Churn Rate
Churn rate. What is it and how to reduce it?<br>
Churn rate refers to the percentage of customers or subscribers who stop using our services during a given period of time
It is a term widely used in email marketing and a very useful metric in mass mailing campaigns, although it is also used in other sectors to track customer churn.
In the field of email marketing, if we have 100,000 subscribers on a daily newsletter and 1,000 of those subscribers unsubscribe using the unsubscribe link or any other means in the last month, dividing 1,000 unsubscribes by 100,000 subscribers gives us a churn rate of 10%.
This formula is calculated by dividing the total number of unsubscriptions by the number of subscribers and multiplying the result by 100.
1. how to reduce the churn rate?
First of all, it’s important to clarify that we’re talking about reducing, not eliminating the churn rate, because achieving 0% churn is practically impossible.
There will always be subscribers who, for whatever reason, want to stop receiving our newsletters.
But what we can do is try to keep the unsubscribe rate as low as possible and, to do this, we need to follow these good practices:
– Analyze your strategy and your competitors: when a subscriber provides their email address to sign up, it’s because you offer them valuable content or information.
When they unsubscribe, it is because they are no longer interested in what they are receiving. So do some self-criticism and analyze the content you offer to see if it is not as good as before.
Similarly, the problem may not be that your quality has dropped, but that your competitors are offering better content than you, so it’s always advisable to subscribe to your competitors’ newsletters to detect these fluctuations.
– Update and take risks: more or less frequently, you need to update your newsletter, because what works today may not work so well after a few months.
For this reason, try changing elements of your newsletter, such as the design (without straying from your brand image) and the type of content.
After a while, measure the results and consider improving again what you detect is not very popular.
– Find out why your subscribers unsubscribed from your newsletter: the best way to solve a problem is to know why, so ask your subscribers what led them to unsubscribe and then solve what led them to unsubscribe.
– Define an email marketing strategy: sending bulk email marketing campaigns and