How Australian Life Tech Found High Value Customers Efficiently
About Australian Life Tech
ALT owns the popular 28bySamWood platform and is technology-led health and fitness company with an ever-growing portfolio of digital assets to help people live their life, better.
Background
Understanding customer lifetime value and potential friction points in the customer journey are critical success pillars for the business.
SingleView partnered with ALT to analyse historical tenure, predict tenure of newly acquired customers and utilise tenure score in digital channels to drive more high value customers.
Challenges
Wasted marketing - increasing customer acquisition costs and high volume of customers leaving - put Sam’s ambitious growth plans at risk
No clear view of high vs. low value customers, Sam did not understand what made customers stay or leave, nor which levers to pull
Solution
Extract powerful insights from 52,000 unutilised customer onboarding surveys (used when a customer joins ALT to tailor workout and meal plans). Define top behavioural features from surveys, and label high vs. low value customers.
Use insights to develop lead scoring and train predicted customer lifetime value model. High value customers stuck with the program 3x longer and shared two primary attributes: they had social support and shared their goal weight.
Connect scoring to ALT’s marketing strategy, and pass on the differentiated customer value to Google Ads to adjust bidding.
Results
33% lower cost, with increased conversion rates driving acquisition of the same volume of new customers at lower cost
Acquisition of high value customers by using top features to predict tenure and focus on high value customers. Use of predicted tenure/value to focus on high value customers
Retention of higher value ‘Champ’ customers: ALT is looking to persronalise retention comms based on predicted tenure scores across all acquisition channels to improve retention of high value customers.