3 Customer Retention Techniques to Know

Well, like I said last time about customer retention techniques, I tend to talk about this topic a lot, and it’s one of the rare times I tend not to complain about the repetition. I do, however, hate having to do it twice, back to back like this, and I don’t think I’ll do that again. But this one time, I think I have little choice.

The Reason:

Well, I had to cram several strategies in last time, to give you an overview of what the most common techniques are. But, that left me with a bit of limited space to discuss the three most popular ones, and why they do or don’t work in common situations. I also had limited time to discuss the philosophy of “energy conservation” being a directive behind the need for customer loyalty/retention,

Before I talk about the three customer retention techniques I want to, let me actually go over that a wee bit. Indulge me, this is important.


Ok, I draw parallels to a very simple set of concepts inherent in science. Every schoolchild knows of thermodynamics and the basic properties of energy and work. It’s always beneficial for the work produced to be significantly large, in ratio, to the energy put in.

This same logic goes into the financial aspects of business, including acquired customers versus returning ones. Which one takes more cost, in ratio to revenue? Acquired ones of course.


So, let’s look at the three biggest ones, and how they actually work. Only three this time, so I can discuss each a bit more.

#1 – Solid Support and Customer Service or Customer Success

Like I said last time, this is the one you can do to best ensure the loyalty of customers. Bad customer service or support contributes the fastest to bad reputation and loss of customers.

Politeness, good management and quick first contact resolutions are the key here. We have a whole blog about how to handle this stuff with elegance, and I recommend reading those, because I can’t possibly pack that into this point.

#2 – Incentives

Again, I pointed this one out before. This is famously employed by credit card companies (love or loath them), airlines, car rental companies and even grocers and department stores. Customer membership cards for discounts, frequent user rewards or points, any number of things like this are very famously done.

With that conservation of energy in for work out, this one is risky, because the rewards can be costly.

#3 – Maintenance Marketing

Well, you have to maintain visibility and presence in the social mind, to maintain loyalty, because we’re out of sight out of mind creatures often. Otherwise, companies like Coca-Cola or Chevrolet wouldn’t advertise except when new things were to be announced, now would they?

Big companies with huge budgets make fantastic marketing materials for this, but it’s not as much of a requirement as it is in need creation marketing, which is when something new needs to be brought to public awareness.

I hope that this time, I was a little clearer on the mindset behind the biggest three of the customer retention techniques, and I cleared up the conservationist philosophy behind loyalty/retention versus new customers. If so, then I think I can put this one to bed.


Matthew is the Lead Author & Editor of CXperience Blog. Matthew established the CXperience blog to create a source for news and discussion about some of the issues, challenges, news, and ideas relating to Customer Experience.