Retention analysis is the continuous monitoring of customer behavior throughout their lifetime. The aim of the retention analysis is to map when people buy, how much they spend, how loyal they are and when they stop coming back. It essentially shows how customer loyalty plays out over time.
It includes the retention metrics and cohort analysis to give you a complete picture of shopping habits. Retention analysis helps you:
- Understand the customer journey
- See how often people actually need your products
- Time re-engagement campaigns perfectly
- Spend less time and money on less effective campaigns
- Optimize offers and promos to bring more loyal customers