• Home
  • Affiliate Disclosure
  • Contact Us
Technology | Software Reviews | Product Reviews | Internet Marketing
  • Home
  • Tech
    • All
    • Mobile
    Backup And Restore Software For Windows

    Backup And Restore Software For Windows, R-Drive Image Review

    QR Code Queue System

    QR Code Queue System: How It Helps To Reduce Long Queues At Your Business?

    Create A Tutorial Video Content

    Create A Tutorial Video Content In Minutes

    Identity Verification

    Identity Verification: How Well Are You Doing?

    What Is A VPN And How Does It Work

    What Is A VPN And How Does It Work?

    Tools For Microsoft Data Protection And Security

    Top 10 Software Solutions And Tools For Microsoft Data Protection And Security

    cloud based access control system

    How Do Access Control Systems Work?

    Software Development Outsourcing

    Anti-Crisis Guide For Software Development Outsourcing In 2022

    Payment Systems

    A Comparison Of Different Types Of Payment Systems

  • Fintech
    Trade Cryptocurrencies easily In Dubai

    How To Begin Cryptocurrency Trading In Dubai

    Cash App To Your Checking Account

    Can You Link Cash App To Your Checking Account?

    Best Cryptocurrencies To Invest

    Best Cryptocurrencies To Invest In

    What Is Coin98

    What Is Coin98: Essence And Cryptocurrency Rates

    Bitcoin Adoption

    Bitcoin Adoption: What Is It And How Will It Change Its Course

    IT Insurance VS Cybersecurity Insurance

    Understanding IT Insurance VS Cybersecurity Insurance

    El Salvador

    El Salvador – The Country Where You Can Use Bitcoins Legally!

    Cryptocurrency Is Becoming A Financial Force

    5 Signs Cryptocurrency Is Becoming A Financial Force To Be Reckoned With

    What All You Need To Know For A Healthy Crypto Investment

  • Blockchain
    Cryptocurrency And Cyber Insurance: A Form Of Mutualism

    Cryptocurrency And Cyber Insurance: A Form Of Mutualism

    Crypto Loans

    4 Essential Benefits Of Crypto Loans

    Blockchain Security

    Why Blockchain Security Is Good For You

    Blockchain Technology

    Blockchain Technology Explained

    VC Funding For Blockchain

    3 Proofs That Blockchain Will Soon Revolutionize Mortgage Lending

    Blockchain Could Help Advertisers

    The Blockchain Could Help Advertisers Lock Up Our Attention

    Blockchain Technology

    How Blockchain Technology Is About To Transform Sharemarket Trading

    Deloitte's 2020 Global Survey

    Deloitte’s 2020 Global Survey: Blockchain Becomes Top Strategic Priority For Majority Of Organizations

    VC Funding For Blockchain

    Top Blockchain-Based Security Solutions In 2020

  • E-Commerce
    What is Ecommerce Marketing

    What is Ecommerce Marketing? Everything You Need to Know About Ecommerce Marketing

    how to start a successful ecommerce business

    How To Start A Successful Ecommerce Business In 2023

    What Is Dropshipping

    What Is Dropshipping? Everything You Need To Know

    Great Marketing Practices Every E-Commerce Store

    3 Great Marketing Practices Every E-Commerce Store Should Use

    Grow Your eCommerce Business

    4 Ways To Grow Your eCommerce Business

    E-commerce Website Development

    Top Tips For Your E-commerce Website Development Process

    How To Make Money With Dropshipping

    How To Make Money Dropshipping In 2023

    Digital Marketing For Ecommerce

    The Value In Investing In Digital Marketing For Ecommerce

  • Lifestyle
    Advantages Of A Regular Skincare Program

    The Beneficial Advantages Of A Regular Skincare Program

    Hoboken apartments

    Family-Friendly Activities In The Tri-State Area

    Harry Potter Costume

    The Best Harry Potter Costumes To Bring Your Magical Fantasies To Life

    fun things to do on birthday

    10 Amazing Things You Must Do On Your Birthday

    Better Hair Quality

    Women Need A Better Hair Quality All The Time

    Is Your Office Job Killing You Slowly

    Is Your Office Job Killing You Slowly?

