We’ve been thinking a lot about how to increase the length of time a client stays with us.
A new client begins our lead generation services on a 3- or 6-month contract and afterwards they go month-to-month. This system has been going well and almost all clients continue for several months after their contract expires. In fact, average Lifetime Value (LTV) has grown every month this year. A huge factor in our increased client retention over the past several months has been our Customer Success Manager, Bryan Temin, who joined the team in June.
Bryan has his finger on the pulse of every client account and possesses a unique ability to break down complex strategies in an understandable way. He’s talking to each client on a monthly basis and is continually analyzing their outreach strategy for optimization. So simply enough, better results for clients have led to higher retention.
However, there are clear business advantages to having a client renew their contract instead of going month-to-month. After extensive research on how other subscription-based companies structure their contracts, we implemented two more options for clients upon completion of their contracts. Here’s what we landed on:
- 3-Month Contract Renewal – NEW
- 12-Month Contract Renewal – NEW
To make the contracts more enticing, both come with two free add-on services, and the 12-Month renewal also includes a free month of service.
Our expectation is that these incentives will drive an uptick in contract renewals and an even higher average LTV. We’ll keep watching the data to see the results!