Retention Marketing- A Winning Strategy For All Kinds Of Ecommerce Brands

Aug 12, 2022 | Blogs

Customer retention has always been necessary for a sustainable business. But in stressful times like a pandemic, brands must have effective retention marketing strategies to help them hold on to every customer. This strategy encourages customers to choose the same business in the future by keeping them connected and updated.

Research shows that there are top three reasons why customers leave companies:

  • They think the company doesn’t care about them
  • They are disappointed with the company’s service
  • They’re pushed away by an adversary

From this survey analysis, it’s easy to conclude why a powerful customer service strategy and a process for nurturing customers are crucial components of retention marketing. 

What is Retention Marketing?

Retention marketing means endorsing a business to existing customers. It is a type of marketing that concentrates on engaging existing customers so that they’re more plausible to buy from you again and refer new customers. This differs from acquisition marketing, which entails getting new leads and turning them into customers.

Retention marketing focuses on building value from customers a brand or store already maintains rather than procuring new customers. It is considered the most robust strategy when you execute and design it based on your business’s wheel of life. As long as you expect customers to return to your store for more, retention marketing is the door to knock on.

Retention Marketing can be used for a variety of reasons. For instance:

  • Earning customer’s trust in the beginning
  • Enthralling customers in campaigns
  • Redirecting the attention towards lost customers
  • Inspiring unresponsive customers

Why is Retention Marketing Vital for Businesses?

Customer retention is something that needs enough time, energy, and resources to pursue. Only a few businesses put these things in customer retention strategies. Developing a retention marketing strategy is becoming more and more significant for the following reasons:

Costs Less To Retain

Here you are going to save a lot of money. Various surveys reflected that it costs businesses more to attract new customers when compared with keeping an existing customer. Retention marketing generally requires a small portion of the marketing budget; the return can be much greater than acquisition activities.

Repeat customers are more loyal.

Repeating customers are more likely to be loyal to the brand than new ones. They would hardly switch to another company until and unless something goes wrong. It is profitable as loyal clients will bring you, new customers. Remember that Word-of-mouth has always been a free and robust approach.

Increased Conversion Rates

Your existing customers have shopped from you before. Therefore, unless they have been disappointed with their experience, it is evident that they will buy from you further. You have already promoted confidence in your products and built trust. You perhaps already know a bit about your customer, making it easier to determine what they need and furnish them accordingly. 

Brand Will Stand Out

Think like a consumer and contemplate how many brands you interact with that seem to value your commerce, maybe one or two. Most brands focus on the gain, which makes retention-centric brands stand out even more. There are thousands of marketing susceptibilities daily, but people only engage with a few. Mainly with those with whom they feel an emotional connection on some level.

Engaged Customers Provide More Feedback

Feedback is critical for the prosperity of any business. Customers who give feedback are often ready to give brands the benefit of the doubt. They’re letting you out to know how to earn their business continually. Research shows that people who have complained and have their issues resolved are 84% less likely to lessen their spending.


In a nutshell, Retention marketing is a relatively new phenomenon, and it has demonstrated significant effectiveness in allowing companies to gain an audience over time while receiving orders from their already existing customers. Nearly every store from any niche can benefit from retention marketing. This will make the procedure more transparent and accessible than ever before.

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