Customer Acquisition vs. Retention: A battle for DTC Brand Focus

Customer acquisition and retention are in a constant battle for DTC’s focus. But which is actually more important? It’s a question a lot of DTC brands find themselves asking as they funnel limited resources into different efforts.

So let me start by saying: we’re talking about two sides of the same coin. You can’t run a successful DTC business without a focus on both.

In the words of Jordan Gal, CEO of Carthook:

Thing is, acquisition is much more straightforward to understand and act on. And you can’t have retention without actively bringing in new customers.

For a lot of brands, this means that retention consistently takes a backseat.

But don’t get it twisted here: That doesn’t mean that acquisition is more important. A one-sided focus is damaging to the long-term health of your business.

Data shows us that brands that focus on retention actually unlock way more growth than they expect. We all know it’s imperative to focus on, but it’s so easy to ignore (despite our best intentions).