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Everything You Wanted to Know About Involuntary Churn with Butter Payments’ Vijay Menon

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Manage episode 443096416 series 2887278
Content provided by Robbie Kellman Baxter. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Robbie Kellman Baxter or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

One of the great mysteries for me is why so many otherwise sophisticated companies don’t focus on involuntary churn. Also known as passive churn or accidental churn, involuntary churn happens when a payment issue raises a flag that causes a merchant to cancel a customer’s subscription. In 70% of these cases, there is no fraud, so the company is literally turning away excellent customers.

Involuntary churn routinely impacts about 10% of Annualized Recurring Revenue (ARR), according to some estimates. In today’s episode, Vijay Menon, founder and CEO of Butter Payments, and I discuss what drives involuntary churn, why so many companies underinvest in this problem, and some key tactics to drive revenue growth through better payment management.

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95 episodes

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Manage episode 443096416 series 2887278
Content provided by Robbie Kellman Baxter. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by Robbie Kellman Baxter or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

One of the great mysteries for me is why so many otherwise sophisticated companies don’t focus on involuntary churn. Also known as passive churn or accidental churn, involuntary churn happens when a payment issue raises a flag that causes a merchant to cancel a customer’s subscription. In 70% of these cases, there is no fraud, so the company is literally turning away excellent customers.

Involuntary churn routinely impacts about 10% of Annualized Recurring Revenue (ARR), according to some estimates. In today’s episode, Vijay Menon, founder and CEO of Butter Payments, and I discuss what drives involuntary churn, why so many companies underinvest in this problem, and some key tactics to drive revenue growth through better payment management.

Love the show? Rate us ⭐️⭐️⭐️⭐️⭐️ and leave a review on Apple Podcasts!

Join the Subscription Stories Community today:

  continue reading

95 episodes

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