"Much like it's more exciting to buy a new car than to maintain a current vehicle, it's a lot easier to celebrate new customers than retain customers." - Roy Opata Olende from Buffer and Zapier.
It is painful to see companies who solely focus on acquisition, acquisition, and more acquisition! They think more users will solve all of their problems.
As a retention "nerd," it is heartbreaking for me to watch and hear this. 💔
Retention is foundational to growth!
In a typical week, you can't seem to retain 100 of your current users. Meanwhile, your sales team is closing 100 new users a week. Are you really growing?
While this is not a realistic scenario - I see companies with a
churn rate of 80%, focusing on acquiring more users rather than trying to hold on to the ones they already have.
Where is the logic?
What we know from the data is this: post-"sale/sign-up" engagement is critical. Spend the time activating your users (make sure they set up their profile, have explored your product, experienced the value proposition, and built a habit around it).
Doing so ensures your users are UNLIKELY to churn.
So please spend a little more time on onboarding and activation - it will help you a great deal.