Do You Know These 3 Types of Onboarding Experiences? And How To Make The Most Of It?

User Onboarding

Ask someone to define onboarding for you, and they’ll probably answer on the lines of how it is all about welcoming someone to a world that he or she has never seen before. But when you use the term in the digital industry, it holds a lot more meaning than just that.

Onboarding is multifaceted and the most successful businesses today, are making the most out of each of its personalities.

image courtesy: Lessonly

image courtesy: Lessonly

But why is onboarding so important?

Because turnover is an expensive phenomenon – the cost of customer acquisition becomes 5 times when retargeted, the cost of replacing an entry level employee itself is 30-50% of the person’s annual salary and so on. But long story short, every departure results in loss of morale and productivity. Having an onboarding process for everyone just makes it a whole lot easier for the business to function – it reduces time to reach optimum productivity, helps get rid of stress, decreases the turnover by manifolds and definitely ensures delivery of the right business message.

The various faces of onboarding

Haven’t met them all yet? No worries, meet the various personalities of onboarding with us:

Employee onboarding

Often referred to as organizational socialization, employee onboarding refers to the process through which new employees gather the necessary knowledge, skills and behavior to become an efficient part of the existing team.

With the human resource market estimating that 50% of hiring failures occur within 18 months on the job for positions other than the serial level, companies – big and small, are making sure their employees aren’t one of the 25% of the population that looks for career transitions every year.

Here’s why we think you must have an employee onboarding process in place:

  1. New employees who go through a well-structured onboarding program, are 69% more likely to stay with the company for up to three years. (source)
  2. 25% companies admitted that their onboarding programs don’t include any form of training, leading to a loss of 60% of the entire workforce. (source)
  3. Approximately 35% of the companies spend nothing on onboarding, but have regretted the decision with time. (source)
  4. 60% of the companies indicated that they do not set any milestones or goals for new hires to attain, resulting in them taking almost an year to start working at their full potential. (source)
  5. Organizations with a standard onboarding process experience 54% greater new hire productivity and 50% greater new hire retention. (source)
  6. 30% of businesses who continually update their onboarding programs, are more likely to be positioned to respond to industry indicators and employee trends resulting in greater team productivity. (source)

User/ Consumer onboarding

The onboarding process used to increase the likelihood of a new user successfully adopting your product/ service after purchase, is known as user onboarding. The primary reason behind businesses making it a vital part of their marketing strategy is retention.

User retention is important in today because almost each product/ service out there has atleast a hundred alternatives with competitive offerings. Most businesses lose out on their users in the first two months of the purchase either because the post sales experience was disappointing for the consumer or the consumer simply didn’t understand how to make the most out of his or her purchase.

Here are 7 metrics that show you need a well-structured user onboarding process in place:

  1. Low trial conversion rates
  2. High bounce off rates
  3. Low number of page views and an alarmingly decreasing time spent on each page
  4. Excessive number of tickets seeking instructions to use the product
  5. Low referral results
  6. Low lifetime value of the user
  7. Higher costs to acquire the user

Still wondering why you need to dive right into it? Here’s why we think user onboarding is a must: Read more.

Client onboarding

One of the most critical functions for B2C as well as B2B companies, client onboarding directly impacts the client experience, servicing, and relationships – leading to increased ROIs. Every client has different expectations, goals, objectives and grasp of the product/ service you are offering; making it a must to include a self-introduction while onboarding them.

Some of the best practices for executing a successful client onboarding process include:

  • analysing your demographics before reaching out to them
  • using social media and other platforms to nurture relationships
  • maintaining a communication flow through the process
  • briefing your team about the client before his onboarding
  • organizing the project beforehand
  • establishing realistic expectations
  • humanizing the entire program and giving them something to relate to

Thinking about rehashing or creating a new onboarding process, but don’t know where to start? We believe in starting with the right tools in place and so should you: The Onboarding Toolkit You Absolutely Need.

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