    Healthy Work-Life Balance

    Top Tips To Maintain A Healthy Work-Life Balance

    arbie Sole Tattoo

    Barbie Sole Tattoo Trends Blowing Up On Instagram

    Dumbest Fashion Trends In History

    From Muslin Dresses To Corsets: 17 Dumbest Fashion Trends In History

  • Inbound Marketing
    • All
    • Content Marketing
    • Email Marketing
    Perfect PowerPoint Presentation

    How To Create The Perfect PowerPoint Presentation

    Grow Your Email List

    8 Actionable Ways (Tested) To Grow Your Email List In 2022

    Competitive Analysis

    A Complete Guide On Competitive Analysis For Beginners

    EDM Marketing

    How EDM Marketing Is Different From Email Marketing? Which One Is Better?

    The State of Digital Marketing in Bangkok

    The State Of Digital Marketing In Bangkok

    Meme Marketing

    Meme Marketing – Why Are Brands Smiling About It

    Better Content Marketing

    Top 14 Essential Tips For Better Content Marketing

    Email open rates

    Personalization In Email Marketing: How To Increase Email Open Rates?

    Tech Blogging: An Era Ends? Or, A New Begining!

    Blog Strategy For Sustainable Content Marketing Business

  • Online Marketing
    • All
    • Mobile Marketing
    • Search Engine Marketing
    • Search Engine Optimization
    • Social Media Marketing
    Social Media Messaging

    Did You Know You Can Manage All Your Social Media Messaging In One Place?

    How Stergo Media Populous SEO, PPC, And SMM

    Leading The Way With Innovation: How Stergo Media Populous SEO, PPC, And SMM

    Digital Marketing Trends

    Top 7 Digital Marketing Trends In 2022

    Marketing Videos

    Why Should You Add Video Collages To Your Marketing Videos?

    Digital Marketing Hacks

    Digital Marketing Hacks 101 For Small Business Entrepreneurs

    Community For Your Business’s B2B Marketing

    How To Build And Use Your Community For Your Business’s B2B Marketing

    Digital Marketing Channels

    Best 5 Digital Marketing Channels For Your Brand In 2022

    Knowing the SEO Basics

    Knowing The SEO Basics

    SMS Marketing Mistakes to Avoid

    SMS Marketing Mistakes To Avoid

  • Software
    Appointment Scheduling Software Help Small Businesses

    How Does Appointment Scheduling Software Help Small Businesses?

    Salesforce: How Does It Work

    BigQuery To Salesforce: How Does It Work?

    Scheduling A Painless Job

    10 Best Appointment Scheduling Software For Small Business

    Invalua

    Ivalua Alternatives 2022: 10 Best Spend Management Software

    Booket

    Booket Alternatives 2022: 10 Best Salon Management Software

    Recruitment Assessment Tools

    Harver Tool Alternatives 2022: 10 Best Recruitment Assessment Tools

    Wordtune

    Wordtune Alternatives 2022: 10 Great AI-Powered Writing Tools

    Eduflow

    Eduflow Alternatives 2022: 10 Best Learning Management Solutions

    Payroll process

    This Is How You Can Make The Payroll Process More Strategic And Organized

No Result
View All Result
  • Home
  • Tech
    • All
    • Mobile
    Backup And Restore Software For Windows

    Backup And Restore Software For Windows, R-Drive Image Review

    QR Code Queue System

    QR Code Queue System: How It Helps To Reduce Long Queues At Your Business?

    Create A Tutorial Video Content

    Create A Tutorial Video Content In Minutes

    Identity Verification

    Identity Verification: How Well Are You Doing?

    What Is A VPN And How Does It Work

    What Is A VPN And How Does It Work?

