The new policy of Netflix to automatically cancel accounts that have been inactive for a long period of time is worth applauding.
Everybody in the subscriptions business knows that what you really want is for customers to get into a subscription and then – hopefully – forget about the ongoing billing relationship, until the credit card expires.
But that’s the wrong way to think about it.
The right way to think about it is to put customers first in everything that you do, deliver a stellar experience that really goes above and beyond what customers are expecting leading to more and more usage.
When you do that you will know that you have done whatever it takes to deliver value to your customers and keep them happy. You can do nothing more.
When some customers are then still not using your service, you will know that it’s not because of you but because of something in their lives.
If you get to that moment the last great thing you can do for them is to send them out with a big hug and a kiss and just offer to cancel their account. No questions asked.
It is the last step to customer loyalty heaven. But – and this is important – it takes a killer product with superior service to get to that position.
Netflix has that.
What an example!