Retention offers reduce churn by presenting an incentive to subscribers who are about to cancel. This is the last save point before the customer completes their cancellation. You can pair an incentive with a treatment action, such as skipping the next order, to address the reason the subscriber is leaving.
This article covers how retention offers work, how to set them up in Loop, and how they appear to customers during the cancellation flow.
Why use Retention offers?
Customers cancel for different reasons, such as dissatisfaction, perceived lack of value, or changes in personal circumstances. A well-timed offer gives them a reason to reconsider.
With Loop, you can create targeted offers that appear only when specific cancellation reasons are selected. Each offer can include a discount, a one-time gift, or loyalty points, and one optional treatment action that resolves the subscriber's concern directly.
Targeted offers help reduce churn and increase subscriber lifetime value, while keeping the cancellation experience relevant to each subscriber.
Setting up retention offers
Follow these steps to complete the process.
Navigate to Loop admin > Retain > Cancellation flows > Interventions tab > Retention offers > Click on "Create new offer".
The "Create cancellation offer" screen will open, featuring multiple sections that you can customize based on your business requirements.
Assign an internal name to your offer page.
Note: A retention offer is not shown to subscribers until it is attached to a cancellation profile. To target a specific subscriber segment, attach the offer to the cancellation profile built for that segment. See Cancellation profiles for how profiles and their targeting conditions work.
Click on "Add offer" in the Retention offer section. Choose the desired incentive type, Add free gift or Add discount from the available options, then click the Add button to proceed.
Optionally, click + Add treatment below the incentive list, then choose an action from the Treatment action dropdown. An offer can carry one treatment.
Add the required customer tag. This tag will be applied to customers who have accepted this cancellation offer. You can add upto 3 comma separated values here.
In the next section, you can configure various available settings under Offer applicability to define when and how the offer should be shown.
By default, retention offers are shown only when a subscriber selects one of the configured cancellation reasons. If reasons are turned off on your store, or made optional, subscribers who don't select one previously saw no offer at all. Enabling Show when no reason is selected fixes this, so those subscribers still get a save attempt.
Setting | Description |
Reasons | Offer will be shown only on the selected cancellation reasons. |
Available for U.S. customers under Automatic Renewal Law (ARL) (especially in California, Colorado) | If enabled, customers in the US (especially in California, Colorado) will see this offer directly, since they aren't required to fill out cancellation surveys. |
Show when no reason is selected | Offer will also be shown when cancellation reasons are turned off on your store, or when reasons are optional and the subscriber doesn't select one. Enabled by default when creating a new offer. |
Cool-off period | Configure when a subscription will be eligible for a cancellation offer again. |
Limit to one use per customer | If enabled, a customer cannot avail this cancellation offer again on any subscriptions. |
Enter the required offer description. This short message will appear in the available offers drawer when multiple offers are presented, helping the subscriber quickly understand each option.
In the last section, the Offer details drawer, you can configure the complete offer message. Add a detailed description in the body, personalize the message using available variables, and define the action button text that will be shown to the subscriber.
Note: You can also display a different offer description for each cancellation reason by enabling the corresponding checkbox.
After previewing the created offer page, change its status to "Active" to make it live for subscribers.
Note: "Allow customers to choose between available offers" checkbox shows offers having a short description as a choice to the customer. If disabled, customers would be shown the highest priority offer.
Treatment actions
A treatment action lets an offer resolve the subscriber's underlying concern, such as timing or a failed card, instead of only offering an incentive. You can attach one optional treatment to a retention offer, alongside its incentive.
Treatment | What it does |
Update payment method | Prompts the customer to update their payment method to claim the offer. If their last payment failed, a charge is retried once they confirm. |
Order now | Places the upcoming order immediately when the customer accepts the offer. The subsequent order schedule updates based on customer portal preferences. |
Skip | Skips the subscription's upcoming order. |
Delay | Delays the upcoming order. Subsequent orders shift by the same amount, so the interval between orders stays consistent. |
Note: Each treatment depends on its corresponding master setting in the customer portal preferences. If that setting is disabled, the offer isn't shown to customers, even if it has other incentives. For example, an offer with a free gift and the Skip treatment doesn't appear if skipping is disabled.
