Retention marketing is the best way to turn one-time customers
Why is customer retention important?
Various studies have shown that attracting new customers is 7 times more expensive than retaining current ones. Despite this, most marketers today still focus the majority of their efforts and dollars on acquiring new customers. Or, if a retention strategy is in place, it usually consists of sending the whole customer list generic campaigns with little insight into what actually motivated the original purchase or what will lead to the next one.
Focusing on customer retention is important because it amplifies the efforts of your marketing and sales teams. Retention marketing grows the lifetime value of individual customers, which leads to an overall increase in ROI on marketing and sales dollars. In other words, by retaining customers longer and boosting their overall value, you get more than your money’s worth.
How Retention Marketing works
Aggregate and analyze all your customer data including behavioral, transactional, demographic and social.
Profile and predict customer behavior such as expected lifetime value, likelihood to purchase and risk of churn.
Create personalized multi-channel campaigns with the right offer, timing and product that are engaging and relevant.