Improve Customer Retention

Harvard Business Review reports that increasing customer retention rates by 5% could increase profits by 25% to 95%!

Using data analytics, Datatac can examine your data to understand the factors that drive customer retention and churn (leaving your business). We can identify and predict which customers are at a high risk of leaving.  This can help you hone in on which aspects of your business need attention. 

Using data analytics, Datatac can examine your data to understand the factors that drive customer retention and churn (leaving your business).  We can identify and predict which customers are at risk of leaving.  This can help you hone in on which aspects of your business need attention. 

Without utilizing Data Analytics, it would be difficult to analyze the complex data describing different customer behaviors and come up with the appropriate insights. 

To illustrate, let’s examine a case where management wishes to identify which customers are at risk of leaving the bank.  Using Data Analytics, we can generate lists of higher risk customers along with the percentage likelihood of leaving.  In addition, we can identify other customer groups from which you have the potential of generating more revenue.   

This information will aid the management team focus on those customers with higher risk of leaving and also focus on other subsets of customers with higher revenue potential.

We can also discover which customer attributes are indicative of higher retention.  This will facilitate management to focus on the business aspects that are important to your customers.   For example, we find that clients with low fees have a higher retention rate.  

Research indicates that timely and important communication received by the customers correlates to a higher retention rate.  

In summary, with the use of data analytics, management may:

  • Focus on retaining higher risk customers
  • Generate incremental revenue from another subset of customers
  • Determine and focus on attributes which are meaningful to their customers