Retention isn't easy.

Retention isn't easy, but it's important to do for business of any size. Some customers will always come back and make big purchases, while others simply won't. It's just the name of the game.

 

Out of the box analytics from Big Commerce

Above you will see a screenshot from BigCommerce's new out-of-the-box ecommerce analytics Customer report. In the box you will notice the number of new and returning customers. While the above illustrates a pretty good split for a brand, this particular brand is focused on upping its number of returning client base.

Why just focus on that? Well, its not just focusing on that. However like most business, new customers are the most expensive. If often takes a lot of capital to advertise-- and acquire new customers. If customers don't come back though, it could mean that your 'lifetime' value is low, rather than increasing over time. This could hurt any business in a number of ways, but the most immediate effect will decrease your spending ability on ads, thus limiting your visibility to potentially viable new clients.

Unfortunately, creating lifetime value isn't something you can do with the flip of the switch. Its a nurturing process. The good news, is that it doesn't require a PHD or an army of marketers or data analysts. Earning repeat business is possible, but it must be linked to your overall business strategy. Long Term Value needs to be at the core of your business and it's strategy. Remember, its not all about the money. The capital invested in business advertising must be equally balanced with time. That effort and time put into creating thoughtful marketing campaigns like retargeting can help track and measure your value over a given period. Once you've begun to acquire the data from your campaigns, then you can really begin to understand what value your customers are looking for as well as how to deliver on it.