Why is it that we spend money on customer acquisition marketing when customer retention marketing works so much better? We can all agree that customers are the most important part of any business. After all, without customers, there would be no business!
And yet we find ourselves spending most of our marketing dollars on finding new customers instead of nurturing the ones we already have. Yes, your business needs new customers, but not at the expense of the ones you already have, right? It’s an age-old struggle worth revisiting as you think about your business goals.
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Customer retention marketing stats
To set the stage, here are some key customer retention marketing stats to consider:
- Acquiring a new customer can cost five times more than retaining an existing customer.
- Increasing customer retention by 5% increases profits 25-95%.
- The success rate of selling to a customer you already have is 60-70%, while the success rate of selling to a new customer is 5-20%.
Customer retention marketing opportunities
There’s an opportunity here to focus more on existing customers, rather than chasing down new ones. By simply automating the process of content marketing, email marketing, and social media marketing, you can see huge success:
- Staying in touch with your current customer base.
- Reminding their customers of upcoming events and seasonal tips.
- Maintaining a professional appearance all the way to the inbox and beyond.
- Taking advantage of opportunities to reach out to clients you have not talked to in years.
- Getting more referrals sent your way.
We’ve put together a super informative (and free!) guide all about how long-term relationships and loyal customers benefit your business. It includes useable email templates, ways to have better conversations and follow up tips to help you stand out and stay in touch.
Customer retention marketing is essential to the success and growth of your business. If this free guide leaves you with more questions, our team is ready to answer them.
Last Updated 9/27/2018; Originally Published 9/10/2013.