During the Holidays, Existing Customers Are More Valuable Than New Ones

Extensive research by Optimove’s Data Lab reveals that holiday business from established customers is more valuable in both the short-term and the long-term than business from new customers

For online retailers, the winter holiday season represents an enormous window of opportunity for both new user acquisition and customer retention. And yet, the allocation of marketing investment between the two fronts is a strategic challenge. On the one hand, new customers typically mean new growth. On the other hand, there’s huge (and often untapped) potential in existing customer bases. Uncovering the shopping tendencies of these two groups is key to forming a well-grounded holiday marketing strategy.

We turned to Optimove’s database of hundreds of millions of customers from more ...

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