customer lifetime value Archives | Quantzig

Tag: customer lifetime value

customer lifetime value

3 Interesting Tips to Increase Your Customer Lifetime Value

Companies across industries invest a lot of time and resources in tracking the journey of their customer, improving customer service, and providing the best customer experience. However, most companies tend to struggle when it comes to customer journey tracking and measuring business performance in real-time. This is where the focus must be shifted to gauging customer lifetime value as this can help organizations to evaluate the future value, they can generate from their marketing initiatives. Also, it can help in designing an efficient marketing strategy with more concise budget planning. Measuring customer lifetime value is important for businesses to retain customers and gain long-term profits. In this article, we have listed a few important tips that can help companies to increase their customer lifetime value and understand how well are they resonating with their audience. Additionally, these tips can aid companies to reverse-engineer the experience of existing customers and reduce customer churn.

Request a free brochure of our analytics solutions to learn how we can help you devise cost-efficient strategies aimed at improving the share of wallet and customer lifetime value.

CUSTOMER LIFETIME VALUE BLOG

Tips to Increase Customer Lifetime Value

Improve the onboarding process

To ensure sustainable business growth and increase customer lifetime value, companies should focus more on the onboarding processes as poor onboarding can be one of the major causes of churn. Onboarding is the point where any customer engages with a brand and where a brand can make the greatest positive impact. The process of onboarding can vary from industry to industry. However, there are a few interesting tips that can help businesses to engage their audience better. Businesses must make onboarding, an easy and fast process which can be done by simplifying the process with walkthrough guides, interactive how-to videos, wrapped tutorials and other content that might help customers in fulfilling their goals. Also, organizations should focus on communicating the value of their offering right from the start ensuring that communication is straightforward and is contributing to increase in customer lifetime value.

Wonder how to increase customer lifetime value, proactively boost engagement, increase acquisition rates, improve conversion and raise average order value? Talk to our analytics experts now!

Offer top notch customer service

Today customers are digitally empowered, and they expect better customer service at each of the touchpoints. Quality customer service is the key for businesses to grow and increase customer retention. Research reveals that customers are likely to switch brands after a single instance of poor customer service. Therefore, getting your customer service right should be your top priority in order to stay ahead of the curve and drivr profitable growth in the long run. Better customer service results in customer experience and this, in turn, can turn them into loyal clients.

Our customized analytics dashboards help businesses to map the customer journey across all customer touchpoints and gain a 360-degree view of each customer interaction with the business. Gain limited-time complimentary access to our analytics platform right away.

Foster better customer relationships

In the competitive business landscape, companies should focus on fostering good customer relationships in order to increase customer lifetime value. The key to nurturing good relationships with customers is to make them feel heard,  cared, and appreciated. Also, to improve relationships with customers, companies need to tap into their expectations and interests. This is where customer survey can help. Surveying customers can offer valuable insights into their likes and dislikes and can help in increasing customer lifetime value. This can further help in offering personalized services for better customer experience and satisfaction. Keeping a pulse on you’re your customers want  can also help in taking immediate action to improve customer satisfaction in case of a sudden dip in the sales and can boost customer lifetime value.

Want more tips on how analytics can help you  increase your customer lifetime value  and generate more revenue from your existing customers? Get in us with our experts to learn more.

customer lifetime value

Customer Lifetime Value Analysis Helped a Leading Finnish Retailer to Increase Revenue by 10% – A Customer Success Story

The client is a leading Finnish retailer of sports, fashion, and other clothing accessories who was looking at devising a statistical model to analyze it’s customer lifetime value to determine the profitable customer segments that were driving maximum revenue. Through customer lifetime value analysis, the client wanted to determine the factors that impact customer lifetime and analyze how it impacts the overall revenue figures.

The Business Challenge

At Quantzig, we believe that the growing business complexities have given rise to a new paradigm of customer-centric business models that companies must leverage in order to cost-effectively manage their customers in today’s technologically inclined, hyper-connected world. To support your efforts in doing so our analytics expert have devised a comprehensive suite of customer lifetime value analytics solutions that help focus on different aspects of your business to drive growth and profitability.

Our client, a leading Finnish retail firm, faced several strategic threats that hampered growth including factors such as:

  • Market Saturation
  • Customer Loyalty
  • Customer Service Leadership

Customer lifetime value analysis can help companies to identify and capitalize on new opportunities to drive growth. Request a FREE proposal to gain in-depth insights into our portfolio of customer analytics solutions.

