Customer Retention in the New Year
03 January 2020
Ask any gym manager – the rush of new customers they get this time of year is a key part of their business.
But the problem is retaining seasonal health fanatics.
Gym managers aren’t alone. Think of people who have signed up to subscription meal kits in an effort to lose some Christmas kilos, or those who have signed up for a new streaming service for a sport that only screens for a season.
Think ahead to March or April. The risk of churn and decreasing customer loyalty is huge as consumers flake on new habits and become ruthless with cutting services that don’t meet their needs.
How is your organisation staying on top of customer loyalty?
Smart organisations are increasingly investing in retention or customer loyalty models – predictive statistical models that take your data points as inputs and give every single one of your customers a score that indicates how likely they are to go elsewhere.
You can even make a predictive model more powerful by integrating free and commercial external data sources.
Are you harnessing the power of the data you already have about your subscribers and customers? Are you measuring their goals and providing analytics to keep them on track?
You can’t afford to not invest in using data to retain your customers.
5 New Year Data Resolutions
30 December 2019
Start the 20s off right – with a New Year’s resolution to get your organisation’s data in tip top shape. Here are some of the goals you might want to aim for…
1. Clean your data
Modern businesses collect data from many different data sources. It might be online surveys, point of sales information, internal HR systems or any number of other sources.
Invest in making sure that you’re collecting data in a standardised way (are your dates all formatted the same?) and you’re not missing any gaps (are you relying on someone manually updating a spreadsheet? Does that always happen?).
2. Break down data silos
Almost every organisation has silos of data – a membership database that doesn’t talk to a website CMS, or a point of sales system that doesn’t talk to a CRM. These data silos slow down your company – having to extract and match data from disparate systems takes time and means you’re not making decisions in real time.
This tends to happen naturally as companies grow, and it’s something that you need to be constantly aware of and pushing back against.
The three keys to breaking down data silos are to consolidate your data management systems, change your company’s culture so that the default position isn’t just to spin up a new database in isolation and finally to make a consolidated data layer a key part of your organisational strategy.
3. Take privacy and security seriously
The 2020s are going to see more bad actors trying to get unauthorised access to data, and consumers more concerned about protecting their privacy.
Now, more than ever, the privacy of your clients has to be always front of mind.
The Australian Government have published a very useful guide to data analytics and the Australian Privacy Principles. Read it.
4. Analyse the data you have
There is no point in cleaning your data and consolidating your data silos if you’re not doing anything with it.
Make sure you’re investing in data visualisation and analytics capabilities so you can find the hidden insights in your data and take your business to the next level.
5. Use your data to strengthen your business relationships
Are you tracking and analysing all your interactions with your customers? Do you have a clear and searchable record of all the touch points your clients have had with your organisation?
Make 2020 the year you invest in a next-generation CRM solution like SwiftFox, to get a 360 degree view of your customer relationships and really get the full value out of the data you are collecting.
How hot will it be on Christmas Day?
16 December 2019
Weather forecasting is one of the oldest forms of predictive analytics. One data source we often look at here at The Red Fox Group is weather data.
While we don’t have any trained meteorologists on staff (so please don’t ask for detailed forecasts!), we can look at how the weather may be impacting your business performance. Do your retail sales slump or outperform on rainy days? Do more people visit your website when they’re stuck inside on cold days?
But given Christmas is getting nearer, we thought we’d take a look at what to expect on Christmas Day.
In Australia the Bureau of Meteorology compiles and makes publicly available observation data from thousands of weather stations around the country (with 762 stations currently reporting temperature data). We’ve analysed historic data for the last hundred years for the state capitals, here is what we’ve found…
On an average Christmas Day the mainland state capitals tend to reach the mid-to-high twenties. Perth, Brisbane and to a lesser extent Adelaide tend to be warmer than Sydney and Melbourne. Hobart is noticeably cooler than any of them. If you’re on the mainland, then chances are it will be hotter than 25 degrees. But as the graph shows, there’s a lot of variation!
Melbourne has a higher record Christmas Day temperature than Sydney – but its coolest ever Christmas Day was also cooler than Sydney’s. As will surprise no one who’s been there, Melbourne’s temperature is simply more variable.
In the last century the hottest Christmas Day in any capital city was in Perth, which hit a scorching 42 degrees in 1968.
Unsurprisingly, the coolest maximum was in Hobart, which reached just 12.6 degrees in 1984.
On Christmas Day last year the hottest capital city was Adelaide, which hit 37.9 degrees.
We are not meteorologists. Don’t ask us what the temperature will be next Wednesday.
But we can use weather data to help understand and predict things. Such as the number of people attending sporting matches, visiting cultural institutions, or buying particular products.
Regardless of what the weather is like on Christmas Day, we here at The Red Fox Group wish you and your clients all the best for a great break.