{"id":476,"date":"2006-12-04T08:20:03","date_gmt":"2006-12-04T14:20:03","guid":{"rendered":"http:\/\/selectmetrix.com\/blogs\/?p=476"},"modified":"2006-12-04T08:20:05","modified_gmt":"2006-12-04T14:20:05","slug":"customer-retention-rate","status":"publish","type":"post","link":"http:\/\/selectmetrix.com\/blogs\/2006\/12\/customer-retention-rate\/","title":{"rendered":"Customer Retention Rate"},"content":{"rendered":"<p><a href=\"http:\/\/www.twincities.com\/mld\/twincities\/business\/16157836.htm?source=rss&#038;channel=twincities_business\" target=\"_blank\">Starbucks card brings sales reward<\/a> caught my eye first because I have a tremendous coffee addiction and read almost any article I find regarding coffee shops. Second, there is an amazing statistic inside of the article:<\/p>\n<blockquote><p>Most major retailers have been offering gift and loyalty cards for years, but industry observers say few have seen so many of their customers hang on to them as long, use them as often and reload them as regularly as they do at Starbucks.<\/p>\n<p>Almost one in eight customers pays with a Starbucks card these days, Stark noted. About 96 million Starbucks cards have been activated in the United States and Canada since November 2001, and customers have <strong>reloaded their cards about 38.6 million times<\/strong>, bringing in $2.17 billion in revenue.<\/p><\/blockquote>\n<p>1 in 8 customers use a loyalty card at Starbucks. Now that <em>is<\/em> customer loyalty. The stat would not be as notable except that the company has brought in over $2 BILLION in sales in the past 5 years through this payment option. $4 lattes certainly help reach that statistic, but the program is an obvious success.<\/p>\n<p>When we define a sale in our hiring process, one of the key pieces of information we collect is expected customer retention rate. Obviously, most companies target 100% retention, but that is rarely the case. Understanding the retention rate is only the first step in understanding the company&#8217;s customer focus.<\/p>\n<p>The second step is to understand if the salesperson is responsible for the daily\/monthly\/yearly interactions with the customer to maintain the account. No salesperson can walk away from any customer they close, but their level of interaction with the account clarifies the amount of time they can spend chasing new prospects vs. servicing existing customers. If the customer is handed over to an inside team, their abilities to maintain and expand a customer account must also be considered.<\/p>\n<p>Customer retention is a multifaceted, complex aspect of any business. Starbucks employs a wildly successful program to retain their valued customers in a highly competitive market. What programs, teams or strategies does your company employ in not only keeping, but expanding your existing customer revenue stream?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Starbucks card brings sales reward caught my eye first because I have a tremendous coffee addiction and read almost any article I find regarding coffee shops. Second, there is an amazing statistic inside of the article: Most major retailers have been offering gift and loyalty cards for years, but industry observers say few have seen so many of their customers hang on to them as long, use them as often and reload them as regularly as they do at Starbucks. Almost one in eight customers pays with a Starbucks card these days, Stark noted. About 96 million Starbucks cards have been activated in the United States and Canada since November&hellip; <a class=\"read-more\" href=\"http:\/\/selectmetrix.com\/blogs\/2006\/12\/customer-retention-rate\/\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"bgseo_title":"","bgseo_description":"","bgseo_robots_index":"","bgseo_robots_follow":"","_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[16,9],"tags":[],"class_list":["post-476","post","type-post","status-publish","format-standard","hentry","category-hiring-salespeople","category-sales-techniques"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p5Oho-7G","jetpack-related-posts":[{"id":1296,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/11\/starbucks-statistics\/","url_meta":{"origin":476,"position":0},"title":"Starbucks Statistics","author":"Derrick Moe","date":"November 17, 2007","format":false,"excerpt":"As a complete coffee addict, I found these statistics about Starbucks remarkable: Starbucks's closest competitor in the coffeehouse market, Caribou Coffee, is just one-twenty-fifth its size. Every 10 weeks, Starbucks opens as many stores as the total number of Caribou outlets. Starbucks