Customer acquisition and retention are one of the most crucial aspects that business leaders have to take into consideration because they define RevOps efficiency.
Most businesses usually consider acquisition and retention as different aspects, but eventually, they need to manage both of them effectively to enhance the customer experience. It is crucial for businesses to make the most of their marketing investments by improving their conversion rate and retaining the customer for a long. Modern enterprises need to strike a perfect balance between customer acquisition and retention to stay competitive in the marketplace. Most organizations focus more on acquiring customers rather than retaining them, which leads to an increase in expenditure and a negative brand image. Moreover, it is crucial for every business to spot all the cross-sale and referral opportunities to seize them to create a loyal customer base.
Also Read: Leveraging Multichannel Marketing for Better Customer Acquisition
Following are a few strategies that will help the CMOs of B2B enterprises to optimize their client acquisition and retention strategies:
Strike a perfect balance
A few enterprises follow the Pareto principle, which states that for businesses, nearly 80% of the revenue should be generated from acquiring new clients, and 20% of it should be generated by the current customer base. An enterprise that focuses a little more on customer retention could have a tremendous influence on business profits. One of the most efficient approaches is to strike a perfect balance between customer acquisition and retention to revolutionize customer journeys. It is crucial for the marketing teams to determine the patterns of how customer segments change and their influence on the market to enable them to make a strategic data-driven decision. CMOs, based on the data, need to make informed decisions about how and where to invest to ensure customer and business success.
Analyze CAC, CRC, and CLTV
Enterprises need to have effective data analytics tools integrated into their tech stack to gather, store and process data to calculate the customer acquisition cost(CAC), customer lifetime value (CLTV), and customer retention cost (CRC).
CMOs can evaluate the entire industry and market trends to understand the generalized standards witnessed in the industry. Enterprises, while calculating the CLTV realistically, need to consider all the cross sales, referrals, contract expansions, and CRC to make the most accurate analysis. CMOs should also consider all the indirect costs spent on acquiring and retaining customers. These indirect expenditures include cost spends on workforce costs, third-partner channels, and other technology stacks. Organizations do not have to include the entire operational costs to calculate the customer acquisition and retention costs, but they need to consider all the relevant costs to make accurate projections.
Also Read: Social Media Strategies CMOs Must Adopt in the Post-Pandemic Landscape
Get actionable insights from customers Journeys
B2B enterprises will be able to strike a balance between customer acquisitions and retention when they are able to engage with their clients beyond the personas. It is essential for enterprises to have a holistic view of their customer journeys to determine how their clients perceive the vendors in their purchase journey. The presales and aftersales journey of the customer lifecycle will offer insightful actions that CMOs can act on to improve the overall customer experience. In B2B landscapes, it’s not about how the clients see the products; it is mostly about how they perceive the product to accomplish their desired business outcome. Once the enterprises gather actionable insights from the customer lifecycle perspective, they can identify all the touchpoints that enable them to enhance customer acquisition and retention efforts.
CMOs of B2B enterprises should have efficient customer acquisition and retention strategies implemented in their RevOps to deliver a top-notch customer experience and have a higher ROI.
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