    Tools For Microsoft Data Protection And Security

    Top 10 Software Solutions And Tools For Microsoft Data Protection And Security

    cloud based access control system

    How Do Access Control Systems Work?

    Software Development Outsourcing

    Anti-Crisis Guide For Software Development Outsourcing In 2022

    Payment Systems

    A Comparison Of Different Types Of Payment Systems

  • Fintech
    Trade Cryptocurrencies easily In Dubai

    How To Begin Cryptocurrency Trading In Dubai

    Cash App To Your Checking Account

    Can You Link Cash App To Your Checking Account?

    Best Cryptocurrencies To Invest

    Best Cryptocurrencies To Invest In

    What Is Coin98

    What Is Coin98: Essence And Cryptocurrency Rates

    Bitcoin Adoption

    Bitcoin Adoption: What Is It And How Will It Change Its Course

    IT Insurance VS Cybersecurity Insurance

    Understanding IT Insurance VS Cybersecurity Insurance

    El Salvador

    El Salvador – The Country Where You Can Use Bitcoins Legally!

    Cryptocurrency Is Becoming A Financial Force

    5 Signs Cryptocurrency Is Becoming A Financial Force To Be Reckoned With

    What All You Need To Know For A Healthy Crypto Investment

  • Blockchain
    Cryptocurrency And Cyber Insurance: A Form Of Mutualism

    Cryptocurrency And Cyber Insurance: A Form Of Mutualism

    Crypto Loans

    4 Essential Benefits Of Crypto Loans

    Blockchain Security

    Why Blockchain Security Is Good For You

    Blockchain Technology

    Blockchain Technology Explained

    VC Funding For Blockchain

    3 Proofs That Blockchain Will Soon Revolutionize Mortgage Lending

    Blockchain Could Help Advertisers

    The Blockchain Could Help Advertisers Lock Up Our Attention

    Blockchain Technology

    How Blockchain Technology Is About To Transform Sharemarket Trading

    Deloitte's 2020 Global Survey

    Deloitte’s 2020 Global Survey: Blockchain Becomes Top Strategic Priority For Majority Of Organizations

    VC Funding For Blockchain

    Top Blockchain-Based Security Solutions In 2020

  • E-Commerce
    What is Ecommerce Marketing

    What is Ecommerce Marketing? Everything You Need to Know About Ecommerce Marketing

    how to start a successful ecommerce business

    How To Start A Successful Ecommerce Business In 2023

    What Is Dropshipping

    What Is Dropshipping? Everything You Need To Know

    Great Marketing Practices Every E-Commerce Store

    3 Great Marketing Practices Every E-Commerce Store Should Use

    Grow Your eCommerce Business

    4 Ways To Grow Your eCommerce Business

    E-commerce Website Development

    Top Tips For Your E-commerce Website Development Process

    How To Make Money With Dropshipping

    How To Make Money Dropshipping In 2023

    Digital Marketing For Ecommerce

    The Value In Investing In Digital Marketing For Ecommerce

  • Lifestyle
    Advantages Of A Regular Skincare Program

    The Beneficial Advantages Of A Regular Skincare Program

    Hoboken apartments

    Family-Friendly Activities In The Tri-State Area

    Harry Potter Costume

    The Best Harry Potter Costumes To Bring Your Magical Fantasies To Life

    fun things to do on birthday

    10 Amazing Things You Must Do On Your Birthday

    Better Hair Quality

    Women Need A Better Hair Quality All The Time

    Is Your Office Job Killing You Slowly

    Is Your Office Job Killing You Slowly?

    Healthy Work-Life Balance

    Top Tips To Maintain A Healthy Work-Life Balance

    arbie Sole Tattoo

    Barbie Sole Tattoo Trends Blowing Up On Instagram

    Dumbest Fashion Trends In History

    From Muslin Dresses To Corsets: 17 Dumbest Fashion Trends In History

  • Inbound Marketing
    • All
    • Content Marketing
    • Email Marketing
    Perfect PowerPoint Presentation

    How To Create The Perfect PowerPoint Presentation

    Grow Your Email List

    8 Actionable Ways (Tested) To Grow Your Email List In 2022

    Competitive Analysis

    A Complete Guide On Competitive Analysis For Beginners

    EDM Marketing

    How EDM Marketing Is Different From Email Marketing? Which One Is Better?