Problem Statement 1 – Market Saturation

The saturation of the retail market in Finland proved to be a major challenge that curtailed their customer acquisition efforts. Owing to this leading players fought over the same customer base with little or no new opportunities to expand the customer base.

Problem Statement 2 – Customer Loyalty

The disloyal customer base was the major cause of the client’s second challenge that led to a dip in profits margins.

Problem Statement 3 – Customer Service Leadership

Having set a mark in the retail sector, the client has a differentiated spot in the marketplace as a leader in customer service. Key competitors and new market entrants, however, has made strides in customer service and were close to nullifying the competitive gap.

The retailer’s moto revolved around delivering differentiated customer service to retain customers and maximize sales. But the irregularities in their customer service levels proved costly due to which they were at risk of losing their competitive position in the industry. They approached Quantzig to leverage its customer lifetime value analysis solutions to gauge customer lifetime value and determine key factors based on which they could improve their customer service differentiation strategy.

Wonder how customer lifetime value analysis can help you improve business outcomes? Contact our experts right away!

Solution Offered and Value Delivered

The retailer collaborated with Quantzig’s to leverage its customer lifetime value analysis solution and develop a strategy to improve its service levels and respond proactively to the strategic threats and opportunities in the market. This customer lifetime value analysis engagement included the entire program lifecycle right from the initial strategy development stage to the final stage that revolved around the implementation of the strategic roadmap.

Our analytics experts worked with the client to analyze their challenges and devise a robust customer lifetime value analysis framework to effectively gauge customer value over a certain period. Based on the insights obtained from the analysis the client was able to develop a customer experience strategy that focused on improving the brand promise, customer lifetime value, service levels, and market position. A detailed customer lifetime value analysis engagement helped the client to achieve ground breaking results by transforming their ability to work with customer data, revolutionizing their approach to understanding customers.

Customer lifetime value analysis can help you identify profitable customer segments and drive sales through personalized offerings. Request a FREE Demo to know how we can help you.

customer lifetime value

The combination of smart customer segmentation, powerful multi-step automation, and highly accurate customer lifetime value reports enabled their marketing team to better understand customers, act on the new information, and refine their customer retention strategy. With insightful reporting capabilities and instant, real-time performance information at their fingertips, the retailer now enjoys a new level of strategic marketing agility that helped them increase revenue by 10%.

The insights obtained from detailed a customer lifetime value analysis report can guide you in developing personalized strategies to retain customers. Request for more information right away!

Customer lifetime value

Customer Lifetime Value Analysis Helps Improve Retention Rate by 13% for a Telecom Company – A Quantzig Case Study

customer lifetime value

A world leader in the IT and telecom sector based out of Denmark was facing several predicaments due to their inability to identify new international business opportunities, improve retention rates, and ensure the right amount of investments towards profitable customer segments. To tackle such challenges, they approached Quantzig to leverage its customer lifetime value analytics solutions to profile the potential customers and develop a marketing strategy that can help them maximize retention, net profit and minimize re-marketing costs.

Quantzig adopts a holistic approach to help organizations develop unique methods for evaluating the customer lifetime value for each client across different industries. Request a FREE proposal now to gain in-depth insights into our customer analytics solutions.

Telecom Service

Business Challenge

The global telecom industry consists of several big players that make communication possible on a global scale, either through  phone or the Internet. The telecom industry is primarily driven by technological innovations and developments, which help to offer a wide range of communication services at low-cost margins.

The client, a leading telecom player with business operations spread across the globe, wanted to determine the net value of their customers by source, campaign, and channel. This would help them identify potential customers and ascertain their average revenue per user. The client, with the help of customer lifetime value analytics solutions, wanted to spend their resources smartly to acquire new customers and retain the most profitable ones with customer lifetime value analytics engagement. Also, with the help of customer lifetime value analytics solutions, they wanted to seek ways to improve business decisions about product development, sales, marketing, and offer reliable customer service and experience to the customers; thus, helping them to maintain a long-term relationship with customers.

Major challenges faced by the client:

  • To ascertain the net value of their customers
  • To seek ways to improve decision-making capabilities
  • To reduce customer churn rates and retain the most profitable customers

Our customer analytics experts help can help you build a customer lifetime value model to map the customer journey across all customer touchpoints. Get in touch with them right away!

Solution Offered and Value Delivered

By leveraging Quantzig’s customer lifetime value study, the client identified the necessary marketing efforts to reduce churn rates and ensured the right amount of marketing investments toward profitable customers.

