The most important metric for subscription-based services is churn reduction.
Customer churn often defines whether it’s profitable to spend marketing dollars to acquire a customer or not. In short, it’s the difference between success and failure. Sinch delivers personalized video messages, amongst other solutions, to help reduce churn.
Here’s an example: One of our operator clients realized the biggest driver of churn was consumers not understanding their phone bill, as a result they terminated the service because they believed their bill was incorrect. This operator reviewed their customer journey and decided to start sending personalized video messages to each new subscriber to explain their phone bill. Our systems connect to operator’s CRMs, and based on the information held there, our personalization engine can create a personalized video explaining the phone bill for each individual user.
The results for this particular operator were staggering. Churn was reduced by 17% per annum, saving millions of dollars. In addition, it drove a higher increase in customer satisfaction than any other campaign. What’s even more exciting is that pretty much any subscription-based service can achieve the same thing.
Reduce no shows
No other channel is more effective than text messaging when it comes to realizing this business benefit.
We’ve all done it, forgotten an appointment because something else came up. Let’s do a simple calculation to find out what impact this might have: A hairdresser sends out text messages to remind customers about their appointments. Each week she has 40 appointments booked, so her system sends 40 messages per week out that cost 5c each, a total of $2 spent per week. This on average avoids 2 ‘no-shows’ per week, at a value of $50 per appointment, which means a 4900% return on the investment in SMS. This happens every day, millions of times the world over, which has the potential to save billions for doctors, real estate agents, hairdressers etc.
Sinch verification service delivers rates of up to 70%.
A huge portion of large scale consumer internet services have a need to verify that an account is connected to a specific phone number in the sign-up process. They do this via a voice call, a text message, or a combination of both. The percentage of people who get ‘verified’ is critical, since it directly affects how many new users the service gets. In other words, it dictates the ROI for marketing spend. Sinch delivers verification rates of up to 70% – one of the best in the world, and one which is used by many of the largest consumer services across the globe.
How can you use a video message to increase revenue? Let’s take a quick look: A pharmacy gets a prescription from a doctors office, patients are then supposed to go and pick up and pay for their prescribed drugs, but it doesn’t always work like that. Drugs are often left uncollected for weeks at a time, even longer in some cases. One way pharmacies can help ensure that drugs do get picked up, is to send a video message reminder to patients, perhaps including details on how their home delivery service works – for a small fee of course. As a result, ‘no-show rates’ reduce drastically and revenue increases significantly due to drugs being picked up or delivered on time.
Improve service quality
A cloud web hosting company sends notifications to developers whose services have gone down. Phone calls are too expensive, and e-mail open rates and response times just do not cut it. A text message is delivered within seconds and has a 90% read rate within 3 minutes, it’s simply the most effective channel that exists. When something is time critical the immediacy of text messaging is unrivalled. The result? Developers successfully get the message quickly thanks to the efficient SMS notification service.
Avoid 'failed' delivery attempts
No one likes wasting time, especially if there’s another way to get things done more efficiently! Here’s a quick example: A delivery service company has an event built into their customer journey, that 60 minutes before a package is due to be delivered, a text message is sent to check if the person is home to receive it. If there is no response to the text message, an automated voice call is made 40 minutes before expected delivery. If there is still no response, delivery to that address is skipped and moved to the next day. Each skipped delivery saves approx. 10 minutes for the driver, with a fully loaded cost per hour for the driver at $90, this results in a $15 saving. The company spends $1 per avoided ‘failed deliver attempt’, which results in a solid 1500% return on investment.
Wouldn’t it be great if you knew what your customers were calling about before you even answered the phone? It is possible, here’s how: If your customers are calling from an app or a webpage and you’re using contextual calling (or call tracking), it makes the call center advisor’s job so much easier – they’ll know which web page or app was being looked at when the call was made, which means they won’t have to ask so many questions to get to find out why the call was made – they’ll already have a good idea. This service has the potential to make a huge difference to customer satisfaction.
