When I first started talking about the Membership Economy, there just weren’t that many academics or researchers interested in studying the power of customer retention. That’s why I’m really happy to see some of the best minds in finance, strategy and marketing today are thinking about how to build, and measure durable relationships between organizations and the people they serve. Today’s guest, Eva Ascarza, is the Jakurski Family Associate Professor of Business Administration at the Harvard Business School. Her primary research subject is customer management (with special attention to the problem of customer retention). That’s good news for all of us building subscription businesses. In today’s discussion, we talk about the right metrics to measure and improve customer retention, how to use pattern recognition to predict which customers will be most valuable, and why cohort-based analysis is so important.
Most subscription-based businesses focus too much on acquisition and not enough on retention. But actually retention improvements are usually more effective, both for total...
“Everybody gets the free. But if you want the really good stuff, you cross the velvet rope and subscribe.” Adam Taggart, President and Co-Founder...
Customer-centricity is essential in the world of subscriptions. To succeed you have to understand who your most valuable customers are, and invest your resources...