    The State of Digital Marketing in Bangkok

    The State Of Digital Marketing In Bangkok

    Meme Marketing

    Meme Marketing – Why Are Brands Smiling About It

    Better Content Marketing

    Top 14 Essential Tips For Better Content Marketing

    Email open rates

    Personalization In Email Marketing: How To Increase Email Open Rates?

    Tech Blogging: An Era Ends? Or, A New Begining!

    Blog Strategy For Sustainable Content Marketing Business

  • Online Marketing
    • All
    • Mobile Marketing
    • Search Engine Marketing
    • Search Engine Optimization
    • Social Media Marketing
    Social Media Messaging

    Did You Know You Can Manage All Your Social Media Messaging In One Place?

    How Stergo Media Populous SEO, PPC, And SMM

    Leading The Way With Innovation: How Stergo Media Populous SEO, PPC, And SMM

    Digital Marketing Trends

    Top 7 Digital Marketing Trends In 2022

    Marketing Videos

    Why Should You Add Video Collages To Your Marketing Videos?

    Digital Marketing Hacks

    Digital Marketing Hacks 101 For Small Business Entrepreneurs

    Community For Your Business’s B2B Marketing

    How To Build And Use Your Community For Your Business’s B2B Marketing

    Digital Marketing Channels

    Best 5 Digital Marketing Channels For Your Brand In 2022

    Knowing the SEO Basics

    Knowing The SEO Basics

    SMS Marketing Mistakes to Avoid

    SMS Marketing Mistakes To Avoid

  • Software
    Appointment Scheduling Software Help Small Businesses

    How Does Appointment Scheduling Software Help Small Businesses?

    Salesforce: How Does It Work

    BigQuery To Salesforce: How Does It Work?

    Scheduling A Painless Job

    10 Best Appointment Scheduling Software For Small Business

    Invalua

    Ivalua Alternatives 2022: 10 Best Spend Management Software

    Booket

    Booket Alternatives 2022: 10 Best Salon Management Software

    Recruitment Assessment Tools

    Harver Tool Alternatives 2022: 10 Best Recruitment Assessment Tools

    Wordtune

    Wordtune Alternatives 2022: 10 Great AI-Powered Writing Tools

    Eduflow

    Eduflow Alternatives 2022: 10 Best Learning Management Solutions

    Payroll process

    This Is How You Can Make The Payroll Process More Strategic And Organized

No Result
View All Result
Technology | Software Reviews | Product Reviews | Internet Marketing
No Result
View All Result
Home Start UPs

Why So Many Startups Struggle With Customer Retention

February 7, 2023
in Start UPs
Startups Struggle
Share on FacebookShare on Twitter

Customer retention is vital if you want your company to grow, but many young startups struggle to get customers to stick around. Before they realize it, customer churn spikes, they begin losing as many customers as they’re gaining, and eventually, the startup collapses. It’s a repetitive pattern that unfolds time and time again in startups that don’t master customer retention early on – but why is that the case? And is this customer retention-related collapse syndrome preventable?

The High-Level on Customer Retention In Startups

Let’s jump in with a high-level assessment of why startups tend to lose out on customer retention and customer loyalty. Generally speaking, there are two paths to securing long-term paying customers: customer acquisition and customer retention. Customer acquisition is all about investing in sales, marketing, and advertising strategies to increase awareness of your brand and bring more customers to it. By contrast, customer retention is all about making sure your existing customer base is happy and satisfied with your product, so they continue paying for it or buying more things.

