Framework to manage Churn. case study on dropbox downgrade experience

Downgrade Experience reviewFollow @Sam_kr6

©2017 @Sam_kr6 Proprietary. For educational purpose only, not for distribution.

Contents• Guiding Principles

• Overarching strategy

• Downgrade experience ( Pre Downgrade, Downgrade & Post downgrade

• Supporting material

What is C


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Guiding Principles and Overarching strategy


If a user ‘really’ wants to leave…let them breeze throughMake the process as easy as possible

• As a Product company and customer champion our job must be to help users do what they want to do in the easiest possible way

• Remember a customer who is leaving now is still a future customers:

• Treat them with dignity, • Delight them with product experience. Make a good last

impression• Make them realize the value of the product, so they miss

you and come back

Don’t be an example like LinkedIn


Downgrade experience starts before users click ‘cancel subscription’

User is hooked into the product

Pre downgrade stage: Getting disengaged with the product

User Onboard

Downgrade experience

1

▪ Make it a delightful customer experience

2 3 4

▪ Lets keep looking for any sign for dis engagement

▪ Customer segmentation and predictive modeling to understand who is going to churn, why it’s going to churn and when it’s going to churn▪ Service, educate and influence customers in all customer touch points – email, Account servicing, notification

Post downgrade experience

▪ A lost customer is a future customer

5

User reactivates

6

Sign-upCustomer Lifecycle Downgrade experience

2


The best downgrade experience is the one that is rarely usedDo everything possible to make sure users don’t come to downgrade flow

Upsell

Cross-Sell

Pro Active triggers for churn

Goal Framework Channels & overarching strategy

Channels: All available customer touch point

(Account servicing, Notification, Email, Display

Customer segment: Segments ( based on usage, need,

potential, responsiveness)

Overarching messaging philosophy:

The hook framework for building Habit forming products


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Pre-downgrade experience: lets be pro-active rather than reactiveUsers keep telling us of their intentions through each interaction with our product. We must listen to them and develop churn strategy accordingly

Understand user behavior Execution

Basic analysis: Do we have a strategy for a users who has not logged in last

one quarterFor a users who using product every week, has not logged in for

a month

SegmentationSegmentation based on product usage and likeliness to churn:

Are you the top user of the product, are you reducing your usage of the product ( trend analysis)

Are you active with other products also, how do you compare with other users

1

Churn model and User research▪ Churn model:

▪ probability of churn for each customers, ▪ what time they are going to churn ( Survival model)▪ Developing understanding of why would they churn

2

Strategic hypothesis▪ Coming up with hypothesis

to for contextualized messaging, product

experiences, communication and

notification

A/B testing

▪ Testing the hypothesis

▪ Testing the messaging▪ Testing the messaging * User segment combination

Execution and Iteration

▪ Execute the winning variant

▪ Iterate on the idea

0

2 3

1


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Downgrade experience: Optimization Opportunity


Optimization ideas on the downgrade flow

1. The good: Smart to ask users why they are leaving and personalize experience based on it1. It’s not easy to

understand intent of the user really well

2. In most of the cases, users know the intent behind their action more than we can know from data

2. The bad: no focus on re-enforcing good user behavior when users click s on ‘keep subscription’. Reward behavior with at least a thank you

3. The Ugly:©2017 @Sam_kr6 Proprietary. For educational purpose only, not for distribution.

1. Not very intuitive

2. Can we personalize it? We show real files and folder she might have to delete and forego

3. We can have personalize messaging based on users usage – ‘ad of google photo’

4. How do we play with Social proof

1. Visual way to show decrease in space from 1TB = 1000GB to 2GB

2. Play on CTA: Rather than telling users that you are changing mind to go back to Plus – can we try “ I still want to keep Drop Box Plus

3. Testing with ‘You are free to go, Tanya, but ’ In place of ‘before you go’. French study: users are more willing to comply when they have option

1. Can we show drop box Plus badge here.

2. Can we position Dropbox plus as a badge, ‘Account verified’ ‘account secured’ kind of tag…that user would loose after downgrade

3. Lets play with the idea of exclusivity. With downgrade users are loosing club membership

Landing Page 1


1. Security features are emphasized, but I would like to try an small lock ( open symbolizing loss of security features) visuals there?

2. Testing on order of feature, making the header of feature as bold

3. Showing it compared to drop box basic…what users are loosing

1. Pretty standard CTA for downgrade flow

2. Would like to show all CTA with same emphasis

3. But, assuming CS support, and modify the plan are the reason users are here…would like to keep it as moving CTA that should be visible above the fold also..

Landing Page 2


1. Very clean image and message, but if it’s being used for long time… we can test with a representaive image of customer service or engineers working on hard problems

Step 2.0


1. Testing on the order of the options

2. We need to somehow convey that once user chooses one of the option, the confirm downgrade CTA would be available. Some customers might get confused.

Step 2.1


1. Once the user have chosen it’s too expensive…messaging the product is cheap might be little arrogant for some users. - can we rather tell, the value product provides is way above $10

2. Modify to annual plan is a smart strategy....

3. Can we say we cant reduce the price of product as it’s expensive for us to maintain...but we sign-up for annual plan and get a free t shirt?

4. Are you sure? The prices are going up...sign up for annual and save money ( Play on scarcity)

1. Keep playing with all influencing strategy

Step 3.0

1. 50GB/100GB for $2 for limited time, and only for you - like google drive or Onedrive ????


1. Play with personalized and contextualized images…2. Play with how much money users would save with annual plan3. Show in percentage terms or absolute values....show in bar charts....

Step 3.1


1. Play on messaging, otherwise it looks good

Step 4.0


1. Good play on social proof. Can we personalize and contextualize social proof based on users behavior…or look alike customer who uses dropbox exactly like her, but just slightly more

2. Or freinds/influencer from social network

1. Show secure lock, the badge of security…. On the other side we can show open lock

Step 4.1


1. Need to make the page more juicy, after getting understanding why users might be choosing competitors over drop box.

2. Wield all weapons of influence to stop the customer from going

3. Put a link on ‘learn more about drop box by talking to customer care

Step 5.0


1. Show secure lock, the badge of security…. On the other side we can show open lock

Step 5.1


Post downgrade experience

1. No charge if users downgrades the same day it upgrades


Framework to manage Churn. case study on dropbox downgrade experience

Marketing

Transcript of Framework to manage Churn. case study on dropbox downgrade experience