Attracting new customers to your business is only half the battle; figuring out how to get those clients to stay is even more important. Retaining an existing customer is far more cost-effective than attracting a new one, so reducing customer churn is critical as much as possible.
Unfortunately, customer churn can happen very early in the onboarding process. Over 50% of churn can be attributed to a poor customer onboarding experience. If your customers have a frustrating or unpleasant onboarding experience, they may leave before realizing the full benefits of your products and services. Reducing customer churn is a critical factor in your company’s ongoing success.
What is Customer Churn?
Customer churn happens in every industry; there’s no way to stop it entirely. However, there are many things you can do to mitigate customer churn and increase the number of clients who choose to stay with your business long-term.
Why is it so important to address customer churn?
For one thing, it’s expensive. Most studies estimate that the cost of acquiring a new customer is at least five times more expensive than the cost of retaining an existing customer. And that figure doesn’t factor in the revenue loss when a customer leaves.
Industries Improving Churn With Customer Onboarding
The average customer churn rate in SaaS is approximately 5 percent. Customer churn in this industry is often caused by poor customer engagement and/or customer service, especially during onboarding. That’s the only chance you have to make a strong first impression on new clients. You can improve that first impression and reduce churn risk by streamlining the process and improving communication during onboarding.
SaaS providers must minimize the time it takes to implement and train users on their software. The sooner your customers can start to use your software, the faster they can see a return on their investment and the less likely they are to think about moving to one of your competitors.
Client trust is imperative for a FinTech provider. You must show your clients how much they can trust your company from the beginning of your working relationship. That means the onboarding process must be transparent and predictable.
Oftentimes, customers don’t have a clear view of the onboarding process. Your customers can’t know what happens during onboarding unless you show them. Are your team members working on their tasks? When will they be completed? Is there information or feedback your team needs from the customer to continue moving forward?
Answering those questions clearly and honestly can significantly improve a customer’s onboarding experience and reduce the churn rate for your FinTech company.
As the healthcare industry continues to embrace new technology, HealthTech providers have a chance to give their clients priceless tools and resources. However, implementing new technological solutions can be complex, especially if your clients are large organizations with multiple facilities and many stakeholders.
During onboarding, it’s crucial to ensure that your customers can see every step of the process and know what’s coming next. Fast scaling capabilities are also important; automating project management tasks can ensure that onboarding stays on track even if there are significant personnel changes within your organization or your client’s.
Teamwork and transparency define success in the EdTech industry. Your education technology clients want an onboarding “syllabus” they can reference to understand each step of the process.
Additionally, time is crucial for many EdTech customers; there are hard deadlines that they must meet. As such, your company must ensure that your clients have a clear view of onboarding from start to finish and a reliable way to track the process and know precisely when they can expect to reach certain milestones.
How Can a Positive Customer Onboarding Experience Prevent Customer Churn In Your Industry?
To grow your business and protect revenue, it’s imperative to reduce customer churn as much as possible. One of the best places to start addressing churn is in the onboarding process!
A poor onboarding experience can negate a customer’s desire to continue working with your business. However, an excellent onboarding experience can significantly increase the chance that a customer stays with your company, even with minor hiccups.
What Are the Key Features and Benefits of a Customer Churn Solution?
On-time delivery: A comprehensive customer onboarding platform keeps projects on schedule and makes it easier for everyone to complete their portions of the onboarding process.
Automated task management: With GUIDEcx, tasks are easier to assign and track, including those the customer must complete. All stakeholders can see pending tasks and responsible parties, which reduces the risk of bottlenecks and increases on-time delivery from your team members.
More revenue: Reducing the time it takes to onboard a client lessens the chance they will leave and allows you to start billing for your services faster. These two factors can significantly increase your company’s revenue from each customer.
Transparency: Often, customers feel frustrated when they don’t know what’s happening during onboarding. Every stakeholder can access a clear, easy-to-understand process overview with our platform. Team members and customers can see what’s happening and know what to expect next. As task visibility increases, so does the chance of those tasks being completed correctly and on time.
Communication: Managing customer communication manually is extremely time-consuming and prone to human errors and misinformation. Our onboarding platform automates key notifications so your customers stay informed and your team can focus on their work instead of providing updates, sending reminders, and completing status updates.
Time-to-value: A faster, smoother onboarding process significantly reduces your customers’ time-to-value and helps them see a return on their investment sooner.
How To Evaluate Customer Churn Solutions
Once you’ve determined that you need to improve your customer churn, how can you choose the right one? Several options exist but don’t offer the same tools, services, or experience.
When evaluating a customer churn solution, you must consider your company’s and clients’ benefits. An effective customer churn solution should enable your company to improve the experience for your customers. Additionally, it should simplify things for your team members and enable your company to take on more clients.
Efficiency: Slow, inefficient onboarding is a key factor in customer churn; look for a solution that significantly reduces onboarding time.
Efficacy: To be effective, a customer churn solution should measurably reduce your company’s churn rate.
Support: Choosing a solution that offers excellent customer service is crucial so your team can get the answers and resources they need to support your customers effectively.
Customization: Every industry has unique aspects that affect customer churn, so it’s essential to find a solution designed specifically for your industry.
Scalability: A good solution must scale quickly and reliably to continually grow your client base without expanding your team first.
Price: Finally, you must look for a solution that fits your company’s budget and offers a reliable return on investment.
The Benefits of GUIDEcx’s Customer Onboarding Solutions
We offer effective customer churn solutions that address the problem from the beginning of the customer onboarding phase. Our customer onboarding platform significantly increases efficiency and improves the experience for your team and your customers. With GUIDEcx, you can quickly implement an efficient, consistent onboarding process that keeps your customers informed and significantly reduces their time-to-value.
GUIDEcx Customer Onboarding Features For Customer Churn Prevention
Our platform includes powerful tools and features designed specifically to support customer onboarding.
At GUIDEcx, we understand the importance of organizing work and tracking priorities. Our project management and task management tools offer multiple project views, including List View, Gantt View, and Board View.
GUIDEcx lets you stay organized and maintain oversight through our tags and filter features. Create custom tags for projects or tasks, which can be used to filter, organize, and bulk assign and edit items. Additionally, save commonly used filters based on status, company, assignee, timeline, and more for quick navigation and easy oversight.
Manage Projects On-The-Go with Mobile App
GUIDEcx’s mobile app lets you stay connected and productive while on the go. Update project or task statuses, respond to customer notes, and easily upload attachments. Enable push notifications to ensure you never miss important updates, keeping you informed and engaged with your project management responsibilities.
Don’t Take Our Word For It. Hear From Our Customers
GUIDEcx offers robust integrations with over 1,000 applications, allowing you to increase automation and simplify project management. Seamlessly connect your existing tools and systems to GUIDEcx, enabling efficient data exchange and reducing customer manual efforts.
GUIDEcx is Leading the Client Onboarding Software Category
Discover how GUIDEcx can help you improve efficiency by reducing your customer onboarding timeline and increasing the capacity of your project managers. Our unparalleled professional resources and unwavering commitment to excellence support our industry-leading customer onboarding solution.
By clicking “Accept,” you agree that we may also use functional and advertising cookies that enhance site navigation, analyze site usage, and assist in our marketing efforts. Choose “Decline” to disable functional and advertising cookies, or Read More to learn more. . Read MoreCookie settings REJECTACCEPT