CHURN PREVENTION

ADVANCED ANALYTICS – H1 & H2 2017

Industry: Automotive
Founded: 1937

Turnover: EUR 217.3 bn.
Employees: 626,715 (Group)

«With an intelligent campaign selection, we can accomplish so much more with any given budget than ever before.»
Sandra Grau, Head of Marketing VW Switzerland

THE CHALLENGE

  • Following the Diesel scandal, VW was confronted with a large number of potential churners
  • At the same time, the brand still had many loyal, long-term customers
  • VW was looking for effective customer loyalty measures to prevent further churn

OUR SOLUTION

  • Predictive modeling (modelled churn probabilities) in the customer base identifies critical customers at an early stage
  • Retention measures can thus be executed and tailored to those customers who are at risk

ADDED VALUE

  • People on the brink of churning are contacted in a targeted and timely manner
  • VW reduces its churn rate in the double-digit percentage range
  • A tailoring of the marketing measures according to cost/risk/benefit considerations enables an optimal use of the marketing budget and an implementation within the predetermined budget