My favourite quote from the article and something every retailer should ask themselves:
"Retail is detail, yet the obvious isn’t always apparent. Can you answer these questions?
- How many shops does it take for a new customer to become a lifetime customer?
- What outreach are you doing to encourage that new customer to reach the magic number of lifetime loyalty?
- Are your new customers simply topping up a ‘leaky bucket’ and plugging the hole left by customers who’ve deserted you, or are you truly growing?"
It's not difficult to sort this out and come up with a data driven strategy to drive business and profit performance. Start with segmenting your customer base, so you know who/how/where and when your customers shop with you. Once you know who your customers are, then you can focus on what matters - protecting your most valuable clients, intervening and saving those about to churn and avoiding those that were never profitable in the first place.