Adopting a combined approach of Quantzig’s dynamic micro-segmentation and predictive modeling techniques, the client was able to accurately forecast the lifetime value of a customer based on their purchase history, demographics and other behavioral traits. Also, the telecom company was able to accurately predict the revenue generated by each customer which, in turn, helped them devise cost-efficient strategies aimed at improving the share of wallet from that customer. The solutions offered also helped them improve retention rate by 13% and build long-term relationships with the customers.

Our advanced customer lifetime value modeling solutions can help you identify profitable customer groups and optimize your marketing spend. Request a FREE demo to know more.

Outcome

Customer lifetime value analysis solutions helped the client to optimize interactions and conversations to drive repeat purchases, customer referrals, and minimize support costs. Furthermore, this engagement offered real-time and actionable insights into their customers’ journey which helped the client efficiently distinguish customers in terms of profitability.

Our customer lifetime value analysis also empowered the client to:

  • To improve retention rate by 13%
  • Accurately predict the revenue each customer generates
  • Devise data-driven marketing strategies to improve profitability
  • Reduce customer churn rates significantly

Request for more information below to know how our customer analytics solutions can help you proactively boost engagement and improve customer service.

telecom industry
Customer lifecycle analytics

Unveiling the Growing Importance of Customer Lifecycle Analytics

Today the expectations of customers keep growing at every stage of their journey. So, for businesses to stay competitive, meeting customer expectations has become very important. Companies must pay more attention to customer feedbacks and use such data for better customer lifecycle management. With customer analytics solutions, companies can turn data into actionable insights and forecast customer needs. Customer lifecycle analytics is one such solution that can help businesses to understand the needs, lifestyle choices, behaviors and buying nature of their customers. This information can further empower businesses to create a unique customer experience that propels prospects from awareness to fanatical advocacy and helps improving customer lifetime value. Here in this article, our team of experts has highlighted the growing importance of customer lifestyle analytics and how it can help in reducing the conflict in a customer’s mind about brand choices.

Our Customer lifecycle analytics solutions can help businesses forecast the value of individual customers across multiple dimensions. Get in touch with our experts to know how.

What is Customer Lifecycle Analytics?

In today’s competitive business environment, customer lifecycle analytics plays an important role in the success of any business. It provides not only the ability to acquire customers but also offers ways to nurture them, keep them happy and solve their issues. Customer lifecycle analytics paves the way to identify potential customers and helps in answering the following questions:

  • What do potential customers want?
  • Why do they prefer a particular product?
  • What are the reasons that drive customers’ buying decisions?

Quantzig, through its customized analytics solutions, helps its clients to identify high-value customers and maximize profitability. Request a FREE proposal now to gain better insights.

lifecycle analytics

What are the Stages of Customer Lifecycle?

Stage #1: Reach

For organizations measuring the reach of their marketing initiatives is very difficult. But Customer lifecycle analytics can help by offering valuable insights into the responsiveness of campaigns. Companies can leverage customer analytics solutions to reduce campaign spends in the long run.  Also, businesses can adopt clustering techniques to develop targeted campaigns and unlock specific segments. This approach can be more effective than the traditional segmentation methods used by marketers and can also drive more profits for the business.

Stage #2: Customer Acquisition

Businesses looking for solutions to their acquisition woes can find answers to the following fundamental questions by embracing Customer lifecycle analytics solutions:

  • How to target the potential segments?
  • How to optimize acquisition costs and improve ROI?
  • How to optimize the quality of customer service?
  • How to use the right channel for each customer segment?

The availability of huge data in the form of customers can be leveraged to understand valuable segments and nurture the approach to cater to their needs.

Our strategic analytics services can enable businesses to identify factors for customer churn while paving the way for better customer lifecycle management. Request a FREE demo below to know more.

Stage #3: Customer Retention

To gain an edge over the competitors, organizations need to have a robust customer retention strategy in place. Customer retention is an important factor that impacts different customer lifecycle stages as organizations prefer to retain their customers more than acquiring new ones. This is because the acquisition of new customers costs five to seven times more than the cost of retention. This is where customer lifecycle analytics can help businesses in optimizing the various stages in customer retention. Customer lifecycle analytics solutions can help in identifying customers who are likely to churn. Organizations can leverage historical data of customers who have churned to identify customers that can opt out from their services.

Want to know more about customer lifecycle management? Request for more information below

Get more Info:

IR20

A Step-by-Step Guide to Building a User Journey Map

While building a product it is easy to develop a tunnel vision. Companies spend a lot of time thinking about every single process and every little feature running under the hood. But the interface of the user is different for your product. They have no reason to care for your product or service until you show them what it can do for them. Turning first-time users into long-term customers require a very good understanding of what your users want and where are they coming from. This is where user journey maps come into the picture. 

