Attracting new customers and managing long-term customer relationships are effective routes to profitable growth. However, many companies fail to maximise their growth because they are not managing their customer bases in the right way.
The customer base is the most valuable asset of any company, but as competitors increasingly learn to interpret customer behaviour data to create market-of-one customisation, the race to acquire, retain, and develop customers continues to intensify. Fundamentally, customers remain loyal because of superior value propositions and experiences.
We work with clients to increase their profitability. By designing attractive offer packages and incentives, we help them attract new customers, and by offering incremental value to existing customers, we help minimise churn.
We work with you to uncover user insights to better understand the market and your customer base, and how the customer journey can be enhanced to create improved customer experiences.
We help clients maximise revenue across the consumer journey, from acquisition to usage through cross- and up-sales to loyalty and retention. We help to identify the behaviour which drives the most valuable customers, determine the needs of those customers, and how to best reach them:
Customer insights: using internal and external data to create sophisticated insights about their customers to increase wallet share, manage churn, and improve customer satisfaction.
Customer profitability: identifying how and where to improve net margins, using a mix of pricing strategies, service-level changes, and customer and product portfolio simplification.
Loyalty programmes: designing integrated, cross-functional programmes through an in-depth understanding of affinity for new and existing customers.
Customer lifecycle management: insights, customer interaction strategies and tools to help companies increase the satisfaction and value of their customers.
For more information on our capabilities, please contact our Product practice team.
Please contact us for more information on our past projects.
Worked with a multi-billion dollar online retailer build the organizational, IT, and process capabilities needed to optimize customer conversion both online and by email, resulting in sales and EBITDA growth or 20 and 30 percent, respectively.
Helped a hospitality company determine the customer lifetime value of more than 40 million customers while using customer insights to overhaul an outmoded loyalty program.
Helped build an early interventionstrategy to minimize customer defaults for a retail bank, helping prevent $110million in annual credit losses.
Helped a retail client build capabilities and increase revenues 18 percent at a telecommunications company, customer satisfaction nine percent year-over-year at a hospitality client, and EBITDA 15 percent in nine months.
Online property services: The company had recently acquired several new businesses meaning that they could provide their customers with a suite of products to fulfil their full range of needs. They were looking for a strategy to encourage existing customers from their core business to purchase these additional products. Their primary objective was to increase the average product per customer.
Product assessment revealed the following:
a) Low variable costs highlighted benefits of increasing number of customers served irrespective of price.
b) Low market penetration of the newly acquired business suggested minimal cannibalisation risk of lowering price.
c) Customers valued each of the products offered but were currently purchasing them through various different vendors and had little incentive to switch supplier.
The combination of these findings suggested that a bundling approach whereby discounts were applied vs the price of acquiring each product separately would encourage customers to purchase all products through our client.
RESULTS
Scenario modelling suggests the average product per partner growth from 1.25 to 3.5 over 3 year horizons.
Want to learn more about how we can help you grow?
Henderton acts as independent, trusted advisors to innovative companies throughout their growth lifecycle.
Get in touch and understand how we can help you achieve your objectives.
