Seeing Attrition in Customer Loyalty? Fix it with Predictive Analytics

Every brand or organization has dissatisfied customers. But  then it also has its most loyal customers. Such customers are your trusted brand advocates – their reviews and recommendations will drive your sales and their positive word-of-mouth messages will boost your brand reputation. Hence, it is imperative for brands to retain their ever faithful group of customer.

Predictive Analytics can help businesses a great deal in this direction. Here’s how:

Identify Anything Amiss In Customer Behavior:

Your loyal customers rarely complain about your products and services because they are generally happy with how you service them. However, if you suddenly come across complaints streaming in from any of these loyal customers, then it shows that something’s amiss – a customer servicing gone wrong perhaps.

Do you see a sudden absence or a dip in their transactions? Has there been a hitherto unfound spike in his complaints about your products? All these factors could be predicting impending customer attrition.

Plug Loopholes in Customer Engagement Efforts:

Customers devoted to you have always appreciated your content on social media channels; consistently sharing, liking, retweeting or repinning it. They were in fact your top influencers. In such a scenario, if you witness that their engagement level with your brand has suddenly taken a beating then it could be stemming from a plausible faulty customer engagement effort.

Inefficient social engagement efforts can derail your relationship with your most loyal customers, sometimes even forcing them to end their association with your brand. 

Improve Customer Relationship Service:

Sometimes all that brand loyalists need is a warm gesture on your part reminding them that you value them highly and their unceasing loyalty towards your brand is appreciated. Explore your social data and identify those customers whom you have ignored (in offering the best customer service) in spite of them being your top brand advocates.

At a time when your customers are spoil for choices and your competitors are playing hard to woo your customers with fancy offers and grand promotions on the social media, Predictive Analytics helps organizations to prevent possible future cases of customer attrition and in turn successfully retain its customers.

How do you deal with attrition in customer loyalty? Share your thoughts in the comments below. To learn how Shout Analytics’ Predictive Analytics capabilities can help you in this direction, write to us at info@shoutanalytics.com

Do Banks Need Social Media Analytics Tools?

We all have been talking about Big Data. In fact from manufacturing to retail to public sector to finance – industries in every realm of business have to deal with big data. However, not much is talked about finding effective solutions to the challenges put up by big data.

Social Media Analytics (SMA) tools are a boon in this regard. They are efficient, cost effective means to glean insightful insights from big data and build a holistic business intelligence repository.

  

While SMA tools are useful in every industry vertical, it is especially beneficial to banks and other related financial institutions.

While it is important for banks to leverage social media, these institutions must also exploit the prowess of SMA tools to manage their big data and gather customer, competitor and business insights from it.

The India Trend:

While banks and financial institutions are aware that they need to invest in Analytics, not much has been done in this direction for reasons unknown.

Word Scenario:

3 high priority things in a SMA tool for banks around the world

•         Analyzing customer reactions, customer comments on social channels in order to give valuable inputs for product development.
•         Being able to sieve through Twitter, Facebook and WordPress feeds
•         Powerful enough to measure key metrics without being too expensive.

ROI:

When SMA tools gathered buzz and slowly became an integral part of most banking organization’s marketing and brand building plan, ROIs were not a major concern for then. Why? Because the heads of these organisations quickly realized that SMA tools was an important and crucial asset to reckon with for several years in the future. These tools, were going to empower their organizations with powerful, valuable insights about their customers, competitors, markets, brand reputation, product health etc.

Plus, using SMA tools, banks could add a distinctive human value to their brands make their brands thereby transforming them from mere institutions to “a socially engaging partner”.

This qualitative human value was and even today is far more valuable than any quantitative figures of ROI.

Shout Analytics is an innovative social media monitoring and analysis platform that enables banks to use the power of social media to understand, monitor and engage with its customers. So, if your bank needs a complete social media Analytics solution, write to us at info@shoutanalytics.com

Also, does your bank) use Social Media Analytics tools? How has it improved the bank’s overall functioning? Share your thoughts in the comments below.

5 Reasons Why Banks Must Use Predictive Analysis

Beth Schultz, in her blog post on Predictive Analytics revealed an interesting story about how her friend was offered refinancing of her mortgage by her bank, Chase Bank. This was the bank’s reward to her for being a long standing loyal customer. 

How could Chase Bank probably have arrived at such a decision? The answer lies in Predictive Analysis. 

 

Today, as banks and financial institutions realize how imperative advanced real-time analytical solutions are for running their organizations, they are also looking for constructive predictive analysis tools. 

Here are some of the uses of predictive analysis for banks:

Right Product for the Right Customer:

Using predictive analysis tools, banks and financial institutions can track individual customers for specific buying habits and derive a distinctive pattern, using which they can easily categorize the customers on different parameters and offer them services and products specific to their needs and wants.

For example: consider that one of your customers is an NRI, whose account, over a period of time has seen a lot of transactions for buying or selling of property, indicating that he is investing heavily in real estate. Perhaps then, wouldn’t a tailor made home loan with special benefits to NRIs be just the right product for him? This is also an effective way to decrease customer attrition.

Manage and Maintain Brand Reputation:

Are your twitter streams bombarded with tweets from dissatisfied customers or is your Facebook wall filled with negative comments and complaints about your products and services? Well, left untreated, this negative sentiment could take on giant propositions and do grave damage to your brand reputation.

Using predictive analysis, banks can assess the reason for increased negative sentiments about their brands, fix the issue and thus prevent these instances from snowballing into a PR crisis.

Detect Fraud:

Are some of your customers always finding their way to the defaulters list? Repeatedly? May be they are not legitimate customers at all. With Predictive analysis, you can easily find out.

Better Customer Insights:

Banks and financial institutions nurture a huge repository of customer information both personal and financial. But the key lies in using this information effectively to increase revenue.

For example: using predictive analysis, if an IT manager took a home loan and a car loan together but has now been defaulting every now and then on both EMIs, then may be it is an early indicator that he could have difficulty repaying both the loans. 

Thus, predictive analysis tools are extremely beneficial to banks with regard to improving customer relations, increasing revenue and strategizing their marketing initiatives.

Shout Analytics provides cutting-edge predictive analysis services to BFSIs. So, if you are convinced that your organization needs predictive analysis tools, contact us at info@shoutnalytics.com