A treatment does not change the offer's title, description, or button text. Write these so they match the treatment, so the subscriber knows what they are accepting.
When a customer selects a Delay or Update payment method offer from the offer listing page, they go to the offer details page to take the required action.
Choosing a treatment
Update payment method and Order now fix the underlying problem and recover revenue directly. Update payment method resolves a failed card, and Order now reactivates an inactive customer.
Skip and Delay push the order out instead of resolving the problem, so they fit best when timing is the real concern, such as a subscriber who already has enough stock.
Tip: Where the subscriber's situation allows it, start with Update payment method or Order now, and use Skip or Delay when timing is the reason they are leaving.
Treatment actions in A/B experiments
For A/B experiment offers, Control (A) and Variant (B) each have their own treatment. A new experiment copies the offer-level treatment into both sides as a starting point, and you can then change each side independently.
Customer portal experience
Follow these steps to complete the process.
The subscriber logs into the customer portal and scrolls down to click the "Cancel subscription" button.
Once the subscriber rejects the cancellation reason and clicks on the Cancel button, the offer drawer will appear displaying multiple available offers based on the configured conditions.
The subscriber can view and select any preferred offer from the drawer to accept it as part of the cancellation flow process.
Offer 1
Offer 2
Cancellation offers with Skip or Delay order
FAQs
Where to find what the customer answered for the "Other" cancellation reason?
You can find the 'Other reasons' for Cancellation flow by going to:
Loop admin portal > Analytics > Reports > Cancellation logs - column 'Cancellation remark'
P.S. - You could also add a filter: Cancellation reason: Other
How to reward loyalty points or store credits through cancellation offers?
To reward loyalty points or store credits through cancellation offers, you can use the new Reward Loyalty Points cancellation offer type. This allows merchants to add loyalty points or store credits directly to a subscriber’s account via the connected loyalty app when the subscriber accepts the cancellation offer.
The loyalty points cancellation offer option is available only when a supported loyalty app is connected with Loop. If no supported loyalty app is connected, this option will not appear in cancellation offers.
How to create a Retention offer that rewards loyalty points or store credits?
To create a cancellation offer that rewards loyalty points or store credits, follow these steps:
Navigate to Retain > Cancellation flows > Interventions > Retention offers in the Loop admin.
Click Create new offer.
In the Cancellation offer section, click + Add offer.
Select Add loyalty points (for example, Add Yotpo loyalty points, based on the connected loyalty app).
Define the number of points or store credits to be rewarded.
Save the offer to make it available in the cancellation flow.
How can I personalise the loyalty points retention offer message?
To personalise the loyalty points cancellation offer message, merchants can use the available personalisation variables in the offer details drawer. These variables help show the subscriber’s current and updated loyalty balance within the offer message.
To personalise loyalty points cancellation offers, you can also utilise the following variable examples:
to display the subscriber’s current loyalty points balance.
to display the updated loyalty points balance after the subscriber accepts the offer.
How do I set a minimum loyalty points requirement for Redeem Loyalty Points during cancellation?
To set a minimum loyalty points requirement for Redeem Loyalty Points during cancellation, follow these steps:
Go to Retain > Cancellation flows > Interventions > Reasons.
Open the cancellation reason where I suggest treatments during cancellation.
Under Suggest treatments when customers attempt to cancel, enable Redeem Loyalty points.
Click Edit threshold on the Redeem Loyalty points action.
In the configuration modal, enter the minimum loyalty points value required.
Click Confirm to save the setting.
This ensures the Redeem Loyalty Points option is shown only when a customer has enough points to use it.
The minimum loyalty points threshold controls whether the Redeem Loyalty Points option appears during cancellation based on a customer’s available points.
If a customer has redeemable loyalty points equal to or greater than the minimum set, they will see the Redeem Loyalty Points option.
If a customer has fewer points than the minimum, the Redeem Loyalty Points option will not be shown.
This keeps the cancellation experience relevant by showing only actions customers can actually use.
Customers do not see the Redeem Loyalty Points option during cancellation when their redeemable loyalty points are below the minimum threshold set for that action. To control this behaviour, you can set a minimum loyalty points requirement so the Redeem Loyalty Points option is shown only to customers who meet the required points while cancelling.
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