Customer retention

Customer retention is the process of engaging customers continuously and stimulating repeat orders. Customer retention marketing uses data to personalize and guide the customer journey, build a deeper relationship with the customer, and win their loyalty and repeat business.

Customer retention helps ecommerce brands grow when acquiring new customers is expensive, or the market is small, or the niche is too narrow, or there’s too much competition. Retention basically solves most problems a brand would face when trying to grow in revenue. That’s why we believe any ecommerce business should prioritize a customer retention strategy.

The benefits of customer retention:

• Bring down marketing costs because selling to existing customers is free, no CAC.
• The profit margin gets better with every order a customer makes.
• You don’t need acquire new customers all the time to keep selling - returning customers keep the business alive
• Since you have to provide great products and customer service to win loyalty, people become fans and tell others about the brand.
• With better marketing ROI you are in a better position to invest in new products or scaling up.