Customer Churn is Healthy
Business Development
Customer Churn is a term which describes the normal cycle of Customers leaving or simply no longer requiring your business.
Where Customers leave business as a result of poor service then this is cause for a separate review and action process.
Setting aside lost business from un-happy Customers, Customer Churn is healthy for your business as it encourages:
1. Development of new relationships;
2. Reduced reliance on the same Customer base;
3. Testing of your current Service Offering;
4. Active Forecasting of Business KPI's
5. Business Growth & Change
Our view is that 10% is a healthy Customer Churn Rate. You should consider off-setting this Churn Rate with our view on Annual Growth Rate !
(© Profit Advantage #38013
