Maximizing Ecommerce Retention: Focus on Customer Experience and Value

– ZERORetention is achieved through a good product with perceived value and regular communication.
– The focus should be on creating high-quality products with good margins, rather than relying on email and SMS campaigns.
– The key to retention is providing a positive customer experience and perceived value with the product, rather than complicated marketing flows.Focus on creating a good product with a high perceived value and prioritize regular timely communication around intent periods to improve retention for an ecommerce store.Do you know how much I care about retention for an ecommerce store? Zero Retention is the byproduct of a good product with a good perceived value and regular timely communication around intent periods. Do you know how much I care about good products with differentiation that are high quality with good margins? 100%. Yet all I see are posts about CAC to CLV ratios and rising CAC, and the need for retention, more email, and more SMS. Have you noticed that these all come from companies and agencies that do email, SMS, RFM, or loyalty? I’m not a fan in general of this mindset. In fact, if you want to torch a list, I say torch the list every 30 days, which is the average buying cycle. Get so aggressive with the idea that you need people to convert that you simply DO NOT LET UP until someone makes a purchase. Then “retention” can take over, and you can just print money from people that have already experienced your product – the very definition of retention. Let’s break down real data first and foremost. You want lower CAC? Make a better offer. You want higher CLV? Make a product that people will buy multiple of or have a reason to gift to other people. Email and SMS only work on people that have purchased and like your products. Seriously, look at your campaign history. The majority of people that purchase after signing up do so in less than 12 hours post sign up. Your email or SMS isn’t really impacting that. Guess what’s impacting them buying again? The person’s experience and perceived value with the product. It’s not about complicated flows, it’s about understanding the customer journey.

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