EPISODE · Apr 24, 2024 · 37 MIN
Everything You Wanted to Know About Involuntary Churn with Butter Payments’ Vijay Menon
from Subscription Stories: True Tales from the Trenches · host Robbie Kellman Baxter
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! Here’s How » Join the Subscription Stories Community today: robbiekellmanbaxter.com Twitter Facebook Robbie Kellman Baxter on Instagram Subscription Stories: True Tales from the Trenches on Apple Podcasts
What this episode covers
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! Here’s How » Join the Subscription Stories Community today: robbiekellmanbaxter.com Twitter Facebook Robbie Kellman Baxter on Instagram Subscription Stories: True Tales from the Trenches on Apple Podcasts
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Everything You Wanted to Know About Involuntary Churn with Butter Payments’ Vijay Menon
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