Marketers spend more on retention rather than acquisition
Howard Lake | 10 November 2005 | News
Research by Pitney Bowes in September has found that UK marketing professionals are for the first time committing more of their budget to customer retention rather than acquisition.
Pitney Bowes surveyed marketers at the top 1,000 companies in the UK, and found that 53% of all marketing budgets are now spent on retaining existing customers, an increase of 9.5% since 2003.
Charities are still lagging behind other sectors such as the retail and hotel industries, which spend 57% of the budgets on customer retention. Charities are spending 47%, although that has risen from 39% in 2003.
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While most sectors have seen an increase in the proportion of budgets spent on customer retention, the mail order and travel industries have both experienced a drop. The mail order industry spends 42% on retention, down from 56% in 2003, and the travel industry spends 47%, down from 52%.
About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.