It is 5 times more profitable to retain a customer as against acquiring one.
Summary
GB Group's Lapse Prediction model is a unique data analysis tool that draws on modeling and analytical solutions to identify potential ‘defectors’ among an organisation's customers.
By analysing the historical customer data and transaction information, Lapse Prediction allows organisations to single out those people most likely to stop using their services in the near future. This insight provides businesses with valuable time in which to contact them with a retention message.
The value of Lapse Prediction to any business can be appreciated all the more when one considers that 70-80% of potential ‘churners’ will reverse their decision if contacted within two weeks of the identified churn date.
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Features
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Implemented as a service or software licence within your own systems.
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Assesses propensity to lapse at individual customer level.
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Fully recognises all transaction and campaign history.
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Facility to implement business specific filters (e.g. no re-activation to unprofitable or ‘out of season customers).
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Benefits
- Reduced customer attrition
- More profitable, longer term customer relationships
- Increased effectiveness and reduced waste in retention programmes
- Reduced supply of customers to your competitors.
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