Use Case


Churn management needs to be a top priority for any business, and Intent HQ makes this easier.

3 min. Read

Keeping churn under control is essential to the growth of any telco. It costs much more to attract a new customer than it does to retain an existing one, so understanding what your users’ pain points are and how these may influence their decision to leave will be vital. By understanding their needs, you can develop better prediction models to target at-risk users and to keep churn rates as low as possible. 

The current understanding

Churn is often one of the biggest headaches for telcos. For most firms, around half their customer base will reach the end of a contract each year, putting them at risk of churning. As such, even small improvements in overall churn rates can have a big impact on your overall performance.

With it being easier than ever for customers to switch to a new provider, it’s imperative that companies give their users a reason to stay. However, this can be easier said than done, especially in an industry where rates of trust and consumer loyalty remain low.

On the other hand, telcos have a huge opportunity to improve their relationship with customers by using the vast range of data they have available to them. This can be especially useful when it comes to identifying risks that may be indicators of churn. 

Has your network performance or customer service failed to live up to expectations? Do they have interests such as sport or music that a competitor is currently in a better place to deliver? Having insights into these areas helps you make better predictions and formulate strategies for customer retention.

Improving churn risk and performance

Being able to build a complete profile of your customer is the key to this. Having this insight enables you to improve your churn prediction models and develop more personalized interactions. Knowing what their unique drivers are ensures you can hone in on high-risk customers and take the right steps to increase retention.

For example, is the customer very performance-oriented, or do they care more about price or extras? If their main priority is having a strong connection whenever they need it, and their provider hasn’t matched these customer experience expectations, offering a discount may not be enough.

These efforts are also about more than simply retaining customers – it’s also about keeping their value high. The more successful you’ve been throughout the contract at building a relationship, the less likely you’ll have to offer concessions such as heavy discounts at the end to convince them to stay. What’s more, it also enhances your opportunity for upsells and cross-sells by offering them the right products at the right time, in a way that will resonate with the consumer.

Ultimately, this means greater revenue and better margins as well as happier customers. But this can only be achieved by using insights to build customer understanding based on their behavioral data, and responding to their needs in a personalized manner.

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