Retention means keeping (retaining) something. In business context, it means keeping customers active - using the product, upselling to them, keeping them happy. Retention is closely connected to the Customer Lifetime Value.
Customer retention refers to the activities companies take to reduce the number of customer leaving. The goal of customer retention programs is to help companies retain as many customers as possible, often through customer loyalty and brand loyalty initiatives. Customer retention begins with the first contact a potential customer has with a company and continues throughout the entire lifetime of the relationship.
Customer retention can be improved through i.e. personalization, building trust, focusing on the customer relationship, a dedication to community management and a proactive approach to customer service.