Most marketers have resigned themselves to the transactional nature of today’s consumer and focus efforts on retargeting or – you guessed it – more acquisition. But focusing on existing customers is far more valuable than you realize. With existing customers spending 80% more and visiting 60% more frequently per year, retailers have a significant opportunity to increase revenue by increasing retention. So why aren’t more marketers focused on retention?
Here's a look at a few of the highlights that may (or may not surprise you):
But not all customers are created equal. This is where predictive marketing platforms like AgilOne can help. Built on a foundation of data management, we integrate customer data across channels, de-duplicate and cleanse to deliver a single customer profile. This gives you the true value of each customer and the ability to accurately identify and analyze valuable segments. By applying data science and predictive algorithms, we can answer the key questions around customer retention, including:
1. How many of my customers are "one-and-done's"?
2. Which customers are likely to leave and why?
3. Which customers should be retained and at what cost?
4. Who are my best customers and how do retention rates differ by:
- customer value
- acquisition source and year
- product category(ies)
- number of categories purchased
- time between orders