Striking a Chord: How Product Ownership AI Drove 15% Churn Reduction for Musical Instrument Leader

The Customer: Leading Music Retailer

Since 1983, Bertrand's Music has been a Southern California cornerstone, founded by retired music educator John Bertrand, Sr. 

Embodying a philosophy rooted in customer care, Bertrand’s journey began in San Bernardino and has since flourished with eight locations, spanning from San Diego to Oxnard. 

Over the years, their dedication to excellence has grown hand-in-hand with the musical needs of local communities, especially in serving school music programs. Coupled with that, Bertrand’s prides itself on its personalized educational services, tailored to meet the evolving requirements of music education.

The Challenge: Scaling Personalized Player Connections

Recognizing the immense potential to cultivate long-term relationships, the team at Bertrand's Music identified the crucial opportunity to enhance renter retention. Establishing a personalized connection at the point of rental can be the difference between a short-term hobby and a long-term love of music.

As personalized relationships are paramount at Bertrand’s, the team recognized the difficulty in scaling these relationships as the company grows. This lack of technology, coupled with siloed systems, hindered their ability to forge these vital connections that are at the heart of the company. 

Additionally, with a major increase in musicians playing instruments for the first time, driven primarily by grade-school students, Bertrand's Music recognized the need to instill proper care for their rented or owned instruments. 

To face these challenges head-on, Bertrand’s Music knew they needed to find a partner to help facilitate automated, scalable, personalized connections that would impact the bottom line. 

The Solution: Elevating Customer Connections with Product Ownership AI 

Bertrand’s Music turned to Blustream’s Product Ownership AI technology to revolutionize how they connect with their customers. 

Blustream teamed up with Bertrand’s to send AI-powered, personalized messages to each renter, including encouraging proper maintenance and care, providing guidance on usage, and sharing educational tips. These messages were based on predictive player behaviors and usage data throughout the life of the rental. 

Using generative AI and predictive analytics, renters received messages from the moment they took their instrument home through key moments of usage, enjoyment, and care. These messages, powered by Blustream’s intelligent technology, not only streamlined the personalization process but also ensured that each renter received timely and relevant information at crucial points in their musical journey.

By incorporating Blustream's product ownership AI technology, Bertrand's Music has not only elevated the rental experience but has also strengthened its relationship with its players, creating a seamless and supportive environment for musicians to thrive.

The Impact: Blustream Drives 48% Purchase Conversion Rate

Historically, Bertrand's has lost renters in the first semester with children learning how to play music for the first time - a tragedy in their eyes. However, thanks to the transformative impact of Blustream's innovative solutions, Bertrand's has successfully turned the tide. With Blustream’s Product Ownership AI technology, Bertrand’s has seen a remarkable 15% reduction in churn in just one semester – with hundreds of children continuing on their musical journey who otherwise wouldn’t be. 

This positive shift in renter retention has directly translated into substantial financial gains for Bertrand's Music too. In just one semester, the improved churn rate has led to an impressive revenue boost of more than $60,000 from retained renters alone. In addition to $60k of retention-driven revenue, Bertrand's expects incremental revenue by way of Blustream's personalized purchase recommendations, sent at exactly the right time. 

These personalized purchase recommendations saw a 48% conversion rate for Bertrand’s, guaranteeing that almost half of the renters moved forward with additional musical accessories – an incredible opportunity for additional revenue gains over the lifetime of the instrument. This not only highlights the tangible benefits of adopting Blustream's technology but also underscores the significant positive impact it has had on Bertrand's bottom line. 

The collaborative efforts of Bertrand's Music and Blustream showcase the power of leveraging advanced AI solutions in the music industry. By strategically addressing renter retention challenges, Bertrand's has not only improved its bottom line but has also laid the foundation for sustained growth and customer satisfaction.

"We saw an immediate return on investment with Blustream, and expect a 10x return this year. The power of Blustream’s Product Ownership AI was felt within three months, with both significant increases in revenue and increased satisfaction from our renters.” – Jeff Bertrand, esteemed music industry veteran and owner of Bertrand's Music

Looking Ahead: Capitalizing on the Power of Product Ownership AI 

Blustream's transformative Product Ownership AI has become the game-changer for Bertrand's Music, reshaping the landscape of renter retention and revenue generation.

This immediate impact signifies a paradigm shift in how music companies can leverage AI to create lasting connections with their customers, enhancing both the customer experience and the bottom line.

As the companies look to the future, the two will continue to explore innovative opportunities to further personalize experiences for renters to ensure Bertrand’s Music both maintains its educational roots and stays at the forefront of innovation in the musical industry. 

About Blustream 

At Blustream, we're on a mission to ensure that every company delivers exceptional product ownership experiences that retain customers. Our groundbreaking Product Ownership AI is an intelligent and adaptive messaging platform designed to send personalized, automated messages to product owners precisely when they need them. Schedule a demo with the Blustream team to learn more about our platform.