has had 14 straight years with at least\u2026","rel":"","context":"In &quot;Anecdotes&quot;","block_context":{"text":"Anecdotes","link":"http:\/\/selectmetrix.com\/blogs\/category\/hiring\/anecdotes\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":912,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/05\/coffee-culture-marketing\/","url_meta":{"origin":476,"position":1},"title":"Coffee Culture Marketing","author":"Derrick Moe","date":"May 11, 2007","format":false,"excerpt":"I graduated with a degree in psychology and I have a coffee addiction so abcnews.com's article was irresistible: Starbuck's Psychology. The article points to some specific, subtle marketing principles incorporated by the ever-expanding Starbuck's chain: It has everything to do with the marketing strategy behind this designer coffee chain, which\u2026","rel":"","context":"In &quot;Marketing&quot;","block_context":{"text":"Marketing","link":"http:\/\/selectmetrix.com\/blogs\/category\/marketing\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":403,"url":"http:\/\/selectmetrix.com\/blogs\/2006\/10\/a-latte-in-every-cubical\/","url_meta":{"origin":476,"position":2},"title":"A Latte In Every Cubical","author":"Derrick Moe","date":"October 30, 2006","format":false,"excerpt":"Good news to start your Monday - Starbucks has a stated goal to reach 40,000 stores worldwide. Although I am much more of a Dunn Bros. fan, I am all for more coffee shops. We may have to consider moving Select Metrix headquarters to this building: The people who work\u2026","rel":"","context":"In &quot;General&quot;","block_context":{"text":"General","link":"http:\/\/selectmetrix.com\/blogs\/category\/general\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":756,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/03\/756\/","url_meta":{"origin":476,"position":3},"title":"Espresso U","author":"Derrick Moe","date":"March 16, 2007","format":false,"excerpt":"We are coffee house aficionados as I have mentioned in previous posts. One of my goals is to be a barista some day. Now a Pioneer Press article describes a coffee university - Enrollment grows at Espresso U. I now have a new motivator! In case you doubted the appeal\u2026","rel":"","context":"In &quot;General&quot;","block_context":{"text":"General","link":"http:\/\/selectmetrix.com\/blogs\/category\/general\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":780,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/03\/coffee-snobbery\/","url_meta":{"origin":476,"position":4},"title":"Coffee Snobbery","author":"Derrick Moe","date":"March 28, 2007","format":false,"excerpt":"From CareerJournal.com comes an important article revealing a new trend - Gourmet Coffee Becomes An Unwelcome Office Perk: Of people who drink coffee at work, the percentage that drink the in-house brew dropped to 52% last year from 64% in 2003, according to the National Coffee Association, an industry group.\u2026","rel":"","context":"In &quot;Trends&quot;","block_context":{"text":"Trends","link":"http:\/\/selectmetrix.com\/blogs\/category\/hiring\/trends\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":1274,"url":"http:\/\/selectmetrix.com\/blogs\/2007\/11\/information-is-money\/","url_meta":{"origin":476,"position":5},"title":"Information Is Money","author":"Derrick Moe","date":"November 7, 2007","format":false,"excerpt":"One thing that consistently stands out in sales is the ability to gather information. I'm not talking about personal information like family, home, education and the rest. That information is important for building rapport, but many salespeople (i.e. schmoozers) never move past that level. The national sales team with whom\u2026","rel":"","context":"In &quot;Sales Management&quot;","block_context":{"text":"Sales Management","link":"http:\/\/selectmetrix.com\/blogs\/category\/sales-management\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_featured_media_url":"","_links":{"self":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts\/476","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/comments?post=476"}],"version-history":[{"count":0,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/posts\/476\/revisions"}],"wp:attachment":[{"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/media?parent=476"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/categories?post=476"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/selectmetrix.com\/blogs\/wp-json\/wp\/v2\/tags?post=476"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<!-- WP Super Cache is installed but broken. 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