Customer retention is cheaper than customer acquisition.Īn increase in customer retention of merely 5% can equate to an increase in profit of 25%. And, their positive testimonials will be more effective than any of your current marketing efforts - and cheaper, too.Īside from that, let's look at some data-backed reasons why you should invest in your customer service team. Investing in customer service helps activate your flywheel because loyal customers will help you acquire new customers, free of charge, by convincing prospects to interact with your brand. By providing top-notch customer service, businesses recoup customer acquisition costs and cultivate a loyal following that refers customers, serves as case studies, and provides testimonials and reviews. Customer service is important to your business because it retains customers and extracts more value from them.