Sign up & sign in
Want to make things easier for your customers? Of course you do! Let’s take a look at how you can streamline customer sign up and sign in with Sinch Verification.
Provide a speedy customer sign up process using phone numbers as information about the end user. The Sinch Verification product will send a cost efficient, one time passcode to the end users phone number, which will ensure the highest possible conversion rate. Sinch Verification is a drop-in replacement for existing SMS based solutions using one time passcodes, but offers a higher quality of service.
Smooth the way for a fast and secure customer sign in, using phone numbers to identify the end user. Sinch Verification is a direct replacement for existing SMS based 2FA solutions, offering a higher quality of service and multiple verification methods, such as SMS and Flashcall, to make sure log in is super easy in all markets.
Connect & build safely
Privacy is a hot topic, but did you ever think it could help you connect with even more people? With our Number Masking capabilities, businesses can connect with their customers in total privacy. From drivers to passengers, customers to deliveries, in fact any kind of service where you need to restrict access to user’s real phone numbers.
If you’d like to innovate and create a completely new solution, Sinch can help make it happen – your imagination is the only limit. With flexible and powerful API and SDKs working alongside our network of providers, continuously growing features and global presence, our customers can build a huge variety of connected services & products.
Change the way your customers reach you
Customers want to speak to you in ways that suit them. That’s where the magic of video comes into play.
Dedicated video applications can optimize interaction between patient and physician, rental car users and rental agents, insurance companies and drivers involved in accidents – in fact, many of today’s business interactions that require physical presence could be replaced by a personalized, customized, secure and cost-effective video call to provide more convenient and efficient services for your customers.
Increase store foot traffic
We could all do with a little more traffic coming in through the front door, help increase sales, generate more interest and all that jazz. But what’s the best way to do it?
Say an operator wants to attract customers that are close to needing a top up on their pre paid card, how can they entice them into the store? Well, if we help out by setting up geofencing to detect when that user is close to a store, and has a low balance on his prepaid card, we can generate a personalized message just for them, right when they need it.
Keep it private and improve revenue assurance
Privacy is a big deal, and it should be too. Protecting it shouldn’t be difficult though. Your customers need to know that if they want to speak to a driver about their pick up time or place, their phone number won’t be passed on to the world and his wife. Matter of fact, we think they’d prefer that no one saw it at all. They need to retain their anonymity, and let’s be honest so do you – hiding phone numbers, or as we like to call it Number Masking, is something we can help with. But it’s not just about protecting privacy, we look at it in another way too – securing revenue. Keeping customer numbers masked in app means that they can’t go offline to complete transactions, so you don’t lose business. Plus it saves time when it comes to pick ups and drop offs, if you could save 30 seconds on every delivery or ride, that could add up to a ton of money saved in the long run.
Can banks use SMS to help put a stop to fraud? Sure they can, here’s how: A bank sends text messages to all credit card users when their spending patterns match certain high risk criteria, just to check in and make sure everything’s OK. It’s a win-win situation, the bank save millions of dollars by avoiding fraudulent transactions, and end users save huge amounts of time, effort and stress by avoiding the reclaim process.
Get your drivers on the street
A ride sharing company needs to effectively reach thousands of drivers in seconds in order to get more drivers on the street. What do they do, call them? They could do, but it’s way too expensive. Send a mail? It’s an option sure, but it’s far too slow.
The most effective and immediate channel to reach people fast is text messaging, and that’s exactly why they use it.
Reach anyone in the world within seconds
Still not sure if mobile is one of the most powerful and personal ways to build long-lasting relationships? Let’s take a quick look at some stats:
-Messages get to people within 1 second and have a 98% open rate
-90% of content sent via mobile channels is read within 90 seconds
We’re already working in many, many verticals – if you aren’t using mobile tech to enrich your customer engagements, you’re missing out on something quite amazing. Join us now to access the mobile world!