KEEP CUSTOMERS ON BOARD
Retaining (profitable) customers is a direct return.
Whereas a loyalty program focuses on increasing the frequency, share-of-wallet and lengthening the customer life cycle, a retention program focuses on retaining customers who pull out of the customer life cycle or journey at a particular time.
With a retention program, a number of effective contact moments are determined which purposefully zero in on this.
And it includes a cost trade off between recruiting new customers versus retaining existing customers and with the major objective of lowering the churn rate.