Because startups disproportionately invest in customer acquisition and either ignore or underestimate the importance of customer retention, they end up with imbalance. Their lack of investment in customer retention leads to a gradual weakening – and eventual loss of customers, sometimes to a degree that renders recovery nearly impossible.

Why Customer Retention Is So Valuable

So why is customer retention so valuable?

Customer retention is focused on keeping your existing customers around. But more than that, it’s about perfecting the customer experience so it can more easily spread to new customers currently unacquainted with your brand.

Consider the benefits:

  • Longer subscription rates: If your startup works on some kind of subscription model, your customer retention strategy can help you ensure you can keep your customers subscribed to your business for as long as possible. Even 1 additional year of revenue, per subscribed customer, can be game-changing for your business. Ideally, you’ll be keeping many of your customers around for a lifetime.
  • More purchases: Customers who appreciate your retention strategies will also be inclined to make more purchases with your brand. That could mean loading up an online cart with a couple of extra items, or returning to your store for more purchases more frequently in the future. Either way, your business will be generating more revenue.
  • Higher customer loyalty: Eventually, even the most original startups face competition. When your biggest competitors begin to emerge and threaten the customer base you’ve built, you can rest on your customer retention strategy; with the right retention strategy working in your favor, your customers will be more steadfast and more loyal to your brand. In other words, they’ll be less prone to switching to competitors, even with a compelling offer on the table.
  • Reviews and testimonials: When customers are satisfied with the service they’ve gotten, or when they’ve had an exceptional experience, they’ll be more likely to leave good reviews and write testimonials. Together, these glimpses of your customers’ psyches can help convince entire generations of new customers to give your brand a try.
  • Brand evangelism: If you amplify your customer retention strategy and go out of your way to give your customers great experiences, eventually you could end up with customers so loyal they become evangelists. Your biggest fans will think so highly of your brand, they’ll willingly and proactively recommend it to others. In other words, they become a walking advertisement – and proof that your startup truly cares about its customers.

The Pull To Customer Acquisition

Those benefits should be attractive to any startup entrepreneur. So why do so many professionals neglect it?

Part of the reason is a strong pull to customer acquisition, almost instinctively.

  • The growth mentality: For startups, the culture in most startups tends to focus on growth. Startup entrepreneurs are often enamored with the idea of growing to massive heights and getting rich – and the best way to do that is to get new customers in the door. If you’re too focused on growth, of course, you can become myopic – and miss out on counterbalancing that growth with customer retention.
  • The appeal of novelty: Human beings typically overvalue novelty. Why watch an old movie for the 100th time when you could see a new one? Whether they realize it or not, most people in the startup world intuitively overestimate the value of new customers while underestimating the value of existing ones – simply because new ones are “new.”
  • Pitching and reporting value: Let’s face it. It feels good to report strict growth and new users. When you get to tell an investor that your company has seen signups from 10,000 new people this month, it makes you optimistic about the future of the company – and will likely convince your investor that you’re on the right track. But these numbers sometimes overstate growth trajectory because they don’t account for whether those customers stick around.

Why Customer Retention Gets Neglected

On the other side of the equation, customer retention also gets unfairly neglected.

  • Overconfidence in the product: Your product may have high growth potential, but that’s not a guarantee of its ability to retain customers. Too often, entrepreneurs assume that once someone tries your product or signs up for a subscription to your services, they’ll be so satisfied they’ll never want to leave. That may happen occasionally, but it’s no reason to skimp on your customer retention strategy.
  • Underestimation of value: Some professionals simply don’t realize just how important and powerful it is to have a customer retention strategy in place. They’ve never led a startup that’s benefitted from a good customer retention strategy and they’ve never sat down to do the math. All they know is that “more customers is better.”
  • Lack of expertise: If you don’t have anyone on your team who’s advising you to invest in customer retention or telling you how to do it, it shouldn’t be surprising when the strategy gets neglected. If you’re going to be successful in this area, you’ll need to hire someone – whether it’s a full-time, in-house expert or an agency that can help you with a variety of services.
  • Lack of creativity: In some cases, a startup understands and values the idea of customer retention, but they just don’t have the creativity to come up with strategies that will keep people around. Some approaches are straightforward; for example, your intuition will tell you that great customer service will encourage customers to stay with a certain brand. But others require more thought and novel thinking to be successful.
  • Total ignorance of the possibilities: If you’ve never heard about the importance of customer retention, could you come to the strategy on your own? Without a solid understanding of the role of customer retention in a startup’s success, or the figures related to its quantitative value, you’d never formally pursue the strategy.

