Customer Loyalty And Recovery.
With an increasing rate of attrition amongst its customer base, a financial services provider sought a way of identifying customers most likely to close their accounts, so an effort could be made to recover these relationships.
We extended a customer satisfaction vehicle to include a series of variables testing aspects of the customer relationship and the degree of customers' commitment to it.
A scoring process was developed and the results were used to segment customers into different classifications according to their degree of loyalty and commitment to the relationship.
We then profiled the group of customers most at risk, enabling our client to identify exactly which customers from the entire customer base should be the target of recovery initiatives.
A control group of customers was managed normally (not subject to the initiatives) so that results could be used to validate the effectiveness of the initiative itself and the power of the loyalty model.