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Retention Marketing: Current Customers Can Boost Your Shopify Sales


Shopify SalesA lot of Shopify experts highlight the importance of current customers in increasing profits.

A study by the Harvard Business Review found that getting a new customer is about five to 25 times more expensive, than retaining the ones you already have. Another study reports that a 5% increase in customer retention can lead to a 25% boost in sales.

Why is customer retention such an important part of your ecommerce profits? Why should you continue marketing to current customers? Here are the advantages of retention marketing:

Current Customers Will Spend More

Customers have a tendency to stick to stores that they’ve tried before.

Let’s say, you bought skincare products online and you’ve noticed its great results. Since you’ve tried and tested the product, you’ll likely buy it again, instead of experimenting with another brand.

This is why retention marketing works in a nutshell.

Existing customers are about 60 to 70 percent more likely to make a purchase, as compared to new customers who are only likely to buy about 5 to 20 percent.

Current Customers Can Become Brand Advocates

Current customers are your brand advocates.

Since they’ve bought from your Shopify store and used your product, they’ll likely share their positive or negative experiences with their friends, family and social media network. They’re more likely to review your product, post it on social media and influence people to try it out for themselves.

In fact, a study found that customers referred by other customers had a 37% higher customer retention rate. In addition, customers acquired via referrals spend 200% more than the average customer.

This makes a lot of sense.

Are you more likely to buy from a store after you saw a sponsored ad Facebook, or after someone you trust posted about their positive experience? The answer seems obvious, and it’s why retention marketing has great rewards.

Current Customers Help Maintain Your Profitability

All business owners want a stable customer base.

You want to reach a point where you can predict that after a year or five years down the road, you’ll remain profitable because X amount of people consistently return to your online store and buy your products. So, suffice to say, successful Shopify stores have a lot of loyal customers.

They’re not desperately trying to make ends meet. They don’t have to keep prices down because they’re confident that they’ll reach their targets or maintain their profitability.

This is why retention marketing is so crucial to your business.

You won’t panic because your competition decreased their prices. You can relax at night because you can confidently maintain your profitability.

Ready to Get Started With Retention Marketing?

Customer retention is very important to your Shopify store.

Current customers are more likely to buy your products, as compared to new customers. If they have positive experiences, they’ll also recommend your product to friends and family. Since their network trust them, they’ll try your products and drive sales for your business.

This helps you maintain your profitability in the long-run. You can relax and take it easy, because you’re confident that a few years down the road, you’ll increase your sales and profits.


Interested in how we can help you make the most of your online store? Digital Cake are Shopify experts, as an agency, we know what will help you be better online.

Chris Thomas


Chris Thomas

CEO & Founder

Chris has been at the forefront of eCommerce and a pioneer of online retailing since the early 00s. A 5-time Drapers Award winner, Chris has extensive experience in developing fashion brands online.

Chris founded Cake in 2016. Based in Birmingham, with offices nationwide, Cake specialises in helping fashion brands understand their market online and then helps to develop appropriate strategical direction to achieve their plan, all backed by his 20 years of operating in the retail market.