Customer Retention Strategies Ecommerce Companies Should Apply In 2023
As you build your ecommerce brand, your initial focus must be customer acquisition.
However, too many online retailers continue to spend most of their time and energy on attracting new shoppers and neglect customer retention as their businesses grow.
But building a loyal customer base is essential to creating a successful ecommerce company.
In addition to the savings in customer acquisition costs, repeat buyers will likely make larger purchases and act as unofficial brand ambassadors, recommending your company to others.
While the research on customer retention still cited in the industry is from 1990 – long before the advent of online shopping – that study by researchers from Bain and Harvard found that a 5% increase in retention rate led to increased profits of 25% to 95%.