The measurement of this indicator Increase in sales  must have a defined frequency, so that you can monitor its evolution and the effectiveness of the strategies you implement.

Benefits of customer retention
Now that you know what customer retention is and how to apply its formula, it’s time to tell you about some of the benefits you get from implementing this type of strategy.

A Bain & Company study by Frederick Reichheld (author of the NPS – Net Promoter Score ) found a relationship between increased customer retention rates and company profits. For example, a 5% increase in customer retention rates in the financial sector generates more than a 25% increase in profits.

In addition, as a result of the improved relationship

Between the brand and the company and in response to the stimulus of the customer retention strategy, the volume and frequency of purchases from current customers will increase.

Improve the relationship with current customers
The customer will find that telegram number database he not only benefits from the product but is rewarded for his purchasing behavior and loyalty. This is a differentiating factor from the competition.

In addition, through customer retention strategies such as loyalty schemes, you can gain in-depth insight into customer motivations and behaviour .

Let’s say your loyalty plan includes reward

Redemption benefits of the customer’s choice, then you know what they prefer. Or if you run a raffle and your sales volume increases, it’s a sign that the prize motivates them to increase their consumption. All of this allows federico gelso global it director you to improve the product and service offering, and the customer experience.Impact on loyalty and the NPS ( Net Promoter Score ) indicator
Customer retention strategies – by improving the customer experience as a whole – favor loyalty and the NPS indicator.

When analyzing each of the pillars b2c lead of customer experience, the firm KPMG found that all of them impact – to a greater or lesser extent – loyalty. The study highlights the pillars: personalization, integrity, and time and effort , as those that have the greatest influence on building customer loyalty to the brand.