Retention
E-commerce
E-commerce
Retention is the share of customers who keep buying over time. Its opposite is churn: the share that leaves.
Keeping an existing customer almost always costs less than winning a new one, and it directly improves lifetime value. Yet most budget still goes to new visitors.
Measure retention per cohort — the group that became customers in the same month — so you can see whether new customers stick better or worse than the previous intake.
Related terms
- Customer lifetime valueCustomer lifetime value is the total margin you earn from an average customer for as long as they stay, not just on the first purchase.
- SegmentationSegmentation splits your audience or email list into groups with similar characteristics or behaviour so you can communicate more precisely.
- Marketing automationMarketing automation sends messages and triggers tasks automatically based on behaviour or data, such as a sequence of emails after a download.