Aug 26
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   Why Customers Leave - Preventing Subscription Cancellations - BMT Micro

Subscriptions are a great way to offer customers a simple and hassle-free shopping experience that extends much further than a one-time transaction. This strategy helps attract more customers, retain them for a longer period of time, and ensures they get billed regularly for a more consistent cash flow. In fact, 80% of future revenue is likely to come from 20% of current customers if you run a subscription business (Bain & Co).

Overall, subscriptions are based on customer retention, not conversion. The majority of revenue is made by continuing to sell to the customers who stick with you. But, keeping customers is still a common struggle for many subscription businesses today.

There are various reasons why customers decide to cancel their subscription and it can happen on a whim. Whatever the reason may be, the main issue businesses need to focus on is when customers leave your business; it can crush your revenue.

So, how can a business avoid this and prevent subscription cancellations?

Don’t Focus Too Much on Acquisition & Deliver Value To Subscribers
Acquiring new customers is great for growth, but keeping them is far more important. Research shows that 72% of subscription customers don’t renew within 6 months of their initial transaction. To avoid this, a business should be proactive and remind customers of the value that you offer. This doesn’t necessarily mean adding new features or service; it can be as simple as reminding subscribers of how your product benefits them and why they chose it in the first place.

Communicate Regularly
Sometimes customers cancel a subscription simply because it has gone unused. Buying a subscription is not the same as actually using it. If you aren’t engaging with your customers, especially immediately after signup, they may never become active users. This why it’s extremely important to engage with customers on a regular basis and educate them on the value they can get from using your product.

Always Be Improving & Stay Ahead of the Competition
When a customer leaves and goes to one of your competitors, it means they offer something your business does not. It could be lower pricing or more features, but either way, the competition is doing something better than you. When this happens, a business should focus on finding out what that is and address it. You should examine what features the competition offers and see if you can offer the same or even better. It’s important to be constantly innovating and adding more value to your offering to keep customers engaged and active.

Running a subscription business is sustainable and beneficial if it is done correctly. If you focus on customers’ needs and delivering consistent value, your business will have no problem keeping customers around.

Here at BMT Micro, we also provide all the tools a business would need to run a successful subscription program. Your customers can sign up for your subscription using a credit card or PayPal and we will take care of rebilling them when necessary so you can concentrate on other business needs. If you would like to learn more about our services and offerings please contact our vendor services at vendors@bmtmicro.com for more information.

Aug 19

Google’s New Expanded Text Ads

Posted by BMT Micro

Reading Time: 2 minutes

  Google's New Expanded Text Ads - BMT Micro

At their Performance Summit this May, Google announced what they are calling the “biggest update to ad creative since the introduction of AdWords more than 15 years ago.” With mobile usage rates steadily on the rise, Google has transformed standard text ads with the, now live (as of July 26, 2016), Expanded Text Ads. This new update is designed to cater to the multi-screen world we live and increase efficiency and effectiveness across all devices.

What’s Been Updated
One thing that has remained constant in Adwords over the past 15 years is the 25-35-35 character rule in text ads. But now, Google has redesigned Adwords with new character limits that provide more space for users to utilize in text ads.

The new character count for Expanded Text Ads is 30-30-80, and consists of:

  • two headlines, each with 30 characters of text; and
  • one long description line of up to 80 characters

Another updated feature that gets less attention is the two optional 15-character path fields for the display URL. Ads will also display the same on desktop and mobile, but the text will automatically wrap to fit the size of a user’s device. Essentially, Google’s redesign is aimed to create a consistent experience on both desktop and mobile.

What’s Will Happen to Standard Text Ads?
Starting October 26, 2016, the creating and editing of standard 25-35-35 ads will no longer be supported in Adwords. Users will only be able to create and edit text ads using the expanded text ads format after this date. Until then, both standard and expanded text ads will run alongside one another until the date approaches. After October 26th, any existing standard text ads will continue to run until dismissed.

According to Google, AdWords users are expected to A/B test expanded texts ads for the next few months. This will allow users sufficient time to test standard and expanded ad formats against each other for proper optimization.

