What this shift means
- Instead of pouring the bulk of their budget into acquiring new leads/customers, many marketers are reallocating resources toward keeping existing customers engaged, increasing their lifetime value (LTV), and leveraging owned audiences.
- “Curated newsletters” refers to ongoing email communications tailored to the existing customer/subscriber base: value-driven content, updates, community-oriented pieces, not just discount promos aimed at acquisition.
- The rationale: acquisition costs are rising, audiences are saturated, privacy rules make new-lead targeting harder — so making the most of the audiences you have (existing customers/subscribers) is becoming more efficient and strategic.
Key Trends & Supporting Evidence
- According to one survey of marketing-priorities for 2025, customer retention ranked higher than lead generation: 24 % of respondents picked retention as a priority vs 22 % for lead generation. (adma.com.au)
- Numerous industry pieces highlight that retention campaigns deliver greater ROI than acquisition efforts: for example, articles cite that even a 5% increase in customer retention can boost profits by 25%-95%. (Develte)
- One article states that marketers are shifting budgets: “In 2025 … there’s been a notable strategic pivot … 64% of brands said they are investing heavily in loyalty or rewards programmes, and 62% are focusing on personalized email campaigns to engage existing customers.” (The Marketing Specialists)
- Another source states: “Retention marketing strategies for 2025 … returning customers are easier to upsell, more likely to refer others, and contribute to higher CLV. When marketing budgets over-index on acquisition, profit margins shrink because churn offsets growth.” (scalewithfuture.com)
Case Studies
Case Study 1 – Mid-stage CPG Brand (via “Retention Marketing Strategies for 2025”)
- A consumer goods brand segmented its audience into new buyers, repeat purchasers and dormant users. Then they launched: onboarding flows, replenishment reminders, win-back emails. (scalewithfuture.com)
- Results: Retention rate improved from ~43% to ~58% within 90 days; NPS rose by 15 points; campaign ROI increased by ~30%. (scalewithfuture.com)
- Key takeaway: Instead of chasing new leads, by activating and nurturing existing ones, they achieved measurable improvement in retention and ROI.
Case Study 2 – CRM/Retention Strategy Shift
- An article outlines that many businesses are shifting away from “endless budget into acquisition campaigns” and toward retention through personalised email, loyalty programmes, lifecycle marketing. (RetentionMinds)
- For example: returning customers spend ~67% more than new customers in some contexts. Having a strong retention strategy means you can reduce acquisition spend or target more selectively. (RetentionMinds)
Case Study 3 – Lifecycle Marketing & Dormant User Win-Back
- A 2025 journal paper found that lifecycle marketing tailored to journey stages improved onboarding retention by ~20% and reactivated dormant customers with ~15% success. (ijrsml.org)
- This underlines the value of orchestrated retention rather than only acquisition campaigns.
Practitioner Comments & Insights
- From a Reddit post:
“Email still works … but I wouldn’t call it the ‘king’ for acquisition anymore… It’s definitely better for nurturing and retention once someone already knows you. If you’ve got an audience, even a small one, email is still one of the cheapest and highest-ROI channels out there.” (Reddit)
- From industry commentary:
“In 2025, CRM-led retention marketing is the key to sustainable growth. With acquisition costs rising, CX expectations evolving … brands must shift their mindset from short-term wins to long-term customer relationships.” (RetentionMinds)
“When marketing budgets over-index on acquisition, profit margins shrink because customer churn offsets growth.” (scalewithfuture.com)
Implications & Strategic Moves
- Budget shift: Marketers should consider allocating a greater proportion of budget to retention (e.g., loyalty programmes, lifecycle email flows, curated newsletters), not simply lead generation.
- Email content strategy: Curated newsletters (value-driven, community-oriented, storytelling, product education) matter more. They keep existing customers engaged and reduce churn.
- Lifecycle orchestration: Use automated email flows for different audience segments: new customers, active customers, lapsing customers, dormant customers. The aim is increasing repeat purchases, cross-sells, upsells.
- Metrics change: Focus more on customer lifetime value (CLV), repeat purchase rate, churn rate, retention rate, than just cost per lead (CPL) or number of new leads.
- Owned data advantage: Existing customers give you first-party data (purchase history, behaviour) — this is more reliable than cold lead data, especially in a privacy-first environment.
