When to use it
When a need recurs and you can keep delivering value in each period.
Key elements
Service scope, payment interval, reasons to renew, retention, and ongoing delivery costs.
A question to start with
Why would a customer still pay in the second period?
Worked example
Monthly coffee delivery
Specify delivery frequency, taste choices, and how to pause. Ask both renewing and departing customers about the first period, then adjust the service before simply spending more on acquisition.
An original hypothetical scenario by Druumen, illustrating the analysis.
Your next step
Record delivery costs and feedback for one period. Compare stated intent to renew with actual renewals.