Customer retention stats and trends

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Managing retention can feel overwhelming, especially if you’re a DTC operator looking to give existing customers personalized retention marketing at scale. This guide shares how to identify and improve your ecommerce customer retention rate, with a focus on retention emails.

What is customer retention in ecommerce?
What’s the average ecommerce customer retention rate?

The best ecommerce customer retention strat australia phone number data gies and tactics
Customer retention email strategy: tactics and best practices
What is customer retention in ecommerce?
Customer retention rate is the percentage of people who make repeat purchases from your ecommerce store. If you sell to 10,000 people each month and 2,500 people return to make another purchase at some point in the next year, for example, your customer retention rate would be 25%.

Other metrics to benchmark your ecommerce customer retention include:

Customer lifetime value (CLV): If the average customer makes three purchases of $40 each, for example, your CLV would be $120. Use this to measure the effectiveness of retention strategy. An increase in CLV means even if the number of purchases someone makes doesn’t increase, it’s working—customers are spending more money with your brand.
Customer or revenue churn: The percentage of customers who leave a business over any given period. Businesses in the consumer electronics industry have the highest average churn rate, at 82%, but the lower, the better.