When we are discussing “churn” the world cancelation is the most synonymous and how a store manages its cancelations is critical to controlling its churn rate. Everyone wants to hear from their customers on how they can improve their offerings and communicate with them should they be thinking about leaving the store.
Considering all these needs, we have equipped the Appstle Subscriptions and Loyalty app with a dedicated section for Cancelation Management, which is further divided into three categories:
Immediate Cancelation: with this functionality you can allow your customers to cancel any time they want. This is recommended for merchants who want to give 100% control to their customers.
Provide Cancelation Instructions: This mode is specifically designed to try and reduce churn of your store. With this option, customers will not be able to cancel subscriptions by themselves. Instead, you can display a customized message so that they can contact you. This will be helpful to try and retain your customers before cancelation. The best example for this kind of flow is to display an email of your customer service team with wording along the lines of, “In order to cancel the subscription, please contact at email@example.com.” When you reach out to your customer service team, you'll have the opportunity to hear your customers' reasons for terminating their contracts and open up the opportunity to offer them some compensation in form of discounts or additional products in an effort to retain them.
Customer Retention Flow: this is the best method if your store is willing to improve the product and are looking to gather more feedback on how to improve offerings. A list of probable reasons can be shown to the customer at the time of cancelation. However, the customer can still cancel on their end.
As per our experience, if your store is new and looking to gain subscribers the second option is the best flow for you as it will help you:
Reduce your churn rate
Collect feedback from the customers to know where and how your offerings can be improved.
The Cancelation management feature also helps in real-time evaluation of subscription plans and modifications, accordingly.