Media companies can boost performance by developing customer retention processes, skills, and tools. Identifying and targeting high value customers, reducing churn, and increasing revenues per subscriber can all have a positive impact on top line revenue.
We help clients master approaches to customer lifecycle management (CLM), pricing, and marketing analytics that can reduce subscriber acquisition and retention costs and improve margins and efficiency.
What we do
We provide clients with unique diagnostics, models, and direct support to build organizational capabilities that generate sustainable value. Our work includes:
- Performing in-depth diagnostics and benchmarking organizational performance to better help clients identify areas of improvement.
- Collaborating with management and frontline employees to collectively create solutions and devise metrics to track performance improvements.
Examples of our work
- Helped a cable operator build skills and capabilities within its telesales force to focus more effectively on the product portfolio. We delivered training programs and tailored tools and resources, rolling out the approach across a distributed organization. Based on the success of the pilot region, the client anticipates increased revenue of $200 million per year.
- Helped a leading casino improve its customer relationship management (CRM) by strengthening customer services processes; this project was part of a larger effort to reposition casino properties to appeal to more valuable customer segments. Customers are now staying longer and spending more on their visits, resulting in a 10 percent increase in “same store” sales, compared to the 3 percent industry average. Over $30 million in wasted marketing spend was also eliminated.
Proprietary tools and solutions
McKinsey creates proprietary tools such as sector and customer databases as well as performance analytics that allow our clients to improve performance quickly. We also conduct primary industry research that generates fact-based insights for building subscription strategies. Such assets include:
- The Consumer Decision Journey, a proprietary methodology that disaggregates process by which consumers make purchase decisions. A 15,000-respondent survey quantifies the relative importance of touch-points, channels, and key buying factors in motivating consumers.
- iConsumer, a comprehensive survey of consumer behaviors across multiple digital platforms (high tech, media, telecom) and in multiple countries.