Online businesses that invest too much in either new or existing customers can suffer. Those that strike a balance thrive.
Tel Aviv-based Optimove, a customer retention automation platform, arrived at these findings after it examined data from millions of its online customers and more than 180 brands. The company released its research today.
“Companies are investing a lot of money on new customers,” Shauli Rozen, head of professional services at Optimove, told CMSWire. But those that invest too many resources — while they abandon existing customers — tend to see declining revenues, he said.
