Acquisition vs Reactivation

We invest a lot of time and money in acquiring new customers. It is also part of the natural flow for customers to eventually become dormant. As this happens, our sales team turns its attention toward finding new customers. However, this is not usually the most profitable approach. We are leaving money on the table when we forget about or neglect our large, dormant client base.

It can cost up to five times more to acquire a new customer than to keep an existing one, and existing customers are 50% more likely to try new products. It makes financial sense to dedicate a percentage of resources, and perhaps even have dedicated personnel, toward maintaining and/or reactivating existing customers.

Author: johnny88keys

Optimistic idea enabler mindfully seeking rapture

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s