Identifying Potential Defectors Closes Back Door
Our client, a leading provider of energy products to 1.1 million residential and commercial customers, had gone through a prolonged merger and was experiencing an unacceptable rate of customer defections.
While the organization had conducted CX research among newly acquired customers and those who had a recent service, they had no perspective from lost customers. Phoenix MI saw lost customer research not only as an opportunity to learn from those who had already left, but also as one to get in front of issues and ‘close the back door’ on those at risk.
We also integrated internal data with survey results to create in-depth defector profiles of who was leaving and their characteristics, including profitability.
Then, we developed an algorithm to identify which customers are at risk of defection within the current customer base. This was used to proactively flag potential defectors to the front line and central teams for action.
The client found they were able to address the major causes of loss and apply targeted recovery efforts that solidified relationships. This allowed them to sharply reduce future defections among their most desirable customers, in particular.