The Path To Higher Customer Retention

Fortunately, there are many potential tactics you can include on the path to higher customer retention. You can invest in a customer loyalty or rewards program to keep your customers subscribed. You can provide better customer service. You can routinely update your product and provide customers with additional features and perks. What’s important is that you have a way to figure out what’s important to your customers – and then provide it to them consistently for as long as they’re a customer.

It might be exciting to think about how your startup could explode in growth in just a few months, or even the course of several weeks. And it might truly have the potential to do that. But all that growth is going to mean nothing if the new customers you recruit end up leaving your company for a competitor. Make sure you’re investing just as heavily in customer retention as acquisition – if not more so.

Previous Post

Best Canva Alternatives For Easy Graphic Designing

Next Post

5 Superb Reasons To Invest In Texas Solar Panels Today

Related Posts

Need For Video Production
Start UPs

What Equipment Do I Need For Video Production?

May 30, 2022
How To Choose The Right Software Solution
Start UPs

A Step-By-Step Guide On How To Choose The Right Software Solution For Your Startup

March 18, 2022
Freelancers Need Coworking
Start UPs

4 Reasons Why Freelancers Need Coworking Space

June 24, 2022
Start Up
Start UPs

All Of The Tools You’ll Ever Need For Your Bootstrapped Startup

March 18, 2022
Reduce Startup Costs_3
Start UPs

5 Simple Ways To Reduce Startup Costs

March 18, 2022
Make Your Startup Business More Successful
lean startup

How To Make Your Startup Business More Successful

March 18, 2022
Google Introduces Launchpad Accelerator In India For AI And ML Startups
Entrepreneurship

Google Introduces Launchpad Accelerator In India For AI And ML Startups

March 18, 2022
Content Marketing Tools
Content Marketing

7 Content Marketing Tools Every Startup Should Use To Be Successful

March 18, 2022
work with publishers to help promote their products and services. ... be one of the most time- and cost-effective methods to make money online.
Freelance Jobs Online

10 Online Jobs Through Which You Can Make Money Online

March 18, 2022
Next Post
Invest In Texas Solar Panels

5 Superb Reasons To Invest In Texas Solar Panels Today

Recent Posts

Luxury Mental Health Retreat

What Are The Advantages Of Luxury Mental Health Retreat?

March 22, 2023
best LED wall rentals

Where Can You Order A Rental Of LED Walls?

March 13, 2023
Starting Your Music Career

From Beginner To Musician: A Comprehensive Guide To Starting Your Music Career

March 10, 2023
Backup And Restore Software For Windows

Backup And Restore Software For Windows, R-Drive Image Review

February 24, 2023
Smart Tips For Choosing The Lawyer

6 Smart Tips For Choosing The Lawyer To Represent Your Case

February 20, 2023

Get Updates

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.
Loading

Disclosure

We sometimes use affiliate links in our content. This won’t cost you anything but it helps us to offset the costs of paying our writing team. Thanks for your support!

About Witszen

Witszen-logo

Follow Us

Useful Links

  • Home
  • Affiliate Disclosure
  • Contact Us

Browse by Category

Get Updates

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.
Loading
  • Home
  • Affiliate Disclosure
  • Contact Us

© 2022 Witszen

No Result
View All Result
  • Home
  • Tech
  • Fintech
  • Blockchain
  • E-Commerce
  • Lifestyle
  • Inbound Marketing
  • Online Marketing
  • Software

© 2022 Witszen