When customers stop doing business with you but don’t formally close their relationship it is called silent attrition. For a bank silent attrition is when customers leave just a few dollars in an account but do not close it. In a video store customers in silent attrition are those who have a membership card but never use it.
Identifying silent attrition can be difficult because it requires analysis of the customer transaction history not just their current data status. However, countering silent attrition can be a very effective strategy to increase customer value because customers are already aware of your product or service.
