¿Cómo puedes utilizar el Análisis de Cohorte de Shopify para reducir la rotación de clientes?

We all want to make sales through our marketing strategies but let me tell you that the true success of marketing or business growth is customer retention. Besides, customer retention should be a top priority for any marketer/ business.

It doesn't matter how many clients you get if none stick around—retention hacking is the new growth hacking. 

Measure your marketing success with the Customer retention metric

There are many reasons why your company's retention strategy should be high on the priority list. To begin with, the cost of getting a new customer is five times that of maintaining an existing one. Additionally, organizations with low customer retention will quickly run out of new customers and finally enter a negative growth phase.

However, in a market where consumers can find a plethora of options with a single Google search, how can you build customer loyalty/retention? We will discuss data analytics techniques such as Shopify cohort analysis to simplify your Shopify business growth strategies. 

One of the effective ways to measure retention is through cohort analysis- implemented via Shopify subscriptions API, which involves analyzing different groups of your customers. Shopify cohort analysis helps you reduce churn by utilizing behavioral data from your Shopify store. 

The cohort analysis - the classic feature in Google Analytics is the antidote to most of your business growth analysis issues (limited time and misleading vanity metrics). 

Also, the cohort analysis report is one of Google Analytics's most underutilized features. Why is this so? Because it allows you to isolate the impact of your various marketing activities on a specific group of recipients rather than being influenced by noise in the data.

The simplest way to run a business experiment is through Shopify cohort analysis. As a marketer/ Shopify merchant, you may run a time-bound campaign with specific characteristics you want to test, such as ad content, marketing channel, target audience, landing page design, and so on.

You can later compare metrics for reach, engagement, and conversion for these various marketing campaigns to determine which campaign elements added value to your business and which did not.

The Shopify cohort analysis for subscription:

Long-term success for Shopify store owners like you entails getting people to buy your product and getting them to return. To get to the must-have value proposition of your products, you must look beyond vanity metrics like download counts and even daily active users (DAU) / monthly active users (MAU), which only measure growth and retention superficially.

In the case of a Shopify subscription offering, it is critical to determine how a cohort of customers acquired during a given period renews their memberships over time.

By examining renewals across consecutive subscription periods, you may determine how effective your products are at maintaining subscribers. When you know how many subscribers renew their subscriptions on average in each subsequent period, you may calculate the Lifetime Value (LTV).

Shopify cohort analysis -  implemented via Shopify subscriptions API,  provides insight into a critical element for calculating LTV – subscriber retention. HulkApps Shopify Subscription APIs - Cohort tracking enables you to go beyond the barrier and create dynamic, revenue-generating experiences for your consumers.

Subscription businesses are most effective when you thoroughly understand your customer's behavior from the moment they visit your Shopify Store until they complete their subscription experience. However, it is noted that just as new people subscribe to your content, long-term subscribers may discontinue their subscriptions.

This isn't because your product is valued less by existing customers; it is because of the options you provide for an existing customer to continue their subscription. We need to understand the existing customer's checkout experience and deliver accordingly to retain the customers. 

In love, we face breakups. In business, we face churn.

The idea is the same. Simply said, subscription churn occurs when a consumer decides to end their engagement with your shop, typically by stopping or canceling a subscription or membership. And the best part of this is cohort implementation -  implemented via Shopify subscriptions API, is that you can easily know where things started going sideways.

Wouldn't it be exciting to have such technology in our human relationships and avoid all the misunderstandings? I know that 90% of people will agree to it, but for now, we have to depend on our memory and not on the cohort. Whereas for your business, customer retainer strategies, or understanding, you have HulkApps. 

Shopify Subscription churn is simple to understand but surprisingly complicated to calculate. For example, you may have three categories of clients in any given month: renewals, new sign-on, and those who leave. And for a change - the new client's churn rate is higher than the existing ones. Once you understand this with Shopify subscription Cohort tracking and analysis  -  implemented via Shopify subscriptions API, you can easily build up renovation offers that sign-up offers. The way you strategize will directly impact the rate of growth of your organization, and it can skew outcomes.  

Important Note: When defining subscription churn, you must be specific. Churn can occur when a subscription expires or when users cancel and are technically unsatisfied.

Your Shopify stores contain a lot of information on your customers, operations, costs, and finances. And, by leveraging Shopify subscription APIs for cohort tracking, you can delve further into data about your customers' activity and compute your store's retention and churn rate.

Consider subscription churn by cohort

Whenever you face churn, you need to focus on various factors such as 

1. Is your checkout churn more? If yes, what do factors( the month of purchase, source of acquisition, and the number of months of subscription) affect? 
2. As many weight reduction programs do, do you face a higher checkout churn rate in January than in June? Or 
3. Do new subscribers referred by existing subscribers have a higher retention rate than those who come for the sign-up offer?

Our Shopify cohort Analysis/tracking implementation using Shopify Subscription APIs is beneficial to analyze cohorts separately by country, subscription duration, marketing acquisition channel, and other parameters. Also, you can avail actionable insights by observing customer behavior. 

Cohort Trackers are simply the tracking tools to track your subscription offering for every one of your products. By allowing HulkApps to implement Shopify cohort analysis/tracking using Shopify Subscription API at the checkout, you will be able to decide whether the subscription strategy for that product is emerging, developing, or secure. That said, it gives you a good indication of which stage your customers lose interest in subscribing to your products. 

A Shopify cohort analysis/tracker is critical for highlighting individuals' needs and ensuring that the weekly planning is well informed fully of relevant activities that are challenging yet achievable. Business growth experts often want to see how each product performs and how it supports the user's needs. By directing them/ using the data provider by the cohort tracker, you can draft up new strategies for your products. 

Conclusion

Customer turnover is an essential metric for small and large businesses. Reduced subscription customer churn begins with slicing and dicing your Shopify subscription churn data to determine who is churning, why churning, and when and where churn occurs. A subscription churn reduction strategy becomes more accessible and more effective when you have a customer-centric subscription framework and a robust analytics tool in your arsenal.