To understand your retention opportunities and trends, you need to have a simple way to track attrition patterns. But you also need a methodology which accommodates different billing periods and the fact that some customers pay for only part of a term and then cancel. Part of our four-part INSIDE Metrics series on measuring subscription retention, this on-demand tutorial outlines the basic concepts in the series and specifically, train viewers on using the detailed Excel spreadsheet in Part III of our INSIDE Metrics: Retention series.
In the last two weeks, at least three publishers - BH Media Group of Omaha, Gannett and The Guardian - have announced staffing cuts to reduce costs to offset declining revenue from advertising and circulation. BH Media Group, owned by Warren Buffet's Berkshire Hathaway, is cutting 289 jobs and cutting costs by reorganizing sections of some of its 31 newspapers. Gannett is making cuts and reorganizing in Tennessee, and the Guardian continues its three-year plan which will include eliminating redundancies.
Last week Comcast (Xfinity) customers in more than two dozen regions across the U.S. will be automatically enrolled in the company's new One Terabyte Data Usage Plan, effective November 1. For those customers, anyone who exceeds 1 TB of data usage each month from streaming music or videos, playing online games, downloading photos or surfing the Internet will have to pay for those data overages, and the penalties are steep - up to $200 a month! Why is Comcast doing this? How will it impact streaming and digital subscriptions?
Last week, CRM SaaS company Salesforce (NYSE: CRM) reported record results for the third quarter of fiscal year 2019, ended October 31, 2018. The company reported revenue of $3.39 billion, a 26 percent increase year-over-year, and unearned revenue of $5.38 billion, a 25 percent increase year-over-year. Subscription and support revenue was $3.17 billion, a 26 percent increase year-over-year. Professional services and other revenue made up the remaining $224 million, a 15 percent increase year-over-year.
American Express and Costco are officially divorced and all Costco-issued AmEx cards are being replaced with Citigroup Visa cards. This could cause involuntary churn for subscription companies, but there are ways for subscription businesses to lessen the impact, including assessing the potential impact, proactively reaching out to AmEx customers, monitoring response rates and using Account Updater.
Walmart announced that it is discontinuing its two-day shipping membership program, ShippingPass, effective January 31, 2017. The program first launched in May of 2015 as a three-day shipping program that allowed members to receive unlimited shipping for $49 a year. At launch, the program was available by invitation only and it only included about 1 million of Walmart's 8 million online items. Then, in May of 2016, Walmart upgraded the program to offer unlimited two-day shipping with no minimum order requirements.
On Thursday, Equifax Inc. (NYSE: EFX), one of the three major credit reporting agencies, disclosed that they experienced a massive data breach between mid-May through July 2017 that could affect as many as 143 million U.S. consumers. In a statement, the company said it had no evidence of unauthorized activity on its core consumer or commercial credit reporting databases. The information accessed illegally includes names, Social Security numbers, dates of birth, addresses and, in some cases, driver's license numbers. The FTC reports that 209,000 people had their credit card numbers stolen and dispute documents with personally identifying information from 182,000 people. Some consumers in Canada and the U.K. also had their personal information stolen.
Last Friday cloud storage company Dropbox filed for a $500 million IPO under the ticker symbol DBX on NASDAQ, reports CNBC. According to the company's SEC S-1 filing, Dropbox earned $1.11 billion in revenue in 2017, a 31 percent increase over the prior year. It also posted a net loss of $111.7 million last year, an improvement over a net loss of $210.2 million in 2016.
This week, some subscription business has continued as normal, while others has been a reaction to the coronavirus outbreak. In the business-as-usual category, Tesla...
Despite server overload that caused shopping downtime, last week's Amazon Prime Day was the biggest sales day in company history, surpassing Cyber Monday, Black Friday and last year's Prime Day, which held the previous top sales record. Prime offered more than a million deals worldwide, exclusively to Prime members. During this year's event, Prime members bought more than 100 million different products, including best sellers like the Fire TV stick with Alexa voice remote and Echo Dot. For the first time, Prime members also enjoyed a week of savings at Whole Foods Market with organic strawberries being the best-selling product.