Reducing Customer Churn: Understanding & Improving Your Churn Rate

Reducing Customer Churn- Understanding & Improving Your Churn Rate

For businesses that rely on a recurring or subscription service model, customer churn is a serious issue. Churn, or customer attrition, occurs when customers or subscribers cancel your service or let their subscriptions lapse – no small problem when one considers that the cost of generating new customers is five times that of retaining an old one.

All things considered, reducing churn rate (the percentage of total customers who drop off in a given time period) should be a major priority for anyone with a subscription service model.

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Membership vs. Micropayments: Which is the Better Way to Monetize?

Two old parking metersIf you’re trying to monetize your blog or other content-based website, you’ve got a lot of decisions to make. First is the method of bringing in revenue your site will favor; next is what specific tactics you’ll use to actually bring in the income you’ll need to sustain.

If you’ve decided on the paywall model (and there are plenty of reasons to), the next step is figuring out whether you’d like to focus on a recurring, membership-based revenue stream or one that relies on one-time micropayments.

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How to Make & Monetize an Educational Website (Without Ads!)

An illustration of a teacher reading to a trio of scholars, meant to represent the the educational website experience.

Are you an expert in anything? Are you a master mechanic, Phoenician history buff, marketing whiz, expert cabinet maker, a gifted magician, classically-trained bassoon player, or a crackerjack with yo-yo tricks? Do you speak fluent Klingon?

Everyone has a passion, and if you want to know how to make yours into more than just a hobby by starting and monetizing your own educational website, keep reading.     

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Find the Right Billing System for Your Subscription Box Business

A man sealing a package for his new subscription box club business.It’s been said that we’re living through the “subscription economy.” The old pay-per-product paradigm is giving way to a recurring, subscription based business model – think Netflix’s usurping of Blockbuster’s home-video throne, or Adobe’s move to offer their Creative suite through a subscription service over the cloud.

Nowhere is this trend more apparent, though, than with the surge in subscription box clubs. Customers pay a monthly subscription fee and receive specialized products in weekly or monthly packages. Everything from necessities like groceries and toiletries to luxuries like perfume, action figures, and wine is now available through a monthly subscription box club.

If you’re an entrepreneur with a great idea for a subscription box business now’s the time to strike while the iron is hot.

But you’ll need more than just a great idea to succeed in the subscription box business. You’ll need seed money, inventory, a marketing plan, a sleek online presence – and not least a good recurring payment management system. That’s where Subscription DNA comes in.  

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A Declined Card Isn’t the End: Dunning Management Tips for Subscription Based-Businesses

A piggy bank surrounded by European coins.There’s no denying it: there’s a lot to love about the subscription business model. Why else would we be witnessing the rise of the so-called “subscription economy?”

But for all the advantages that subscription customers and automated billing offer any business, one pain point that can’t be avoided is the hassle of dealing with declined credit cards. As with almost any other problem, the best course of action is prevention – but since that’s not always possible you need to have an effective plan for collecting on past due accounts and retaining the clients attached to them. This is true whether your subscription service is selling business software or a monthly delivery of curated snacks.

This process, known as “dunning,” is difficult but not impossible. Let’s take a closer look at what exactly dunning is and how to do it right (spoiler: Subscription DNA helps).

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