Why your clients churn: Data from 200K clients


Data from 200K clients showing why marketing service providers lose business

This study gets to the core issues of why clients leave their marketing service providers and what you can do to retain them.

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Key findings in this study:

  • Identifying the needs of SMBs with needs-based selling and providing relevant solutions increases client retention by 30%.
  • Upselling has the highest impact on the lifetime of your clients at the 3-month mark, indicating that early re-evaluation is important. Conversely, 62% of clients that were not upsold within the first three months churned within 2 years.
  • Selling an SMB 1 product has a retention rate of only 30% after 2 years. Selling that SMB just 1 more product showed an increase in retention rate of nearly 20%, while selling an SMB 4 products shows a retention rate of 80%.
  • Understanding and serving the unique needs of an industry will improve retention. Vertical-specific marketing providers have 34% higher SMB retention after 3 years than non-vertical sellers, a 38% increased retention rate compared to SMBs who do not.
  • A proper onboarding is key to retention. The sooner that clients engage with the solutions they have purchased, the higher their retention rate. Clients who engage weekly have a 26% higher retention rate than those who do not.
  • SMBs who receive regular proof of performance reports have a 38% increased retention rate compared to SMBs who do not.

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