1、parkluRETENTION MARKETING IN CHINA STRATEGY GUIDEMAY 20202ELIJAH WHALEYChief Marketing OfficerI have been ruminating on customer retention for years.Customer acquisition cost(CAC)data from KOL marketing campaigns initially spurred my interest in the subject.For some organizations,CAC is outpacing cu
2、stomer lifetime values(LTV),let alone one-time customers.The reality is,there is little companies can do to reduce CAC online as the gatekeepers(social/e-commerce platforms and KOLs)hold the keys to customers attention.The economics of consumer attention is such that ROI is out of whack and out of t
3、he control of brands.This insight led me to look for arbitrage opportunities elsewhere.I now believe a focus on LTV can countervail CAC.Warning!Retention marketing is not sexy.Retention is complex,with no one-size-fits-all solution.Retention marketing is a symphony of hard-fought customer-pleasing e
4、fforts.Brands can build lasting customer relationships by investing in everything from clean bathrooms to AI-driven Key Opinion Customer(KOC)programs.The one constant is that retention is not easy.Remember this:extreme heat,pressure,and time produces diamonds,and the tasks that are most difficult ar
5、e often those with the highest potential value.Retention is dynamic and complex,often requiring agile thinking and power structures that give employees,and even customers,the ability to act in the brands best interests.To me,packaging design is the best demonstration of the need for a shift in the w
6、ay brands think about retention.Product photography is a moonlighting passion of mine.Each year,I take thousands of product pictures for beauty brands,and I cringe every time I see a glass bottle with a silver logo or a shiny black plastic case with gold text.Armed with professional lighting and tho