Find your most valuable customers and those at risk of leaving

Two numbers help you decide where to spend your sales and service effort. Customer lifetime value estimates how much a customer is worth to you over the whole relationship. Churn risk estimates how likely they are to stop buying. A valuable customer at high risk is the one to call today.

Open the page

1. Open CRM › Reports & Analytics › CLV & Churn.

The figures at the top summarise your customer base: Customers, Total CLV, Average CLV, At risk, High value and the Churn rate. Open Understanding this page: CLV, churn & customer health for a short explanation of each idea.

Calculate the figures

The figures are snapshots calculated from your sales invoices, so they appear only after a first calculation and should be refreshed after new sales.

1. On the Customer value tab, select Bulk calculate to calculate every customer, or Calculate for customer, choose the Customer and select Calculate for one.

2. On the Churn tab, do the same to calculate churn risk.

For a single customer you can also select Run analytics on the Lifecycle tab of Customer 360.

Customer value

The Customer value tab lists each Customer with the Predicted CLV, the Revenue so far, the number of Orders, the Avg order value and the value Segment. Sort by predicted value to see whom you cannot afford to lose.

Churn risk

The Churn tab lists each Customer with the Churn probability, the Risk level (Low, Medium, High or Critical), the Days since last order and when it was Last evaluated. The longer a regular buyer stays away compared with their usual rhythm, the higher the risk.

Retention campaigns

The Retention campaigns tab keeps the actions you plan to keep customers.

1. Select New campaign.

2. Type the Campaign name; it is required. Describe the Type (for example "win-back call" or "loyalty discount") and the Target segment (for example "high value, high risk").

3. Set a Discount % if the campaign offers one, the Start date and End date, and a Description.

4. Select Save.

Use Activate, Pause and Complete in the campaign's Actions menu as it runs. A retention campaign records the plan; to contact the customers, add them to a marketing campaign and send the e-mail or generate the calls from there.

How to use the results

• High value and high risk: personal contact from the account owner, this week.

• High value and low risk: keep the service level; ask for referrals.

• Low value and high risk: low-cost reminders or an automated offer.

• Combine with RFM segmentation, which shows the same customers by recency, frequency and spend.

Common questions

The page says there is no data yet. Run Bulk calculate on the Customer value and Churn tabs. Customers without sales invoices have nothing to calculate.

Why did a customer's value not change after a big order? The figures are stored snapshots. Calculate again after new sales.