Service company

ThePhoneLab

Plan

Interprice

Mission

Tailor product recommendations and build long-term customer loyalty

Introduction

ThePhoneLab is a company dedicated to repairing smartphones and tablets, and high-quality accessories sales. Founded in 2017, it has established branches in Amsterdam, Haarlem, Utrecht, Den Haag and Alkmaar. As a committed problem-solver, ThePhoneLab puts customers’ satisfaction as the priority and aims to deliver white-glove solutions with its 5 promises in mind. Today, ThePhoneLab distinguishes its brand as a customer-centric service provider. The company’s business model continues to thrive and exert a positive impact on customers.

Problem statement

Despite success in building a strong brand image, positive reputation and a large customer base in the Netherlands, ThePhoneLab was facing three challenges. First, just like any other growing businesses, it is essential not only to attract new customers, but also to retain existing ones. ThePhoneLab was facing difficulties in customer retention and developing long-term loyalty with its previous clients. Second, ThePhoneLab would like an overview of structured information of its clients, such as purchase habits and top-visited stores. Third, ThePhoneLab lacks an efficient way to track touchpoints along the customer journey so that it could form prevention strategies correspondingly. To combat these barriers and accelerate growth, ThePhoneLab requires more in-depth insights into its current customers, especially their personal needs along the customer journeys. Therefore, to lower churn rates, ThePhoneLab decided to proceed with Churned's CLV & Next Best Action module.

“Reduce subscriber churn and identify segments.”

Retain existing subscribers while attracting new ones
Identify customers with different needs

Our strategy

Churned provided ThePhoneLab with a customer success solution that could enable the brand to scale personalized retention actions quickly. The process includes three steps. First, Churned machine learning engine identified new customer segments after analyzing customer and external data. Second, Churned was able to determine customers’ health scores for ThePhoneLab and churn risk levels based on a few key metrics, for example, “Date of last purchase”, “Channel of purchase (in-store or online)” and “Type of purchase/service”. In this way, ThePhoneLab was able to gain in-depth insights into its clients. Third, with Churned’s AI-driven “Next best action” module, personalized customer retention actions for ThePhoneLab were made scalable. For example, based on data of past purchases, what is the next best product to recommend, what is the best channel (online/in-store) and what is the most suitable approach. These insights allow ThePhoneLab to optimize customers’ lifetime values and build long-term customer loyalty. In short, Churned machine learning engine made it accessible for ThePhoneLab to target the right customer at the right time, and in the right way.

The results

  • 11% lower customer churn rate compared to last year’s.
  • An increase of 13% in accessories sales compared to last year’s (based on our product recommendations and corresponding marketing campaigns).
  • Developed and implemented new targeted A/B test email campaigns into their email marketing automations which optimized the customer engagement.

Curious what we can accomplish together?

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These experts worked on this case

Sjoerd van den Beukel

Data scientist

Francisco Blasques

Founder & CDSO

Charlotte Blankenberg

Senior Data engineer

Our happy clients

CEO

Johan Arensman

“Fortunately, our customers are very loyal. Sometimes there is unavoidable churn, but sometimes the reasons are less clear and churn could possibly have been prevented. Churned helps answer this. Thank you for the impressive work. Your results and analysis are the tools to further improve our customer success in the coming year.''

CEO  

Boris Blijham

''Together with Churned we’ve gained valuable insights into our customers and integrated those into marketing automation which resulted in a lower churn rate and in a higher customer lifetime value."

CEO  

Pieter Duijs

"Thanks to the product recommendations of Churned, we achieved automated personalization that increased the average order frequency, average order value and more returning customers."

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