Try These 10 Time-tested Renewal Remedies

by Robert Lerose

As a renewals specialist and co-presenter of a renewals workshop at the November SIPA conference, I'm always on the lookout for strategies that are working. Of the publishers and marketers I spoke to, many report they're relying on classic techniques for retaining subscribers. I agree with their approach. These methods
have stood the test of time for a reason.

But it's not enough. Taking a cue from the conference, renewals managers need to reinvent their efforts. That means testing new ideas and putting new twists on old ideas. Drawing on the feedback of attendees and my own consulting experiences, here are 10 renewal recommendations for a prosperous new year:

1. Instead of locking subscribers into an annual term, offer a monthly or quarterly renewal option.
A technology company saw their renewal rates spike 95% and new business jump 25% when they added this extra flexibility. You could incentivize subscribers by giving better deals for longer contracts or simply work out a
per-issue rate with no additional price increase.

2. Do reactivation mailings to expires as far back as 10 years.
Some publishers use a professional courtesy form. However, a personal letter makes more sense because it helps you re-establish a personal rapport. Henry Greene, executive director of SIPA, says that "calling ‘vintage' expires has always been a good telemarketing investment for B2B publishers. You can go back three, five or even 10 years. Whereas postal mail or email may be routed to someone no longer employed at the company-i.e., the trashcan or terminated at the server or to an employee who now has different responsibilities-a live caller can track down the contact (or his/her replacement). Generally, these types of efforts not only generate revenue but help publishers build their databases with updated names and contact information. Nevertheless, I always recommend that reactivation efforts be done by the least expensive means first, email and postal mail-sort of a cream skim. Then try telemarketing in small test segments."

3. Talk to a subscriber's deeper needs.
A well-respected health newsletter began inserting a buck slip to remind people that, in times of uncertainty, maintaining and improving their health is something they do have control over. This overarching feeling of putting power in the hands of subscribers became a convincing sales strategy.

4. Use different ways to reach subscribers.
A consumer publisher sends a snail-mail renewal letter and follows up by e-mail to anyone they have an address for. This applies even to subscribers who receive the newsletter by e-mail. The publisher reports that both efforts have boosted response a bit. I've advised clients for years to have their renewals copywriter provide both an online and postal version of a series.

5. Make your renewal efforts personal.
Technology has given us great tools, but don't let them de-personalize your renewal series. Subscribers want to know there's a real person behind those efforts.

6. Come up with a "value proposition" and sell it.
Why is your publication valuable to the subscriber? What value will it continue to give? The answer to these questions should inform your renewal copy and become a selling point. Because times and subscriber needs change, you should regularly evaluate your renewal series to refine and sharpen this statement.

7. Offer a cash discount to subscribers who send money with their first renewal effort instead of waiting to be billed.
You could build a powerful sales message around this incentive alone.

8. Let subscribers renew at the price they want.
Make it clear that it's a one-time deal, but honor the price they choose. Sure, you run the risk of getting ripped off, but I suspect that the majority of subscribers will come up with a reasonable price. The advantages: you'll empower subscribers, show empathy for their financial situation and build long-lasting goodwill and loyalty.

9. Post a video renewal on your Website.
Video is the fastest-growing segment of online advertising. Revenue is up 38% from 2008 to 2009-which means people are watching and buying. Take advantage. A focused 60- or 90-second video on your Website lets you reach out and touch subscribers in a highly personal way. The self-promotion video that I recently tried got good results and whetted my appetite to do more.

10. Let one effort come from another subscriber.
Take one of your best testimonials and, with the permission of the writer, turn it into a renewal letter. Then mail it with the subscriber's name in the corner card. Or put "A Special Message From [Subscriber's Name]" on the outside carrier. It's personal, unexpected and intriguing. For a variation, send a collection of testimonials and let those subscribers sell for you.

Robert Lerose can be reached at robertler@optonline.net or through www.robertlerose.com.