If you could do better than average finding multi-purchase customers (someone does, it is after all an average), if you could direct your promotions mailing list to those most likely to buy, if you could retain those 'hot' customers longer.... Clearly there is a lot of room to improve profits. So what is the secret to success? The Secret It's much less expensive to retain customers than it is to acquire new ones. Academic research bears this out The cost of acquisition occurs only at the beginning of a relationship, so the longer the relationship, the mailing list lower the amortized cost. ** Long-term customers tend to be less inclined to switch and tend to be less price sensitive. This can result in stable unit sales volume and increases in dollar-sales volume. Long-term customers tend to initiate free word of mouth promotions and referrals. ** Long-term customers are more likely to purchase ancillary products and high margin supplemental products. ** Regular customers tend to be less mailing list expensive to service because they are familiar with the process, require less "education", and are consistent in their order placement.