Recovery management

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The customer recovery management deals with the reactivation of customers who in a company have terminated either a contract or because of their purchase or usage behavior as migrated can be classified. There are two starting points:

  • 1. The termination management with the aim of averting or withdrawing dismissals
  • 2. Revitalization management with the aim of resuming the business relationship that has been broken off or has fallen asleep .

According to Stauss / Friege (1999), customer recovery management is divided into three stages:

  • 1. Recovery and churn analysis (determination of churned customers, identification of customer value, etc.)
  • 2. Deriving measures for recovery (definition of recovery channels and recovery offers, e.g. discounts for subscriptions to magazines)
  • 3. Controlling the recovery (identification of the recovery rate and efficiency of the measures).

According to Anne M. Schüller (2007), the recovery management process is presented in five steps:

  • 1. Identification of lost or 'sleeping' customers
  • 2. Analysis of the causes of loss
  • 3. Planning and implementation of recovery measures
  • 4. Success control and optimization
  • 5. Prevention or establishment of a 'second loyalty'.

Pick / Krafft (2009) present a theoretical five-stage concept for recovery management. The authors expand previous theoretical concepts and link them to a "conceptual framework for recovery management", which can be summarized as follows:

  • 1. Definition of direct and indirect goals
  • 2. Churn analysis, especially identification of churned customers and their value
  • 3. Recovery activities that include the recovery dialogue, the specific recovery offer and the recovery timing
  • 4. Recovery controlling, which includes various recovery key figures, for example the success rate or the return on regain management
  • 5. Downstream tasks and processes e.g. B. Reintegration of the recovered customers

literature

There is little literature in the field of customer recovery management. A central, practice-oriented book comes from Sauerbrey / Henning (2000). In the field of scientific work, too, some papers, mainly dissertations, have appeared in recent years. These works come from Michalski (2002), Sieben (2002), Rutsatz (2004) and Pick (2008) and deal with different facets of customer churn and customer recovery. In Michalski's work, emigration is seen primarily as a process that goes through various stages. In Sieben's work, the first influencing factors on the return of customers to the mobile communications market are examined, while Rutsatz is testing two different recovery offers. Pick's work also incorporates reclamation offers to estimate the return of customers in the magazine and transportation services sector . In her book, Anne M. Schüller (2007) presents the process of recovery management, a primarily practice-oriented approach.

  • Schüller, AM (2007): Come back! How to win back lost customers, Orell Füssli Verlag, ISBN 978-3-280-05242-6
  • Michalski, S. (2002): Customer Churn and Customer Recovery Processes , Gabler-Verlag, ISBN 978-3409119023
  • Rutsatz, U. (2004): Customer recovery through direct marketing. The example of the mail order business, Gabler-Verlag, ISBN 978-3824478415 .
  • Pick, D. (2008): Resumption of contractual business relationships: An empirical study of the customer perspective , Gabler-Verlag, ISBN 978-3-8349-1069-1 .
  • Pick, D./Krafft, M. (2009): Status quo of recovery management , in: Link, J./Seidl, F. (Ed.): Kundenabwanderung. Early detection - prevention - customer recovery, Gabler Verlag, Wiesbaden, pp. 119–141.
  • Stauss / Friege (1999): Regaining Service Customers. Costs and Benefits of Regain Management , in: Journal of Service Research, Vol. 1, No. 4, pp. 347-361.