Medio Systems launches customer retention service for carriers

Churn is inevitable, but it is bad and Medio Systems Inc. has a new service to help combat it. A new customer retention service from the Seattle-based company gives carriers the ability to target customers with relevant offers to keep them on board.
Built on top of Medio’s analytic’s platform and a dataset of more than 70 million mobile subscribers behavior patterns, Medio claims its customer engagement rates are about three times higher on average than direct marketing methods.
Rob Lilleness, president and CEO of Medio Systems, says the cost of retaining mobile customers in the United States will soon exceed $10 billion every year. The company isn’t naming names but after launching with a major U.S. carrier last February, Medio is tracking offer acceptance rates between 4% and 5%.
“The industry has moved from customer acquisition to customer retention,” Lilleness told RCR Wireless News. “It’s all about share shifting right now,” he said, adding that the cost of acquiring a new mobile customer is between $250 and $420.
“Our approach takes advantage of Medio’s proprietary data set and it touches the customer in the most effective and engaging means,” he said. Rather than last-ditch efforts like an automated phone call, Medio sends customers alerts with promotions right on their device. “Because it’s on the handset it can be a closed-loop transaction for the customer,” he continued.
Medio is profitable, tripling sales last year, after shifting its business away from search and advertising and into analytics, Lilleness said.
“Traditional means of contacting customers to prevent churn have included outdated and expensive practices such as direct mail, telemarketing, and inbound customer care promotions. As the industry transitions from acquiring customers to retaining them, Medio is perfectly positioned to help operators and handset manufacturers find new ways to reward and keep loyal customers.”