Customer retention is critical for long-term business success, particularly in the subscription-based fintech industry. With a strong retention strategy, companies can foster loyalty and drive repeat business.
This is especially important for industries like SaaS and fintech, where consistent revenue streams and customer engagement are paramount. Companies must proactively address their needs to retain customers and consistently enhance the customer experience.
Customer retention is even more critical in fintech, where subscription models dominate. It ensures consistent revenue streams and fuels sustainable long-term growth.
A leading fintech solutions provider improved customer retention by partnering with Convin, transforming its support operations, and delivering a game-changing customer experience.
How did a fintech company slash call costs by 30% with Convin? Find out Now!
What is Customer Retention?
Customer retention refers to businesses' strategies and efforts to retain customers over a long period. Unlike customer acquisition, which focuses on gaining new clients, customer retention ensures customers stay satisfied, renew subscriptions, and continue using your product or service.
The customer retention rate (CRR) is the percentage of customers who remain loyal to your business over a period of time. When it comes to highly rated customer service, quality and completeness matter more than speed.
In the case of the fintech company, improving customer retention was vital as their first-month renewal rates were below 40%, significantly affecting their business model.
Why is Customer Retention Important?
Customer retention is crucial because it directly impacts a company’s profitability and long-term growth. Retaining existing customers is far more cost-effective than acquiring new ones, as it reduces marketing and onboarding expenses. Loyal customers also have a higher lifetime value, meaning they are more likely to make repeat purchases, renew subscriptions, and serve as evangelists.
Customer retention is a stable and predictable assurance of a revenue stream for subscription-based businesses like fintech companies. It indicates whether your product and the quality of your service please your existing customers. Improving customer retention fosters stronger customer relationships, which helps businesses maintain their competitive edge and drive sustainable growth over time.
Customer Retention Process and Challenges in a Fintech Firm
With a first-month renewal rate below 40%, this fintech company struggled with high call volumes and operational inefficiencies, significantly impacting customer satisfaction and retention.
By partnering with Convin, they transformed their support processes and achieved a 4% increase in renewal rates within the first month. For the fintech company, several factors impacted their low renewal rates:
1. High Call Volumes
Support staff handled up to 6,000 calls daily, leading to long wait times and decreased customer satisfaction.
2. Low Efficiency
The company struggled with visibility into customer pain points and inefficient call handling, resulting in poor support quality.
3. Dead Air Customer Service
Dead air, where agents put customers on hold while searching for information, significantly hurt the customer experience and the customer retention process.
The fintech company needed a solution to improve customer interactions, reduce AHT, and create better customer retention strategies that increase renewal rates. Growing relationships with your customers and earning their trust will take time and effort.
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How Convin Helped Increase Customer Retention
Convin's platform provided a comprehensive solution to the fintech company’s customer service challenges. It helped them improve customer retention by enhancing service quality, reducing call-related costs, and streamlining processes. At the start of their journey with Convin, the fintech company saw a dramatic boost in customer retention, improved support quality, and increased renewal rates.
Here are a few innovative features that can elevate your customer retention strategy and transform support operations.
1. Upgraded Call Audit for Better Customer Retention
Before Convin, the fintech company could only audit 400-500 calls daily, covering just 2-4% of interactions. With Convin’s advanced AI-driven platform, audit coverage surged to 30%, allowing for quicker identification of call issues, reducing average handling times, and significantly improving customer satisfaction.
Convin’s systematic approach also replaced random call sampling with more structured and reliable reviews, leading to higher-quality insights and better decision-making.
2. Elevated Support Quality with Targeted Coaching
Aligning the accounting software company's Key Result Areas (KRAs) and Key Performance Indicators (KPIs) with Convin’s platform significantly improved support quality. Convin's tailored coaching and training tools empowered agents to deliver better customer service.
Additionally, requiring every agent to complete 95% of their coaching sessions ensured consistent improvements in service quality, leading to more efficient and effective customer support.
3. Slashing Dead Air for Greater Efficiency
Before Convin, agents often left customers to hold on while searching for information, leading to frustrating dead air and blank calls. Convin’s integration reduced dead air time by 30%, allowing agents to handle calls more efficiently and deliver smoother, faster customer service experiences. This improvement not only enhanced customer satisfaction but also streamlined overall operations.
4. Maximized Agent Efficiency with Streamlined Processes
Convin’s platform significantly enhanced agent efficiency by increasing first-call resolution (FCR) and making a customer satisfaction (CSAT) score more predictable.
By integrating detailed call summaries and CSAT scores into the company’s CRM, Convin streamlined After Call Work (ACW), allowing agents to complete tasks faster and focus on delivering a seamless customer experience.
This is a brilliant example of how focused employee development can improve customer retention.
5. Solved Product Issues with Deep Customer Insights
Convin’s intelligence uncovered key customer complaints, particularly around renewal issues, which the company had previously overlooked. With Convin’s insights, the product team identified software-related concerns, such as compatibility issues on different platforms, that drove customer dissatisfaction.
These findings enabled the team to implement targeted fixes, significantly reducing Average Handling Time (AHT) and improving the overall user experience. Before Convin, the company needed more visibility into how these product issues impacted customer satisfaction, but now they can address problems proactively to enhance retention and customer loyalty.
Understanding customer satisfaction levels in real-time enabled the company to adjust its strategies and improve customer retention.
