uturn enabled the company churn by 6.1% and increased profit by 27.9%. b o o s … ·...

BOOSTING THE BOTTOMLINE IDENTIFY A brief overview of how a regional broadband provider reduced customer churn by 6.1% and increased profit by 27.9%. THE PROCESS In the age of "cord-cutting", customer attrition becomes the primary KPI for broadband/cable companies. Even the smallest reduction in churn rate can have huge impacts on revenue & profit. Pre-Study Monthly Churn Rate: 16.7% Reducing churn by 6.1% increased profit by 27.9% UTurn identified patterns in historical data for customers who cancelled over the previous three years. These patterns were then applied to all current customers, thereby assigning risk based on how closely the patterns from former customers applied to current customers. UTurn enabled the company to identify at-risk (valued) customers and the ability to simulate which specific actions could be taken to reduce the risk of cancelation for each unique customer. ACTION Customers identified as at-risk were contacted directly by the internal marketing team with offers unique to the proper options presented by the simulator. Simulations were also utilized to make broader decisions on promotions based on overall customer churn risk scoring. DISCOVER The sales and marketing team were then able to use UTurn's Simulator to pinpoint what/if modifications to the prices or products would reduce the risk of cancellation. This further improved profits as the sales team was able to retain pricing when a reduction was unlikely to impact risk. FINANCIAL IMPACT Intra-Study Monthly Churn Rate: 10.6% Avg. Customer LTV: $4,960 (Business Deidentified per Request) 0 5 10 15 Churn Baseline UTurn 20

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BOOSTING THE BOTTOMLINE

IDENTIFY

A brief overview of how a regionalbroadband provider reduced customerchurn by 6.1% and increased profit by27.9%.

T H E P R O C E S S

In the age of "cord-cutting",customer attrition becomesthe primary KPI forbroadband/cable companies. Even the smallest reductionin churn rate can have hugeimpacts on revenue & profit.

Pre-Study Monthly ChurnRate: 16.7%

Reducing churn by 6.1%increased profit by 27.9%

UTurn identifiedpatterns in historicaldata for customers whocancelled over theprevious three years.These patterns werethen applied to allcurrent customers,thereby assigning riskbased on how closelythe patterns from formercustomers applied tocurrent customers.

UTurn enabled the companyto identify at-risk (valued)customers and the ability tosimulate which specificactions could be taken toreduce the risk of cancelationfor each unique customer.

ACTIONCustomers identified asat-risk were contacteddirectly by the internalmarketing team withoffers unique to theproper options presentedby the simulator.Simulations were alsoutilized to make broaderdecisions on promotionsbased on overallcustomer churn riskscoring.

DISCOVERThe sales and marketingteam were then able touse UTurn's Simulator topinpoint what/ifmodifications to theprices or products wouldreduce the risk ofcancellation. Thisfurther improved profitsas the sales team wasable to retain pricingwhen a reduction wasunlikely to impact risk.

F I N A N C I A L I M P A C T

Intra-Study MonthlyChurn Rate: 10.6%

Avg. Customer LTV: $4,960

(Business Deidentified per Request)

Churn Baseline UTurn

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