Customer retention

Customer retention is when a company tries to keep its customers happy so that they will keep coming back and doing business with that company again and again.

Think about it this way: imagine you have a favorite ice cream store that you love to visit. If every time you go there, they treat you nicely, give you a free sample scoop, and make sure your order is just the way you like it, you are more likely to come back again next week, and the week after that, and so on.

But if the workers at the ice cream store are rude, the ice cream is never fresh or tastes bad, and they make mistakes with your orders, you probably won't want to go back to that store again.

So, companies want to make sure that their customers are happy and satisfied with their experience. This means that they need to offer good quality products or services, treat their customers kindly, be responsive to their needs and complaints, and offer them incentives to keep coming back - like coupons or loyalty programs.

Customer retention is important for a company because it costs more money to acquire new customers than to keep existing ones. Plus, happy customers are more likely to recommend a company to their friends and family, which can bring in even more new customers.