This Premium feature has also been around for some time inside Zaxaa, but not many are aware of it…
If you sell a subscription/recurring product or service, do you know your Average Retention Rate?
Average Retention Rate simply means on average, how long a customer stays with you. Knowing this number will allow you to know how much you can spend on acquiring a customer without going negative.
For example, let’s say you sell Fitness Membership Site where you charge members a monthly fee. By joining your membership site, they get access to your step-by-step tutorials, strategies, tips and tricks, and a members-only forum.
Some members stay for more than a year. Some more than 2 years. Others stay for 6 months. Yet there are others who leave even before 1 month.
So what is the Average Retention Rate?
You can calculate it manually by hand, but that would be a hassle and time-consuming.
With our Average Retention Rate feature, you can INSTANTLY know your number, like this:
Once you know your Average Retention Rate, e.g. 5.3 months, you can then calculate how much a member is worth to you. Say they’re paying $50 a month, in this case each member is worth $265.
You then know not to spend more than $265 to acquire a new member. If you spend $100 to get a new member, your profits is $165 per member, etc.
To know your Average Retention Rate, simply go Product Stats page (reports >> my product stats) and you’ll know your Average Retention Rate INSTANTLY!
This feature is only for Premium Automation users only. If you’re not yet a Premium Automation user, simply upgrade your account and you’ll be able to enjoy this feature plus other cool features plus save thousands of dollars in Zaxaa fees.