Where to Invest your Marketing? Acquisition vs Retention – June 2019

Changing Tides – June 2019

It’s an age-old dilemma. While studies have shown that a 5% reduction in customer defection can increase profits by 25 – 95%, only 12% of marketing dollars are spent on customer retention and about 55% goes towards new customer acquisition. Plus, existing customers are far easier to close and tend to spend more, so existing customers become even more profitable.

So why does this dilemma or imbalance exist?

  1. Increasing investment in acquisition is relatively easy. Spending on retention is difficult.
  2. Growth is the biggest reason. Top line growth market share is more likely to increase.

What’s the secret to retention?

In most cases it comes down to customer experience. There are a lot of ways to achieve this, but for our business-to-business clients we have had great results creating high-performance websites.

These are websites that are continuously being improved to deliver a superior online experience compared to competitive sites. Through a mix of client insights, side-by-side competitive evaluations and customer feedback mechanisms these websites are constantly being improved to deliver the ultimate user experience. Besides attracting more traffic and conversions, the continuous improvement supports the fundamentals of SEO optimization that greatly improves search rankings- which is great for acquisition!

Client Spotlight: ATI


On Thursday May 30th, American Technologies, Inc. (ATI) celebrated the opening of their beautiful new 150,000 sq ft Headquarters in Anaheim with a ribbon-cutting ceremony attended by city officials, management and their families. With more than 800 full-time employees and 20 branch offices throughout the U.S. ATI offers 24-hour emergency response for water damage, fire and smoke damage, lead/asbestos removal, mold remediation, biohazard clean-up and full reconstruction.

Team Member Spotlight: Ryne Dutcher

Ryne Dutcher

Ryne is a model team member who helps bring projects to the next level either through his writing or with his creative ideas. In addition, he always accepts every project with a smile and finds ways to make it better for all of our clients. He provides great attention to detail while also being a great photographer and skilled with capturing a story via video. Ryne grew up in Orange County and attended school in Grand Junction at Colorado Mesa University to study Marketing & Mass Communications. When Ryne is not at work, he enjoys photography, traveling and watching sports.