Art of the Subscriber Cancellation, How to Win Customers Back?
13 mins readOct 21, 2022
It can be really frustrating when you are unsure how to win back customers right after you lose them.. Whether they were a one-time buyer or someone who regularly purchased from your business, it always feels like a personal setback. But don’t despair! There’s always a chance to win them back.
That’s where a win back strategy comes in. A win back strategy is simply a plan to regain lost customers and turn them into loyal, long-term fans of your business.
There are lots of different ways to go about this, but some common tactics include offering special discounts, reaching out with personalized messages, or making the overall customer experience more enjoyable.
Ensure your win back strategy is tailored specifically to your business and your customers. What works for one company might not work for another, so finding what will resonate with your audience is essential.
A subscription cancellation flow is a process users must be part of it when they are about to call off using your products and services.
Its also known as a churn survey including off-boarding process and collecting important information that could be used in the longer run to improve products and service quality.
A subscription cancellation flow is critical for SaaS business. So, being associated with SaaS business, you must know how to win back lost customers.
A subscription cancellation flow’s main objective is to minimize the ratio of canceling customers as much as possible. It’s also done in a way that users have complete control over their decision.
You don’t have the liberty to enforce users’ stay and it can damage the image of your business as you are cutting short their independence in choosing what’s best for them.
It can be dangerous, as you may piss off your customers, even the loyal ones.
So what’s the best way to make them stay happily?
You can remind them of the best incentives for your products and the value they can offer to your user’s lives.
Sometimes losing a customer is not the worst thing that could happen to a SaaS business. The much worse thing is forcing a customer who does not want to use your products anymore. But the best thing you can do is to take a churn survey before they cancel their subscription.
This kind of feedback can greatly help you in improving the value of your products. and there are likely fewer chances of this survey being fake, as the leaving customer may be pissed off but would genuinely like to tell what thing made them cancel their subscription.
Just because users canceled their subscriptions doesn’t imply they won’t like to return in the future.
A subscription cancellation flow gives you leverage to offer a proper send-off and value their time with you as your users.
Once you take a more proactive approach to the feedback they left, the quality of your products will also improve—is the genuine reason they would like to return.
It’s no secret that subscription cancellations can hurt businesses. Not only does it mean losing out on revenue, but it also means losing out on customers. But what are the effects of subscription cancellations? Let’s take a look.
This one is pretty obvious. When someone cancels their subscription, you immediately lose out on the income that they were providing. Depending on your pricing model, this could significantly blow your business.
In addition to the immediate loss of revenue, cancellations can also lead to long-term losses. This is because canceled subscribers are less likely to come back in the future, even if offered a discount or other incentive. Once someone cancels, they’re usually gone for good.
Cancelled subscribers also decrease the overall lifetime value of your customers. This is because they’re no longer paying customers so they won’t generate as much revenue over time. Additionally, it costs more to acquire new customers than to keep existing ones, so losing even a few customers can greatly impact your bottom line.
A high churn rate often indicates problems with your product or service. If people are canceling their subscriptions at an alarming rate, it’s a sign that something needs to be fixed urgently. Otherwise, you’ll continue to bleed customers and lose money in the long run.
Subscription cancellations can damage your brand if you don’t handle them properly. If customers feel like they’re being treated poorly when they cancel, or if they see others having negative experiences with your cancellation process, it will reflect poorly on your company. On the other hand, if you handle cancellations smoothly and efficiently, it will show that you’re professional and dedicated to providing excellent customer service.
Finally, subscription cancellations can also lead to negative word-of-mouth. When someone cancels their subscription, they may tell others about their experience and why they decided to cancel. And if you have a lot of negative word-of-mouth, that could damage your reputation!
SaaS business struggle with ways of reducing churn and winning back customers. Churn is something that can hurt business in the longer term. Everyone is struggling right now. It’s no secret that customer acquisition is hard. It’s even harder when you’re starting from scratch. But what do you do when you’ve lost your customers? How do you win them back?
There are a few things you can do to try and win your customers back.
Let’s start with some best customer win back strategies.
When you’re trying to win back a customer, a personal touch can make all the difference. Send them a short, friendly email letting them know you’re thinking about them and asking how they’re doing. This shows that you care about them as a person, not just as a customer.
Everyone loves a good deal, so offer your customers a discount on their next purchase. They would like to resubscribe from your products if they left on price issues in the first place. It also shows that you’re willing to work with them to keep them as a customer.
A little token of incentive comes in the form of coupons, free trials, or offering some features free of cost—is always a good way to keep your customer along.
It would be ideal if such freebie deals are offered quite often instead of after a long time.
It’s a unique way to make your customers feel special. In today’s digital world, a handwritten note stands out. Sending your customers a handwritten note shows that you took the time to sit down and write it out just for them. It’s a small gesture that can make a big impression.
Sometimes, the best way to win back a customer is to just pick up the phone and give them a call. In this busy world, taking out time for 101 call sessions with customers is a supreme gesture. This shows that you’re interested in speaking with them and hearing what they have to say. It also allows you to answer any questions they may have about your product or service.
It’s the best way to offer solutions to their problems instantly and your customers would feel more valued. Giving a direct call to your customers may be a hectic job but it’s worth a while to win back their trust for a longer period.
Conducting an event means a new feature launch or offering solutions to all common and complex problems. Don’t forget to invite your customers, even the ones who canceled their subscriptions. This is a great way to show them that you value them and want them to be involved in what you’re doing. Plus, it’s a fun way for them to learn more about what you do and how it can benefit them.
Your customers always want to feel special and exclusive and one of your jobs is to make them feel likewise. Make your customers feel special by giving them exclusive access to your product or service. This could be early access to new features, VIP customer support, or anything else that would make them feel valued.
Asking for feedback shows that you care about your customers’ opinions and want to make sure you’re meeting their needs. It’s also a great way to get ideas for how to improve your product or service. Plus, who doesn’t love giving their opinion?
The first thing you need to do is reach out and apologize. If you’ve made a mistake, own up to it. A sincere apology can go a long way.
If you’ve done something to upset your customers, make it right. This could mean anything from fixing the problem to giving them a refund. Whatever it takes, make sure your customers know that you’re committed to making things right.
Once you’ve won your customers back, don’t let them slip away again. Keep in touch with them and let them know that you appreciate their business. A little bit of communication can go a long way.
Even if your customers are happy with your product or service, it’s important to stay in touch with them. Send them periodic emails updating them on what’s new with your company or offering them exclusive deals. This will keep you at top of mind so that when they’re ready to make a purchase, they’ll think of you first.
Last but not least, always remember to say thank you! Thank your customers for their business and let them know how much you appreciate them. A little appreciation can go a long way in keeping your customers happy and loyal.
- Build a transparent profile of your most at-risk users, and use microscopic surveys to collect data for your next steps.
- Make a customer journey map to distinguish segment risk and specify churn triggers.
- Use smart UX to educate users, drive feature adoption and deliver incentives for cancellation deflection.
- Calculate the effects and evaluate the cost to make all of those changes to see if your solution is sustainable.
- push low-code / no-code solutions to reduce the burden on engineering.
New times are tougher, and SaaS businesses need to adapt accordingly. Being proactive and working on a customer win back strategy to enhance the value of the product will also support avoiding a churn nightmare.