- Curated newsletters: These serve as a key touchpoint to nurture relationships rather than just selling. Newsletter content should deliver value, not just promos.
- Sustainable growth over flashy growth: Retention may grow slower than massive acquisition bursts, but it builds a stable, predictable revenue base.
- Acquisition still matters, but with nuance: Don’t abandon acquisition — but acquire new customers in a
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Here are case-studies and commentary on how retention-driven campaigns and curated newsletters are increasingly taking precedence over new-lead-acquisition efforts in email/digital marketing.
Case Studies
Case Study 1: 7879 (Luxury Jewellery)
- The brand launched with a strong focus on retention — building email/SMS flows for post-purchase, VIP journeys, welcome series rather than simply acquiring lots of new leads. (retentionmachine.io)
- Results: Total revenue increased by 171%; email accounted for over 40% of total monthly revenue; flow (automation) revenue rose by 93%. (retentionmachine.io)
- Implication: Investing in customer lifecycle and repeat purchase yielded far stronger returns than focusing purely on new lead acquisition.
Case Study 2: Rehaus (Luxury Furniture Marketplace)
- The brand migrated from basic email lists (Mailchimp) to a more sophisticated retention-led strategy (automation, segmentation) with partner Retention Machine. (retentionmachine.io)
- Results: Email revenue contribution grew from low single digits to nearly 40% of total revenue; newsletters accounted for ~30% of email revenue, automated flows (~70%) drove the rest. (retentionmachine.io)
- Implication: Newsletter + retention flows become a revenue engine, reducing reliance on acquiring new leads.
Case Study 3: Chaayos (Food & Beverage)
- The brand used email campaigns targeted at inactive users (dormant customers) and introduced triggered communications based on behaviour (rather than just blasting new leads). (WebEngage)
- They improved inactive-user conversion and reduced churn significantly (improving retention by ~154% in some segments). (WebEngage)
- Implication: Re-engaging existing customers is more efficient than always chasing new ones.
Case Study 4: Broader Retention Marketing Summary
- A blog summarises multiple brands: by focusing on personalized email flows, tailored content and behavioural segmentation, companies achieved, e.g., 25% increase in repeat purchases and 40% reduction in churn. (EMB Blogs)
- Implication: Curated newsletters and retention-focused outreach pay off across industries.
Commentary & Insights
- From a practitioner:
“Getting someone to buy once is expensive; getting them to come back is where the margins really live.” (Reddit)
This emphasises that repeat customers offer greater long-term value. - On retention vs acquisition:
“Retention has way more leverage than most brands admit… Paid ads can get you the first sale, but the real win comes from what happens after.” (Reddit)
This reflects a shift in marketing strategy: acquisition is necessary but retention becomes the compounding engine. - On newsletter / curated content:
From the “10 Case Studies of Successful Retention Marketing” summary:“By focusing on customer-centric strategies, the e-commerce brand not only improved its retention rates but also increased overall customer satisfaction.” (Growett)
Newsletters and curated content help maintain engagement, not just convert new leads.
Why This Shift Matters
- Higher ROI on existing customers: Because acquisition costs are higher and conversion more uncertain, investing in retention often yields better ROI.
- Curated newsletters build habitual engagement: Regular curated content keeps your brand top-of-mind and builds loyalty, reducing churn.
- Retention drives compounding growth: A loyal customer base can generate repeat purchases, referrals, and learns your patterns — reducing dependence on continuously generating new leads.
- Better list health and lower risk: Focusing on engaged existing users means lower unsubscribe/spam rates, better deliverability, more trust.
- Balance shift in strategy: Instead of “all new leads”, more marketers now allocate budget/time to retention flows, newsletters, loyalty communications.
Key Takeaways & Strategic Actions
- Audit your email program: How much of your effort and budget is on new-lead acquisition vs retention/curation?
- Build or enhance newsletter programs that deliver value (not just promos) to engage your existing audience regularly.
- Develop automated retention flows: welcome series, post-purchase follow up, win-back campaigns, VIP journeys.
- Segment based on purchase behaviour, recency, engagement — treat leads vs repeat customers differently.
- Measure lifetime value (LTV) and repeat purchase rate; use curated newsletters and retention campaigns to improve them.
- Adjust budget allocation: While acquisition remains important, ensure retention gets a meaningful share because it has long-term impact.