments to utilize in your campaigns. You’ll even be able to see an explanation for why each customer is placed in each segment within their individual customer profile.
What are Life Cycle Segments?
Life Cycle Segments are determined by a live personalized timeframe for when each individual customer is in their life cycle. You’ll be able to utilize three different Life Cycle Segments: Active Customers, At Risk Customers, and Churned Customers. These segments will be automatically created for you.
You’ll easily be able to use these segments to identify customers who are at risk of churning, use our tools to combat and decrease your churn rate, and improve your ROI on marketing campaigns targeting churned customers.
There are three Life Cycle Segments you’ll be able to utilize.
Active Customer: These are customers that have recently made a purchase. Their most recent purchase is in the same timeframe as 80% of their other purchases.
At Risk Customer: These customers are at risk of churning. Their most recent purchase is outside the timeframe of 80% of their other purchases.
Churned Customer: These customers have churned. Their most recent purchase is outside the timeframe of 100% of their other purchases.
Where Can I Find These Life Cycle Segments?
You’ll be able to see segments for Active Customers, At Risk Customers, and Churned Customers with the Segmentation section of the Clutch Portal under the Clutch Powered tab. You’ll be able to view how many customers are within each of these segments here and export these segments.
How Can I Utilize Life Cycle Segments?
Within a Customer Profile
- If you want to know where a specific customer is in their life cycle, you can view their customer profile within the Clutch Powered tab. From here, you’ll be able to see what segment they’re in as well as an explanation as to why they’re in this segment. You can learn how navigate to this section of a customer’s profile here.
Tips for Success
- Once Churn Management is set up for your brand, you have to wait a few days for the events to log properly. After the events are logged, you can start to explore how customers are moving to the different stages by looking at the reporting.
- If you want to jump right in, you can set up your “Win-Back Campaigns” right away by creating a campaign email for At Risk Guests. We’d recommend that if you’re already sending rewards that you consider giving a reward that is greater than usual since you want to pique their interest with something new or different!
- If you want to create a create a campaign email for Churned Guests, we recommend that you elevate this reward to be even greater than the one for At Risk guests. Consider that this “Churned Win-Back Campaign” could be one of the final efforts to “win back” your guest before they churn!
- You can set up these campaigns so they trigger for customers that fall into these segments automatically.
