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May 25

It’s Broke. Let’s Fix It.

Posted by Jennifer on Saturday, May 25th, 2013 and filed under Blog Posts, Featured

Musty ol’ customer retention models don’t work with today’s mobile masses. Recurrable’s GimmeAnother app gives the power back to the purchaser. Let’s take a look at the two most common ways for baiting consumers and discuss how these methods actually punish your loyal following rather than rewarding them with reorder convenience.

1. Subscription models only serve to encourage canceled orders. “Consumers drop out of subscription services sooner rather than later, not because they dislike your product but because the quantity and timing elements don’t match their needs,” says Jon Roketenetz, Recurrable’s CEO. “Recurrable allows your company to hand the simplest possible ‘reorder now’ button to the consumer and put him or her in complete control.”

2. Third-party daily discount deal sites overwhelm the retailer with new and fickle consumers while potentially giving loyal customers the shaft. Andrew Figgins, Recurrable’s CTO, shares an example: “I took my wife out for her birthday to our secret dinner place. It’s never too crowded,” he says. “But on a Tuesday night, it was suddenly swarming with people trying to use up their about-to-expire daily discount deal. The restaurant turned us—a pair of loyal customers—away at the door. Meanwhile, coupon groupies devoured the restaurant’s linguini and ate into its profits, taking advantage of a 70 percent discount. We never went back. And not long after, the restaurant closed.”

As a retailer, you might be tempted to entice consumers with slashed prices, but think about the kind of customer influx that encourages. Probably not the people who’ve been buying your product for years, but rather a group of flaky folks that won’t hesitate to switch brands the next time they see a glittery 75 percent off. Ask yourself if it’s worth the trouble. On the other hand, if you give your fans the power to purchase when they want to with ultimate ease, they won’t bother with the competition—no matter the flashy sale.

Recurrable’s GimmeAnother app treats your faithful consumers with the respect they deserve. Don’t insult them with the “jelly-of-the-month-club” mentality. They know what they want. Just give it to them.