Re-Pricing and Retention Analysis Leads to Increased Revenue, Decreased Attrition

The Challenge: 

Our client, a large retail financial services firm, was about to undertake a major DDA re-pricing that had the potential to generate undesired attrition.

Our Solution: 

PNT worked with our client to:

  • Conduct a re-pricing analysis (modeling increase in fee revenue, changes in balances, and the potential attrition on impacted customers)
  • Profile customers impacted by the  re-pricing effort
  • Coordinate efforts  with research firms to specify and create lists for primary research on impacted groups
  • Develop lists of impacted customers targeted for retention which were matched to tested pre-rollout communications
  • Provide daily retention tracking during rollout
  • Provide lists post-rollout to calling officers of targeted customers who performed “at-risk” actions.
The Results: 

PNT measured no significant increase in attrition among the impact customer groups vs. the control – and, in fact, measured over 10 percent deposit balance growth as a result of customers consolidating balances with our client to avoid fees

Key Results: 

Kept attrition to negligible levels among customers impacted by re-pricing, and increased deposit balance growth by 10 percent.