HEY GO-GETTERS! MIKE FROM FULL CIRCLE AGENCY BRINGS YOUR WEEKLY MARKETING BOOST! 🚀

Exciting news! We've turbocharged our Full Circle Agency Newsletter. On a state-of-the-art platform, expect bigger, bolder innovations and some exclusive referral perks. Massive thanks to our ever-growing community—you rock!

BIG MOVES AHEAD!

Hold onto your hats, folks! We’ve given The Marketer’s Playbook a sizzling upgrade, now on a zippy new platform. What's in store? More innovation, brilliant referral goodies, and a whole lot of fun.

Got a Minute for Some Wisdom?

Let's co-create the best reading experience EVER. Dive into our subscriber survey—it's our secret sauce to delivering the content you crave. Get started here!

Community Conversions: Leveraging Retention Marketing to Reduce Acquisition Costs

The Art of Keeping Customers: A CEO's Guide to Retention as the New Acquisition

Why Retention is the New Black in Business

Imagine a world where your customers are so delighted with your service that they become your unofficial sales force. This isn't a fantasy; it's the power of retention marketing. By focusing on keeping the customers you already have, you're not just saving on the hefty price tag of acquiring new ones, but you're also building a community of brand advocates who spread the good word for free. It's like having a dinner party where the guests are so enamored by the experience that they can't wait to invite others. And as any savvy CEO knows, word-of-mouth is the caviar of marketing strategies.

Now, let's sprinkle some numbers into our conversation. A mere 5% increase in customer retention can boost profits by a staggering 25-95%. That's not just a cherry on top; that's the whole dessert buffet. And when it comes to selling, your odds are better with familiar faces; you have a 60-70% chance of selling to an existing customer, compared to a 5-20% chance with a newbie. It's like betting on a seasoned jockey versus a horse that's never seen a racetrack.

The Community Effect: Leveraging Loyal Customers

In the community of your customer base, every member has a role. Some are the vocal supporters, others the silent endorsers, but all are integral to the ecosystem of your business. By investing in retention, you're not just maintaining a customer; you're nurturing a community member who will contribute to your brand's story. It's akin to tending a garden; the more you care for your plants, the more they flourish and attract admirers. And in the business garden, admirers can quickly turn into customers.

The Ripple Effect of a Satisfied Customer

When you delight a customer, you're tossing a pebble into the pond of potential. The ripples? Those are the referrals, the repeat business, and the reduced need to dive into the costly pool of acquisition. It's a beautiful cycle where satisfaction breeds loyalty, and loyalty breeds growth. And the best part? This cycle is self-sustaining, reducing the need for constant financial input into acquisition strategies. It's like having a wind turbine powering your business; once it's up and running, the energy keeps on flowing.

The Bottom Line

In the grand scheme of things, retention marketing isn't just a cost-saving tactic; it's a growth strategy. It's the secret sauce that can decrease initial prospect acquisition costs while simultaneously increasing your company's value. CEOs, take note: the path to a more profitable future may just lie in the customers you already have. After all, in the words of a wise person, 'A bird in the hand is worth two in the bush.' Or in business terms, a customer in your CRM is worth more than two in the market.

THIS WEEK'S MARKETING BLAZERS

Google's Gemini Search: Google has introduced Gemini, a multimodal large language model, currently in testing for Google Search. This innovation aims to enhance Google Search, Ads, and other products, boasting a 40% reduction in response latency​​.

Microsoft's Deep Search AI: Microsoft has launched a generative AI feature in Bing, named Deep Search. It expands Bing's web index and utilizes GPT-4 to understand the various intents behind a query, providing more specific and informative results​​.

YouTube's Popularity Among Teens: Pew Research reveals YouTube remains the top social media platform for American teens, with 93% usage. Interestingly, Snapchat has surpassed Instagram in popularity among this demographic, emphasizing the evolving preferences of younger audiences​​.

Expansion of YouTube's Video Reach Campaigns: Google has introduced additional formats for Video Reach Campaigns (VRCs) on YouTube. This update allows for in-feed, in-stream, and Shorts ads, utilizing machine learning to determine the most effective combination for reach and cost​​.

Rise in TikTok In-App Spending: TikTok has seen a 15% year-over-year increase in in-app spending, reaching approximately $3.8 billion. This growth highlights the app's significant revenue generation, especially from the United States and China, indicating its growing influence in the digital marketing space​​.

Programmatic Support for Google Ad Products: Google is set to introduce programmatic bidding for inventory eligible for limited ads in its AdSense, AdMob, and Ad Manager products. This new mode, expected to launch in the next quarter, represents a significant enhancement for advertisers using Google's platforms

Cheers to soaring marketing heights! 🚀🚀

Keep crushing it,

Mike

1. “The Marketer’s Dilemma: Acquisition vs. Retention.” CX Journey, 19 January 2022, https://cx-journey.com/2022/01/the-marketers-dilemma-acquisition-vs-retention.html.

2. “Customer Retention Vs Acquisition Costs.” LinkedIn · Russell Wilce Consulting, https://www.linkedin.com/pulse/customer-retention-vs-acquisition-costs-russell-wilce-consulting-1c/?trk=organization-update-content_share-article. Accessed 19 December 2023.

3. “8 Simple Ways to Reduce Customer Acquisition Costs.” DataFeedWatch, https://www.datafeedwatch.com/blog/reduce-customer-acquisition-cost. Accessed 19 December 2023.

4. “Customer Retention Versus Customer Acquisition.” Forbes, 12 December 2022, https://www.forbes.com/sites/forbesbusinesscouncil/2022/12/12/customer-retention-versus-customer-acquisition/.

5. “Customer Retention Marketing vs. Customer Acquisition Marketing.” OutboundEngine, https://www.outboundengine.com/blog/customer-retention-marketing-vs-customer-acquisition-marketing/. Accessed 19 December 2023.

6. “Customer Retention Cost (2023 SaaS Business Guide).” mosaic.tech, https://www.mosaic.tech/financial-metrics/customer-retention-cost. Accessed 19 December 2023.

7. “Community Gardens Are Growing Health, Food, & Opportunity.” Food Revolution Network, 4 August 2021, https://foodrevolution.org/blog/community-gardens/.

8. “Employee Engagement: The Foundation of Customer Satisfaction.” LinkedIn, https://www.linkedin.com/pulse/employee-engagement-foundation-customer-satisfaction-rocky-cobb-4fshc?trk=article-ssr-frontend-pulse_more-articles_related-content-card. Accessed 19 December 2023.