6. Identifying Key Calls
Using Convin's structured sampling logic, the financial software provider can now efficiently pinpoint and prioritize the most relevant calls for auditing. This focused approach helps them target critical conversations, enhancing call quality, deeper insights, and more practical issue resolution.
7. Accurate CSAT Ratings with Convin’s Automated Feedback System
Convin’s integrated CSAT metrics replaced unreliable manual survey triggers, offering more consistent and comprehensive customer feedback. The system delivers precise satisfaction ratings by evaluating key call parameters, such as Average Handling Time (AHT), helping the company better understand and enhance the customer experience.
8. Clear TAT Communication
Previously, unclear turnaround time (TAT) communication led to customer confusion and unnecessary repeat calls. With Convin, more accurate and transparent TAT updates have minimized these repeat calls, improving overall efficiency and significantly lowering operational costs.
Boosting customer lifetime value (CLV) is essential, and Convin’s AI-powered platform helped achieve it by enhancing support quality and driving higher retention rates.
Key Features of Convin That Drove Retention Success
1. Automated Coaching for Agents
Convin linked the company's Key Result Areas (KRAs) with automated coaching tools, improving service quality. Agents must complete 95% of their coaching modules, leading to better performance and higher customer retention.
2. Identifying Product-Side Issues with AI
Convin’s platform also provided valuable insights into customer concerns related to product compatibility issues. The fintech company used this data to resolve app functionality issues, reducing friction and improving the overall user experience.
3. Consistent CSAT Feedback
Previously, customer satisfaction surveys were often incomplete or went unanswered. Convin’s integrated CSAT metrics provided real-time feedback, allowing the company to adjust its strategies and improve retention further.
Tired of dead air? See how Convin slashed it by 30%!
Key Results: Improving Support and Boosting Renewals
1. 35-45% Improvement in Support Quality
By leveraging Convin's AI-driven platform, the fintech company experienced a significant improvement in the quality of its customer support. Integrating real-time coaching and advanced call analytics helped align agent performance with the company’s Key Result Areas (KRAs) and Key Performance Indicators (KPIs).
This boost in support quality led to faster issue resolution, higher customer satisfaction, and improved overall service delivery.
2. 30% Reduction in Dead Air Time
One of the major challenges the company faced was excessive "dead air"—periods of silence when agents left customers on hold while searching for information. Convin’s real-time guidance system reduced this dead air time by 30%, allowing agents to provide quicker, more fluid responses.
This enhanced the customer experience and increased the overall efficiency of customer service operations.
3. 4% Increase in First-Month Renewal Rates
Customer retention was a critical focus for this fintech company, particularly in its subscription-based model. With Convin’s insights, the company identified and addressed product-related issues affecting renewal rates.
These targeted improvements contributed to a 4% increase in first-month renewal rates, directly boosting the company’s recurring revenue and long-term customer loyalty.
These key results showcase how Convin’s comprehensive approach helped streamline customer support processes, reduce inefficiencies, and ultimately drive business growth.
Outcome and Growth: Transforming Support and Driving Business Expansion
Key Results:
- 4% increase in first-month renewal rate
- 30% reduction in call-related costs
1. Improved Renewal Rates
Convin’s platform contributed to a 4% increase in first-month renewal rates, a significant boost for the company’s subscription-based business model. By addressing key customer pain points and enhancing service quality, the company was able to retain more customers in the crucial early stages of their subscriptions.
2. Expansion Across Teams
Due to the success of Convin’s implementation, the company expanded its use from 100 to 600 agents. This growth extended across support, sales, and renewals teams, ensuring that Convin’s AI-driven solutions improved efficiency and customer interactions across multiple departments.
3. Better ROI and Cost Reduction
Convin’s integration led to a 30% reduction in call-related costs by streamlining processes, improving agent performance, and reducing average handling times. This resulted in a clear return on investment, with the company enjoying cost savings and enhanced customer retention.
This combination of improved renewal rates, team expansion, and cost reduction reflects how Convin transformed the company’s customer support and contributed to its long-term growth and financial health.
Ready to redefine your support? Convin’s AI has the answer.
The Way Ahead: Count on Convin to Drive Your Customer Retention Success
Convin offers a powerful solution for businesses aiming to enhance customer retention, improve operational efficiency, and reduce costs. It delivers process-driven customer satisfaction and customer success in order to increase the lifespan of a customer.
By addressing key pain points such as dead air, long AHT, and inconsistent CSAT tracking, Convin helps businesses build a robust framework of customer retention strategy.
If you need to transform your customer support and increase customer retention, you can achieve your goals with Convin.
Ready to reduce your customer support costs by 30% and boost retention rates? Schedule a demo with Convin today to see how we can transform your support operations.
Frequently Asked Questions
1. What are effective strategies to boost customer retention in a subscription business?
Focus on personalized engagement, exclusive perks, seamless onboarding, responsive customer support, and automated renewal reminders.
2. How does technology enhance customer retention in marketing?
It enables personalized communications, behavior tracking, automated marketing, and AI-driven product recommendations for improved customer experiences.
3. How does reducing average handling time (AHT) improve customer retention?
Lowering AHT speeds up resolutions, enhancing customer satisfaction and increasing retention rates.
4. How can reducing dead air in customer service improve retention?
Minimizing dead air through better agent training and access to information creates smoother interactions, improving customer satisfaction and retention.
5. Why is customer retention more cost-effective than acquisition?
Retaining the number of customers is cheaper than acquiring new customers and leads to higher customer lifetime value, more repeat business, and lower marketing costs.
