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Customer Retention Tools and Strategies for Business Growth

Check out how customer retention tools can supercharge your business and your ROI. Read the blog to find some promising tools.

Customer Retention Tools blog

Last updated on April 19, 2024

Are you tired of trying every trick in the book to increase your bottom line? Think twice, you could be missing out on something.

Have you considered customer retention tools yet? Well, you might try looking into it. They help you save time, resources, and effort in retaining existing customers while you consistently look for new ones to boost your business.

Save time, resources, and effort while consistently looking for new customers to sustain your business.

Check out why it is important for customers to stay with a company for it to flourish and the benefits this has to offer.

Why is customer retention important?

Customer retention has a direct correlation with customer satisfaction, which makes it even more important. It helps brands reduce the amount of time and effort required to reach out to new customers.

Moreover, the stat below makes it clearer why customer retention is important.

As per Hubspot, only a 5% customer retention can increase company revenue by 25-95%. Undoubtedly, this is a significant rate of revenue spike.

A good customer retention strategy ensures that your customers are accurately and efficiently aware of your brand. This strategy also leads to customers who are happy with the product and the customer experience.

Why do you need customer retention software?

Needless to say, customers are the lifeline of a business, and customer retention software helps you with just that.

Here are some key reasons why your business requires customer retention tools:

Increases customer loyalty and retention rates

Hubspot says, retaining existing customers is five times cheaper than acquiring new customers.

Rewarding your existing customers for writing reviews, sending referrals to friends, and social media sharing is a great way to increase customer loyalty.

You can also personalize rewards for customers to complete an action. These include – discounts, coupon codes, samples, store credits, and more.

Such actions enhance retention rates and customer loyalty making it easier for your audience to choose you over your competitors.

Improve customer relationship management

Customer retention software simplifies engagement with the brand.

In a nutshell, it helps answer questions and reduces efforts on manual and mundane tasks – reporting issues, contacting the support team, and more.

On the customers’ end, it leads to a superior user experience, which makes them stick with the brand for a longer time.

To attain the same, try automating your responses, resolving queries faster, offering valuable resources, scheduling follow-ups with experts, handing out customer tickets, and offering prospective discounts and free trials.

Data analysis and reporting

Customer retention software also works like a product and data analytics tool.

It helps you understand users’ behavioral data more efficiently, track resource types, and improve website or app navigation. Encountering such issues manually can cause user experience-related problems.

Here, a customer retention tool aids brands with a crystal clear idea about the performance of their website, app, tools, and other digital resources.

Increase sales and enhance marketing efforts

You can also track your sales and marketing efforts with higher precision using customer retention software.

Segmentations can further enhance marketing efforts through filters such as pricing, location, and more. You can also increase sales by offering valuable resources and on-demand content, which helps brands solve problems effectively.

As per Semrush, there are 60%-70% chance of selling to an existing customer. This makes it even more important to opt for customer retention software.

Improve customer support

Providing a delightful experience through seamless customer support is yet another benefit of customer retention software.

Besides improving customer satisfaction, it also helps resolve customer issues easily.

It assists customer reps in improving relationships with the customers, building trust, personalizing support, and thereby getting feedback to improve the experience thoroughly.

One way to do so is by creating triggers that point the users in the right direction, facilitating a prompt resolution.

Best customer retention tools in 2024

Retaining customers has turned out to be much easier with the continuous improvement of customer retention tools.

These tools provide all that a marketer is looking for.

Here are some of the best customer retention tools in 2024 that can deliver promising results:



Hotjar helps in improving customer experience along with providing feedback and behavior insights.

Additionally, it captures product analytics and customer insights through heatmaps and shows marketers a picture of a high number of interactions on websites and applications.

Hotjar also helps with session replays of the customers’ and visitors’ on-screen experience when browsing through your web resources. This helps brands gauge the user experience and helps them make corrections wherever necessary.

Try Hotjar



Putler helps track customer retention metrics over time while also providing a detailed overview of the revenue, visitors, and conversions.

Further, Putler also offers customer segmentation through advanced filters such as average order value, purchase history, demographics, engagement levels (RFM), location, products, customer types, and more.

Considering that e-commerce is a dynamic domain, Putler also helps you with churn predictions such as tracking changes in customer behavior and spending habits.

Diving deeper, Putler can also help you gauge customer behavior patterns such as purchase frequency and repetition (if any), average order value, and more.

Putler’s web analytics offers marketers a bird’s eye view as well as a zoomed-in look into multiple aspects of running an e-commerce business.

Try Putler for free



Zendesk helps you manage customer conversations in one place, helping brands to deliver better customer service.

This tool allows engaging with customers through a chatbot. It also offers 1000+ third-party applications and customer reports that can be sieved into neat and easy-to-read graphs, and reports.

Additionally, it helps customers build self-help libraries and community forums. These resources help in resolving the issue without calling the support team.

Try Zendesk


Icegram dashboard

Icegram helps brands comprehensively with functions around marketing, automation, and email marketing campaigns.

Besides reducing costs, it also helps personalize at scale through its plugins for WordPress and WooCommerce.

Through its sub-products such as Icegram Express, Icegram Engage, and Icegram Connect, the tool is all set to make your e-commerce business a success.

Try Icegram



Hubspot helps with marketing, customer support, and sales that are made for businesses of varied sizes.

The tool helps you capture, segment, and engage leads while storing all the customer data in one place. It also offers a CMS for building landing pages, and forms.

Its Service Hub feature helps with a shared inbox for customer queries, surveys, and support playbooks to resolve issues.

Try HubSpot



Yotpo helps incentivize customer loyalty with rewards and keeps you updated on the marketing trends that shape the customer loyalty journey.

It also helps you retain your best customers and works towards turning them into brand evangelists.

Furthermore, Yotpo also helps with seamless post-purchase journeys tailored to each customer. This helps in tracking the performance of your marketing endeavors and allowing them to see what takes your retention forward.

Try Yotpo


The best customer retention tool helps brands reduce churn and turn their customers into brand evangelists.

The software helps marketers understand and improve the user experience which can skyrocket conversions and the bottom line.

This eventually leads the marketers to persuade the customers to keep using their product.

However, there can still be reasons for brands to suffer when retaining their customers.

Struggling to retain customers for your e-commerce business?

Try Putler for free!

Not only we are offering you a helping hand to get you out of the mess, but we are also helping you juggle all the balls successfully!


How do you track customer retention?
You can track the customer retention in the following way:

Customer retention rate = (number of customers at the end of a given time period – number of new customers)/number of customers at the beginning of that time period.

How does software help with customer retention?
Customer retention software helps with automation and AI which thereby reduces agent workload for manual tasks, data analysis, and customer support interactions.

What are the best customer retention tools?
Some of the best customer retention tools include Putler, Hotjar, Zendesk, Icegram, Hubspot, Yotpo, and more.

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