If you are in the candle business and suddenly experiencing, the customers are climbing down more rapidly. Reducing customers directly affect revenue, then there is a need to look upon certain things. So, discover what you need to know about reducing churn rate and thus protect your bottom line. First, you need to learn what is customers’ attrition/churn rate?
What Is Churn Rate or The Customer Attrition?
Churn rate is the negative point in business that means reducing customers from period to period. It can be the month, year, or any specific portion of time that lets you examine and makes the most sense of your business.
The example can be taken as the company that sells candles only on Christmas, which will measure the attrition rate season to season. And as comparatively, the company that sells candles whole year will measure month to month.
It will be easy for the later company to determine the churn rate and enhance the candle business’s strategy with the proper packaging supplies.
Worth Knowing The Planning For Up Lifting Customers Attraction:
Customers are leaving your product and company. The act just doesn’t dampen your revenue but also leaving you set behind. So, the customers who leave you will develop a relationship with your competitors.
That means you lose out your future customers and give benefits to your rivals from your own hands. If that not enough in here to bring the horrors of the client’s churn into the light, consider some of the ways that are different from the market. Go dive into depth, and find how to enhance the overall beauty of candles and their boxes.
· The total cost of candle packaging boxes and their beautification
· Switch to the new trendy candle packaging designs and their wholesale cost
· Candle packaging material and whether they come in the custom option or not
· The after-use benefits of custom candle boxes that people find beautiful and attractive
By following these above, you have the chance to retain your customers and acquiring new customers.
Further Tips for Reducing Customer Attrition:
Although companies consider the tips and focus on that, they spend more on acquiring new customers rather than keep the old ones with them. They almost spend 7% more on looking for new customers rather than spending that amount on reducing the churn rate.
And while they always keep an eye towards success and growth, but leaving customer for every one or two months will convert the easy success into a harder hill to climb.
Here are few tips for understanding your myth of candle packaging in wholesale and their performance in reducing customer attrition.
1. Recognize How To Qualify For Keeping The Customers:
Start the research by measuring your churn rate. However, putting a little specific metric to this problem helps you understand your behavior with the customers, your product’s overall quality, and the candle’s presentation in fine boxes or packaging.
The method for calculating the churn rate starts by dividing the number of customers lost in a period by the number of customers the previous year. The formula arrives:
(Customers lost / Customers you started with) * 100
For example, consider a box service that offers wholesale candle boxes. The services begin in January with 150 customers. Ten of those people stop ordering the boxes before February. Thus, it means the churn rate is:
(10/150) * 100 = 6.67%
2. Define and Solve These Business Challenges:
Customers always want something beautiful and different that they don’t find anywhere else. Something very pleasing and attractive. Find the solution to this problem. Although you have done marvels in your product, people first see the presentation, then they come on the product.
The packaging does half of your business, and the later half does your product. You have chosen the best candle wax from the market. Now it’s time to choose the best packaging company that understands you fully and do work on your behalf. Find what your customers in collectively want to see then provide them that value.
3. Create customers Loyalty By Providing Eco-Friendly Packaging:
loyalty program is one way that you can bring your churn rate down. Loyalty means what they see is the same as what you sell. And packaging speaks that loyalty language to your customers. They are forced to believe the company that cares for the customers and cares for the environment.
Use the packaging material like the kraft or cardboard. They are popular for helping the green planet. However, they are also cost-effective, which means that, if you are losing your revenue, you are not losing on a large scale.
4. Keep An Eye On The Market Competition:
The above all tips are beneficial one way or another, but the vigilance eye in the market is other; find out how your customers are taken away by your rivals. What they are presenting that fails you to provide that. Don’t forget to keep an eye on the competition.
Your analysis will indicate that your customers are willing to pay that present the excellent services and excellent presentation. But if the competition is undercutting and you are not paying attention, then your customer will check out from your service and will find the new solution.
Other than that, choose the best boxes for candles to bring in new customers, retain the old one, and reduce the churn rate’s glorifying business.
Published by Gram Smith