New Opportunities with Expanded Text Ads
While it might sound like a hassle to have to rethink copywriting fundamentals, one of the biggest opportunities expanded text ads bring is testing brand new strategies for ad copywriting. With 45 additional characters, Adwords users can place more information in texts ads to drive better performance. Now, it is also possible to make ads sound more natural and conversational.

Like it or not, this change is here and time is already running out. Adwords users that take advantage of this new opportunity will be ahead of the competition when Google requires migration to this new ad format. What’s more, Google even recommends that AdWords users take advantage of expanded text ads as soon as possible, especially with the holiday season right around the corner.

Aug 12
Reading Time: 2 minutes

  The Rise of Multi-Device Consumers - BMT Micro Inc.

Over the last few years, there has been a major shift in how consumers browse, research and ultimately buy items online. With smartphones, wearables, tablets, laptops, and desktop computers, consumers have become hyper-connected, cross-device shoppers that browse and buy across all devices. According to Google, 65% of consumers start a purchase on their smartphone but complete the transaction on another device (33% of desktop transactions involve browsing on mobile prior to purchase). This is why it is important to understand the distinct patterns of how, when and why consumers reach for certain devices when browsing and making purchases.

Measuring all digital touchpoints
Today, online shopping experiences and purchase decisions are spread across multiple digital touch points throughout a consumer’s entire day. For instance, it’s not uncommon for someone to see a commercial for a product on TV, look up information about the product on their smartphone, and then switch to their laptop to make a purchase. But, these are also critical touch points for a business to understand where and how consumers convert. For example, a business should look at things like the device a consumer is originally targeted on and the device a purchase was made from. This will help identify what’s working and what’s not in a cross-device strategy.

Offering a Seamless Experience
It is becoming vital for businesses to deliver a consistent and seamless experience as consumers move between devices. According to the Adobe’s Get Personal study, nearly 8 in 10 consumers (79%) report switching devices some of the time when engaged in an activity; two-thirds (66%) of device owners find it frustrating when content is not synchronized across devices. To avoid this, businesses should focus on consistently identifying consumers as they move from one digital experience to the next. This also helps ensure businesses deliver the right message no matter when or where a potential customer may stumble across their product or service.

Multi-device consumers bring new opportunities for businesses to engage consumers and drive revenue growth. By understanding a few basic concepts, businesses can capture an entire consumer journey and relate it back to a single user. This is a massive opportunity for businesses to better understand consumers behavior and effectively reach them across all devices.

Aug 5

Creating an Effective FAQ Page

Posted by BMT Micro

Reading Time: 2 minutes

 Creating an Effective FAQ Page - BMT Micro

Even in this era of social media and constant connectivity, a Frequently Asked Questions (FAQ) page is still one of the most valuable and powerful tools for online businesses. When used correctly, it can offer tremendous value to consumers by creatively answering their questions. It is the perfect place to alleviate purchasing anxieties and position a business as a trusted resource.

A FAQ page builds goodwill with consumers, improve the efficiency of customer service, and even boost conversions. But, a good FAQ page requires a bit of planning and know-how to keep consumers satisfied.

Word Choice Matters
Consumers want to find answers without the hassle of having to dig through a big block of text to find it. Focus on clear communication. Answers on a FAQ page should be written in a simple language that is straight to the point and easy to understand. A business should also avoid using technical language, jargon or unnecessary details.

Organization is Key
A FAQ page should be skimmable and easy to navigate so visitors can jump immediately to what they are looking for. It is best practice to group questions by topics or provide a duplicate list of the questions at the top of the page to serve as a table of contents. This increases efficiency for visitors and also helps answer any additional questions they may not have had yet.

Next Steps
When designing a FAQ page, it is important to keep in mind that it should not be the last page consumers visit. Connect FAQs with unique next steps that link to relevant pages or pieces of content that move consumers forward in their purchasing journey. For example, an answer to a FAQ could list different platforms an application is available on and include the download links to each.

The FAQ page is often an afterthought for many online businesses. But, when it is given the proper attention, it can help show transparency and trustworthiness. When used strategically, a FAQ page presents a unique opportunity to directly address consumer concerns and eliminate obstacles on the path to purchase.