The subscription-based business model opens up a realm of possibilities and challenges. Whether you’re just starting out or looking to grow, you’ve probably heard of “churn” – a term that might not sound very friendly but is super important to understand.
Churn, in simple terms, is when customers decide to say goodbye to your subscription service within a given period. It’s like throwing a party and noticing that some guests are leaving earlier than you hoped.
For side hustlers navigating this space, getting a grip on churn is crucial. Why? Because it directly affects how much money you’re making and how your business can grow and flourish over time.
Now, you might wonder why churn happens and why some guests at your party are heading for the door. There are a bunch of reasons. Maybe they didn’t find what they were looking for, perhaps there’s another more appealing party, or it could be that they just needed a break.
High churn rates can make it tough to maintain a steady income and invest in making your business better. It’s like trying to fill a bucket with water when there’s a hole in the bottom – you can keep pouring water in, but if you don’t fix the leak, you’ll never get the bucket full.
This week’s newsletter is your handy guide to understanding churn – why it happens, how it impacts your business, and what you can do about it.
We’re going to share some actionable strategies to help you keep your guests partying with you for longer, ensuring your subscription model not only survives but thrives.
So, let’s dive in and turn those goodbyes into “glad to stay” with some smart moves that will make your subscription service the place to be!