Retail; Marketing Spending
Retailers often focus on customer acquisition—a costly prospect—at the expense of customer retention. Instant gratification can be a bigger incentive than building loyalty over time. In a November 2018 Retail TouchPoints survey, retailers' spending on acquisition and retention weren't radically different on the surface. Most budgets for both tactics hovered in the 10% to 40% range, but nearly three times as many retailers allocated 50% or more to acquisition.