Managing customer acquisition and attrition is a fine-balancing act for most organizations, while for others it’s a horrifying feat. With sales and business development at the top of almost every company’s agenda, it is surprising how many companies have little, if any, internal intelligence on client attrition.
Managing client attrition and acquisition in order to achieve sales growth requires more than just knowing which customers have left the organization, it also requires understanding why and where they go. This understanding is important and required in order to target replacement customers at a lower cost of acquisition and/or at the same or higher margin. However, let’s not forget that at this stage there is merely a replacement of a lost client, meaning that from the start the sales organization is spending more at a decreased profit margin (client attrition erodes profitably even if clients are replaced at a one to one or...




