Dose #131: What We Can Learn About Retention from Telecom, Sports, and Streaming Industries

Matt here with your weekly Subscription Prescription 💊

This week we steal incredible insights from a retention professional with deep experience in the telecom, sports, and streaming industries. We cover smart segmenting, engaging your audience, and the art of the cancel flow. Use this dose to level up your retention game!

This week’s dose is also a full interview with Tom Burrell, a retention expert with deep experience in three different industries. Hear insights from him as we go more in-depth about retention on your favorite streaming platforms.

You can learn a lot from how other industries manage retention. It’s all consumers, after all, and in DTC I think it’s easy to get lost in just trying to copy what other brands are doing.

The truth is that retention isn’t anything new for streaming services, telecom, and sports. They’ve been around a lot longer, have tried a million different things, and the industries are fiercely competitive.

So, in this week’s dose we’re going to grab three things you should be doing in your business.

1. Smart Segmentation: The Telecom Approach

In mature industries like telecommunications, where growth has plateaued and the market is saturated, retention becomes a razor-sharp focus.

These companies operate on thin margins and fierce competition, making customer lifetime value (LTV) and precise segmenting essential.

Think of the way a telecom giant tailors offers: different plans and perks for different user cohorts based on behavior and churn probability. Why? Because saving one segment might mean offering a discount, while another segment might need an upgrade push.

Why It Matters for You: While most DTC brands won’t have millions of customers, the principle remains the same. Even if you have 50,000 subscribers, knowing your customer cohorts and optimizing offers for each group can turn around your churn rates. Start with three basic segments—your high-value customers, mid-tier customers with potential, and lower-value subscribers. Each needs different retention tactics, so don’t just throw blanket offers. Dive into what each group needs and tailor your approach accordingly.

2. Learning from Sports: Engaging a Diverse Audience

Sports teams, especially globally recognized ones, manage a complex blend of local die-hards and international fans. For a club like Manchester United, local loyalty is often passed down generations and is near unshakeable. Internationally, though, fans might switch allegiance if a team isn’t performing well. The trick lies in balancing long-term engagement with maximizing lifetime value without alienating the fan base.

What You Can Do: If you’re a DTC brand, think of your high-LTV customers as your local fans—focus on nurturing these relationships for continued value. For more casual customers, who might be less loyal, explore loyalty programs or exclusive content that makes them feel more connected. Engaging them through personalized app notifications, tailored messaging, or members-only perks can help cement a deeper bond that keeps them invested even during less compelling moments.

3. Streaming Services and the Art of the Cancel Flow

Ever notice how easy it is to cancel certain services and how that impacts your decision? In streaming services, especially those with heavy competition and even piracy as a rival, the cancellation journey is critical.

If you make it too difficult, you’ve lost that customer for forever; they’ll remember the negative experience. But you can’t make it too easy either.

A big “cancel” button with no other prompts may feel like great UX at first glance, but it can be a missed opportunity. Instead, the key is thoughtful friction: showing users what they’ll miss, future content, or offering a downgrade.

Don’t miss out on this last opportunity to make a save, collect information, and leave them with a positive impression.

Why This Is Important: For your subscription brand, rethink your cancellation flow. Don’t just offer a discount—remind users why they signed up in the first place. Highlight loyalty rewards, upcoming product releases, or exclusive benefits they’ll lose if they cancel.

Sometimes, a well-timed nudge can make them reconsider and stay for another cycle. It’s about balancing transparency with strategic retention.

This is why I love offering content at the point of cancellation! Even if they continue on to cancel, it’s another touchpoint for making your case why your product should be in their life.

These three insights—tailored segmentation, meaningful engagement, and a smart cancellation experience—are tactics that can breathe new life into your retention strategy. Take a cue from industries beyond DTC, adapt the principles, and watch your retention metrics improve.

Final Takeaways

Retention is much more than offering a big discount to keep someone around, or even surprise/delight gifts. It’s about these three things:

1. Segmentation. Know who are your high LTV customers versus low LTV customers and craft different offers and engagement strategies for each.

2. Meaningful engagement. You can’t just ignore subscribers. Find ways to engage and build long-term relationships with your best customers, while offering something more passive for lower value ones.

3. Cancellation experience. Maximize this potential final touchpoint, making it a blend of easy with some selling to try and save them.

Spending more time on your retention strategy, making it more purposeful, segmented, and engage with pay off big time like it has for these massive industries. That’s it for this week’s dose! See you next week with Dose #132

 - Matt Holman 🩺

The Subscription Doc