Discover how to Increase your Customer Retention (and with a CRM)
Posted: Sun Dec 15, 2024 7:57 am
In a joint study between Harvard and Bain & Co, it was concluded that acquiring new customers can cost up to five times more than retaining existing customers. In a completely separate study by Invesp, it was concluded that a small 5% increase in customer retention rates could precipitate a 25-95% increase in profits.
No matter which study you trust, you are likely to find this logic as a common denominator: why spend more budget on acquiring new customers when you can simply worry about keeping existing ones happy?
With numbers like these, it is no surprise that customer retention bulk sms argentina become one of the priorities of companies and their marketers. To achieve this goal of customer retention, it is essential to know your customer churn rate or retention rate.
Your churn rate is the percentage of customers who stop using your company’s products or services within a given period of time. Customer churn can be very damaging to businesses as acquiring new customers can be more expensive than retaining existing ones.
On the other hand, customer retention rate assesses the percentage of customers who continue to do business with your company over a certain period of time. This metric is important as it allows businesses to track whether or not they are retaining their customer base well.
You may choose to view your glass as half full by monitoring and reporting on customer retention rate, while others view their glass as half empty by tracking customer churn. In the grand scheme of customer relationships, both metrics examine the same thing.
In this article, we will define what customer retention is and highlight the use of CRM software along with other techniques as a strategy to improve customer retention.
No matter which study you trust, you are likely to find this logic as a common denominator: why spend more budget on acquiring new customers when you can simply worry about keeping existing ones happy?
With numbers like these, it is no surprise that customer retention bulk sms argentina become one of the priorities of companies and their marketers. To achieve this goal of customer retention, it is essential to know your customer churn rate or retention rate.
Your churn rate is the percentage of customers who stop using your company’s products or services within a given period of time. Customer churn can be very damaging to businesses as acquiring new customers can be more expensive than retaining existing ones.
On the other hand, customer retention rate assesses the percentage of customers who continue to do business with your company over a certain period of time. This metric is important as it allows businesses to track whether or not they are retaining their customer base well.
You may choose to view your glass as half full by monitoring and reporting on customer retention rate, while others view their glass as half empty by tracking customer churn. In the grand scheme of customer relationships, both metrics examine the same thing.
In this article, we will define what customer retention is and highlight the use of CRM software along with other techniques as a strategy to improve customer retention.