Creating user journey map can help a company to keep its user motivation at the front of the mind, create the best customer experience and get users where they want to go. By using a user journey map, it is convenient for companies to make granular but pivotal tweaks that can help users accomplish their goals faster and easier, come back to do it again, and build habits around your product or service, all from your onboarding user experience. But in order to understand how people actually use your product or service, it is important that you first understand the essence of the whole experience from the perspective of the user and a user journey map can shed light on that.

At Quantzig, we understand the difference that a user journey map can create for any business. And to help companies excel in the competitive landscape, our team of experts has designed a step-by-step guide to building user journey maps that can assist companies to get into the minds of their customer and analyze their pain and needs to provide better customer experience and improve ROI.

Precisely predicting future buying behavior of customers is not an easy task for businesses. Customer journey mapping tools may hold the key to success. Get in touch to know more about the benefits of our customer journey analytics solutions.

What is a User Journey Map?

A user journey map is a timeline of user actions that explains the relationship between your brand and its customers. It is a visualization of the interactions of a user with your product or service from their point of view. Customer journey mapping tools help in creating a timeline of all touchpoints between a customer and your organization. The user journey map helps your company to gain insight into how customers experience your product, based on their unique goals and motivations. Mapping out the experiences of your users enables you to understand several important factors that shape the overall impression they will walk away with.

Steps to Build a User Journey Map

Before creating a user journey map, it is very important that you review the goals of your business or service. This insight can help you align user and business goals.

Step #1: Define the behavioral stage

Your customers might go through different stages while navigating your site and this depends on your business type. These different stages provide a detailed insight into the changing behaviors of the customers. Companies through qualitative and quantitative research will have a fair idea of the process that the customers go through right from the first touchpoint to the eventual process of purchasing and subsequent interactions. This will result in the creation of a useful user journey map.

We understand the challenges companies face in identifying and curating high-value customers to develop marketing strategies to maximize profitability. Our user journey map solution provides best-in-class frameworks to identify factors for customer churn and develop effective strategies that will improve customer retention. Request a free demo below for more insights.

Step #2: Create a user persona

A user journey map is always focused on a user persona who experiences the journey. Therefore, to build a rigid user journey map, it is important that you create a user persona based on the information you have about your target audience. User persona should always be created based on information you have about your target audience. That’s why you should always start with user research. Having solid information about your users will prevent you from making wrong assumptions.

Collect and analyze the available information about your target audience:

  • Interview your potential users
  • Administer contextual inquiry
  • Analyze the user surveys results

Step #3: Define different scenario and user expectations

The scenario explains the situation that the user journey map addresses. It can be both real or anticipated. For a better user journey map, it is also important to define what expectations a user persona has about the interaction.

Step #4: Create a list of touchpoints

Touchpoints are user interactions and actions with the product or business. It is important to examine all major touchpoints and all channels associated with each touchpoint to create an effective user journey map.

Are you facing difficulties in quantifying and forecasting the value of individual users across dimensions such as time, product lines, and segments? Request a free proposal to understand how user journey mapping can help.

Step #5: Consider user intentions

For any business to create an effective user journey map, it is important to understand the factors that motivate the user to interact with their product or service. Additionally, it is also crucial to analyze what solutions are users looking for in a specific product or service. Different user segments will have different reasons and different goals to accomplish.

Step #6: Sketch the journey

Now in this step, you need to put together all the accumulated information and sketch out a user journey map in a step-by-step format. You can start by making a unique and general user journey map. The information you gather allows you to create a timeline of user interactions with your product and brand. This timeline can include things like:

  • Touchpoints of user
  • Benchmark actions and accomplishments
  • Scheduled notifications

Step #7: Validate and refine user journey

User journey map should result in truthful narratives and not fairy tales. Even when a customer journey is based on user research, it’s important to validate it. You need to use the information from usability testing sessions. Customer journey analytics can tell you that your journey resembles a real use case. The last but not the least is to gather and analyze the information about your users regularly to make your user journey map give you optimum results.

Get More Info:

Close
Quantzig Logo

Hello there!

Are you interested in Quantzig’s analytics solutions?

Contact us by submitting your details below and we will get in touch with you.

Cookie Policy

The Site uses cookies to record users' preferences in relation to the functionality of accessibility. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice