To preserve profitability, your software company has to do what it can at churn reduction without falling into common dark patterns used by unscrupulous software companies.

How to Reduce Churn

Churn reduction is a fascinating and technical topic and we will not go into a ton of depth here. However, there are a few pointers to note:

Engage the customer

During cancelling process, ask they why they are leaving. Churn feedback is among the most important for your team.

Answer objections in real-time

Sometimes customers leave for easily correctible reasons. If their reasons fall into these categories, repitch your product in real time and see if they will stay.

Offer discounts

Especially if it’s a pricing issue

Offer a pause

Customer acquisition is expensive, its much more efficient to offer churning customers a pause.

Don’t make leaving too hard

This will result in the opposite of virality: negative word of mouth.

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