Is 50-50 focus the right balance between customer acquisition and customer retention? It is important to acquire new customers to grow the business and achieve short-term revenue goals. However, resources used to acquire customers are squandered if new customers abandon the offerings quickly. Similarly, customer loyalty and retention programs, meant to increase repeat business and retain profitable customers, are also necessary and need to be chosen judiciously. Just putting offers on the table might not work as the competitors can do the same. Without optimizing the efforts across the customer lifecycle, it is impossible to maximize total customer revenue and the all-important Customer Lifetime Value (CLV).

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