A major retentions drive at Daisy Distribution will see customer churn rates fall below 10% by the end of the financial year, marketing director Julien Parven told Mobile this week.
The distributor is also targeting cloud computing as part of its wider strategy to grab a share of the growing unified comms market. Parven (pictured) said retention rates among Daisy Distribution’s 500-plus partners currently lie between 12% and 15%. Daisy is on a mission to help partners drive churn rates below 10%. He said: ‘Retention rates are as important to us as new acquisitions and we are working hard on a programme to help our partners achieve customer satisfaction whichhas seen retention rates increase radically.’
Parven added that churn levels were generally below 15% among Daisy Distribution’s partners. He said: ‘We don’t want to see churn rates north of 15% and in some areas the churn rate is 12%. We are now aiming to get churn rates down to below 10% and we are on target to achieve that by the end of the financial year.’
Parven revealed that Daisy Distribution is offering partners greater incentives to improve their retention rates. He said: ‘The two have to work hand in hand. From a long-term perspective, there is no point in losing a new customer in two years’ time. Our partners have to look to make the right acquisition decision so that they are able to make the right retention decision two years’ down the line.’
Cloud services are also central to Daisy Distribution’s plans in the coming months, with the launch of Microsoft’s cloud-based version of its Office 365 software suite last year seen as a crucial element in driving up market demand for unified comms solutions.
Parven said: ‘We see cloud services as a big part of our growth this year – it is a natural product which fits the converged piece. It is a key product and a catalyst for a lot of growth that will bring ICT-based solutions into the mobile environment.’
He added: ‘We are very much getting to the tipping point now and the question is, do you see [the converged market] as an opportunity or a threat? At Daisy we have to ensure this is an opportunity for our partners by helping them to take advantage of that opportunity.’