Challenge: Upgrading the customer’s credit card auto-renewal process.

A common problem for subscription service providers is customer credit card issues resulting in increased churn and reduced renewal billings and rates. Customers change credit cards and billing addresses, funds can temporarily be low, and credit cards expire regularly.

Solution: Prompting customers to update their credit card information.

Having up-to-date and accurate customer credit card information is critical for any subscription provider. Our main hypothesis was that the biggest issue was expired credit cards and that if the subscription provider could get their customers to update their information, the auto-renewal process would improve and billings increase.

Together with our client, we worked on setting up personalized emails on Marketo to send to customers 4 to 5 weeks prior to renewal, prompting them to update their credit card information.

By identifying the potential credit cards about to expire before the subscription renewal date and then reminding the customers to update their credit card info, the subscription provider substantially improved overall renewal rates.