Retention represents an invaluable piece of the marketing mix, as it takes existing customers and keeps them aligned with your brand and its products/services. Retention marketing doesn’t focus on bringing new customers in; it instead keeps existing customers happy and engaged, leading to increased future purchases, a higher rate/volume of purchases, or brings back past customers who may have been lost.
Retention is a crucial step in generating brand loyalty, which is essential to creating brand advocates. By retaining current customers, companies will not only see higher sales and generate capital, but they will also set the stage for those customers to actively promote and endorse their products and services. A well-executed retention strategy can also bring back past customers who may have explored their options elsewhere, re-aligning them with your company and its offerings.