Retention Strategies That Helped Reduce My Client’s Membership Churn Rate by 2.25%
Reducing churn isn’t just about holding on to customers—it’s about building a loyal community that continuously finds value in your service. When I started working with my client that has a membership, they were facing an uphill battle with customer retention. They were getting new members every month but it also felt like other members were leaving at a similar rate.
Luckily, that wasn’t actually the case when we looked at their analytics but I still knew there was room for improvement in their retention efforts.
Through a series of strategic tweaks and testing, we managed to lower their churn rate by 2.25% in the back-half of 2024. Here’s how we did it, along with what we’re planning next to keep those numbers moving in the right direction.
The Retention Game Plan: Strategies That Made a Difference
1. Weekly Wrap-up Emails
We know that consistency is key for their members to actually see results (in fact 85% of their members start to see results after just 45 days), but a lot of the people cancelling just weren’t committing. So we had to think of a way to remind them to consistently take action.
With that in mind, we introduced weekly wrap-up emails to keep members informed about what’s new, what they might have missed, and how they can get the most out of their membership. These emails helped maintain engagement and reminded users of the value the membership provides.
2. Commitment Terms
We also made a bold move to change the membership time commitment from monthly to requiring a three-month or six-month commitment. We positioned the change to align with how important consistency is to see the results they want using statistics and testimonials/wins as proof.
We did grandfathered everyone into their existing plans as long as they stayed a member too.
This change meant that people signing up would really need to be committed to their progress and less likely to leave in the future, especially since we know that if they stay consistent, they will see results.
3. Backend Redesign
A seamless user experience is critical for retention. We revamped the backend of the platform to streamline navigation and make content more accessible. This redesign has already shown promising signs in user engagement metrics. (See below to see what else we’re adding to improve it even more!)
4. Daily Email Check-Ins for the First 6 Months
To ensure that new members stayed on track, we implemented automated daily email check-ins during their first six months. These emails provided reminders, tips, and encouragement to participate actively, leading to higher satisfaction and lower churn.
5. Cancellation Survey: Understanding why users leave has been crucial in helping us implement these other strategies, but the number one reason people were leaving was because of finances. We know this audience is particularly price sensitive so we decided to use the cancellation survey to help with retention.
If someone said they were cancelling for financial reasons, we gave them a discount code to help alleviate that stressor so they could stay. (Please note: This is directly tied to my client’s mission and values so offering a discount makes sense for them and their audience.)
What’s Next: Future Initiatives to Further Reduce Churn
We’re not stopping here. As part of our continuous improvement strategy, we’re rolling out additional initiatives to further decrease churn:
1. Categorized Videos & Lessons: We’re working on organizing our content by creating clear categories. Examples include:
If you’re experiencing X, do this: So people that are experience something specific can easily find something to help them alleviate that pain point.
New this week: Encourages people to come back regularly to try something new.
This helps users quickly find the solutions they need, enhancing the overall user experience.
2. Gamification: Engagement is boosted when users have fun and can see their progress. By gamifying the platform—adding rewards, progress tracking, and challenges—we aim to create a more interactive and sticky experience that encourages regular use in a healthy way.
Consistent Efforts Yield Consistent Results
Lowering churn by 2.25% wasn’t an overnight success. It was the result of deliberate, data-driven strategies that addressed both the user experience and the value proposition of the membership. By fine-tuning our approach with weekly wrap-up emails, membership commitment adjustments, backend enhancements, and daily check-ins, we created an environment where users felt engaged and supported.
And our journey doesn’t end here. With upcoming initiatives like content categorization and gamification, we’re poised to further enhance user retention and drive long-term success.
If you’re struggling with churn or looking to refine your customer retention strategies, let’s connect. I’d love to share more insights on how these tactics can work for your business.
