What is the Attrition Project?
John Brady, president of TRG Associates, says that customer retention continues to be the single largest management challenge faced by companies in the alarm industry. While the industry has gradually developed specific performance parameters such as market size or growth dynamics, Brady points out that an “industry measurement, critical to measuring value created and value lost, that is not well maintained or commonly defined, is the qualitative and quantitative measurement of customer attrition.”
For this reason, the TMA Education Committee and TRG Associates have partnered to develop an attrition standard. This standard will define what attrition is, how to measure it, its intrinsic cost and how to reduce or limit that basic measurement of “poor service.” The goal is to gain some consensus both on the definition and its utilization within the security industry.
The TMA/TRG Attrition Project was introduced to attendees of the 2001 CSAA meeting in Tucson.
TRG has developed papers on attrition and a calculation template: http://trgassociates.com/csaa-attrition-study/
TMA and TRG invite all alarm companies in the industry to participate in this worthwhile project. TRG presents updates of this project at each TMA meeting for attendees to compare their company’s results with the standard.
How Can You Participate?
- If you decide to participate, contact John Brady (email@example.com) to receive the attrition calculation worksheet (or visit the link above).
- Instructions for completing the template are included on the first tab of the worksheet.
- Review the Cancellation Reason codes included in the instructions. If you should have any question as to the Cancellation Reason categories, or would like to expand or replace the categories to better fit your company, please contact John Brady at TRG Associates at 860-395-0548 or by email at firstname.lastname@example.org. TRG will customize your Cancellation Reason categories, and provide you with a new template.
- Please complete your template and forward it via email to TRG at email@example.com where your results will be reviewed for any extraordinary trends. TRG will call to discuss any trend concerns at no cost to your company.
- In addition, your monthly results will be catalogued with other participants and categorized in accordance with the various company characteristics (e.g. size, geography, etc.).
- Each calendar quarter, TRG will publish the updated results of the Attrition Projects to all participants. Your results will be kept confidential and not be made available to anyone, nor will your company be identified as a participant.
Find out more: call TRG Associates directly at 860-395-0548 or visit www.trgassociates.com. Participation in this study is at no cost and we maintain the strictest of confidence as to the individual company results.