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The balance magazine/
Articles

How to Increase Customer Retention Without Spending More on Ads

How to Increase Customer Retention Without Spending More on Ads
March 20, 2025

We get it, acquiring new customers is exciting. But you know what’s even better? Keeping the ones you already have! Not only does customer retention boost long-term revenue, but it also saves you from constantly throwing money at ads just to bring people back.

So, how do you keep customers engaged, happy, and coming back for more without increasing your ad spend? Let’s dive in.

Roll Out the VIP Treatment

Nobody likes feeling like just another transaction. Give your customers the VIP experience, whether they’re first-timers or longtime supporters.

Try This:

  • Personalize emails with their name and past purchase history.
  • Offer exclusive deals or early access to new products.
  • Send a heartfelt thank-you note (bonus points if it’s handwritten).

A little effort goes a long way in making people feel valued. For more strategies for staying connected to customers and creating a lasting impact, we urge you to read “How to Retain Customers and Advocate Growth for Your Small Business.

Stay in Touch (Without Being Annoying)

The key to customer retention? Staying top of mind without spamming their inbox every two days.

Try This:

  • Set up an email or SMS sequence with helpful tips, product updates, or industry insights.
  • Create a loyalty newsletter with rewards, behind-the-scenes content, or sneak peeks.
  • Follow up post-purchase with check-ins like, “How’s it going with your new [product/service]?”

If you provide value, customers will look forward to hearing from you.

Make Loyalty Worth It

If you want customers to stick around, give them a reason! A strong loyalty program can keep them engaged and excited to return.

Try This:

  • Implement a points-based system where purchases unlock rewards.
  • Offer referral incentives (because happy customers love to spread the word!).
  • Surprise loyal customers with unexpected perks. Think birthday discounts or random “just because” freebies.

The goal? Keep them thinking, “Why would I go anywhere else?” If you’re interested in learning more about customer loyalty programs we encourage you to read “Surprise and Delight: Creative Customer Loyalty Programs for Canadian Small Businesses”.

Offer Top-Tier Customer Support

Ever had a bad customer service experience that made you swear off a business forever? Yeah, let’s not be that company.

Try This:

  • Respond quickly to customer questions on social media and email.
  • Make returns and exchanges hassle-free.
  • Go above and beyond. Small gestures like a quick follow-up call or an apology gift can turn a negative experience into lifelong loyalty.

People remember how you make them feel. Make sure it’s good. Looking for more customer support strategies? Check outA Small Business Owner’s Guide to Exceptional Customer Service”.

Build a Community, Not Just a Customer Base

The strongest brands don’t just sell, they create a space where customers feel like they belong.

Try This:

  • Start a private Facebook group or online community.
  • Feature customer success stories and user-generated content.
  • Host live Q&A sessions, webinars, or in-person meetups.

The more connected customers feel to your brand, the less likely they are to leave.

The Bottom Line: Keep Them Coming Back for More

Customer retention doesn’t have to be complicated or expensive. By focusing on building relationships, rewarding loyalty, and making every interaction a great one, you can turn one-time buyers into lifelong fans.

Want to level up your customer retention strategy? If you need funding to launch a loyalty program, upgrade your customer service, or invest in retention-focused tools, Driven is here to help. Let’s talk!

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