Retention is the key word in a world filled with subscription models where you can get everything delivered per month. It’s all coming down to brand loyalty which creates customer succes. To have customer succes with your experience, it’s becoming very important to attract the right customer and to have him stick around. He’s future value (customer lifetime value) is more important than his acquisition cost. So instead of focussing on acquiring as many customers as possible, you need to focus on attracting the right customer and keeping him for as long as possible.
Onboarding of that customer is key in this model! The want to make sure that your customer is the right one. If you look at Apple Music for instance, they run you through a start menu where you (organically) select what you like. That way they make sure that they deliver the right music, and create a customer success. It might sound weird going to a start-up menu first or through a manual, but this is key for customer succes in the long run! This also means that you don’t need to acquire everybody! What you offer is something your customer needs, desires and has capability of. If all three are not present, long term retention is hard.
Your GenZ customer lives in this subscription world. On average they have one 100 dollar worth of subscriptions running each month. To create GenZ succes in this model, authenticity is very important. Brands need to know what they stand for, and align that over the company, sales funnel and experience they offer them.
Yes, GenZ is still a digital (mobile) first generation, but they want an omnichannel experience which they can show of (in the digital world). For them there is only one reality, a mixed one where off- and on-line are aligned.
Instead of using traditional channels to influence them, it’s about creating great experiences which allow them to be successful. This way trust is build, and they will use the referral model of influence in an organic way. If you come in the organic way and do proper onboarding, you build trust and they will stick around.