Retention is the new way of growth hacking

Advertising is the easiest way to acquire new customers for your business. Unlike other marketing tactics, online advertising allows you to effectively measure your marketing strategies and conversion rates.

According to, only 32% of customers actually order second time over the course of the first year. That is, most of the acquired users used to drop off after the first sale.

In fact, according to Our Social Times, 70% of companies say it’s cheaper to retain a customer than to acquire.

Here are a few reasons why retaining your existing customers are important for your business.

  • It increases ROI: As customer retention is much cheaper than customer acquisition, focusing on retaining customers will increase ROI.
  • Loyalty and lifetime value: Customer retention increases loyalty as well as increases lifetime value of customers. Adobe has reported that if online retailers retain 10% of their existing customers, they will end up making 2x the revenue.

Let’s see how you can use advertising to retain your existing customers so that you can increase ROI as well as lifetime value of customers.


Over to you

Majority of your first time customers are in the process of filling their quick needs, and are not interested in being loyal to your brand for long term. However, if you carefully nurture your leads, you can make your customers more engaged with your brand, and thereby increase the lifetime value of your customers.

Remarketing using AdWords and Facebook ad is one of the most cost-effective ways to retain your existing customers.

Have you ever considered customer retention by advertising? Let us know your thoughts.

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