A Smarter Growth Play

by Kate Neri | Feb 18, 2025

We’ve all been there, months of effort to win a client, only to see them leave too soon. Frustrating, right? Every business wants to grow but the smartest companies aren’t just chasing new customers, they’re doubling down on keeping the ones they already have. 

As B2B companies, we know client retention isn’t just important, it keeps our businesses thriving. It’s the foundation for profitability, stability, and long-term success.

Why Retention Matters More Than Ever

We as B2B companies face unique challenges.

1. High Customer Acquisition Costs (CAC): Winning new business in B2B ain’t cheap. We spend months nurturing leads and invest big money into outbound motions, engaging in complex sales processes, and investing in proposals and negotiations.
2. Longer Sales Cycles: It’s part of the game we play, but the decision-making process in B2B involves multiple stakeholders, procurement hurdles, and lengthy approvals, making deals harder to close quickly.
3. Ongoing Value Expectation: Retaining B2B customers means continuously delivering value, whether through exceptional service, strategic insights, or innovative product or service improvements.
4. Easier to Switch Than Ever Before: With more competition, clients are constantly targeted by competitors offering lower prices, better features, or perceived higher value.

I’ve explored Why Client Retention Matters in the past if you’d like to dive deeper.

Retention vs. Acquisition

Here’s a visual that quickly demonstrates how prioritizing customer retention compares to the constant pursuit of new customers:

Retention is a Revenue Engine, Not Just a Defensive Move

Let’s be clear, client acquisition is still crucial for growth. But too many B2B companies pour all their energy into winning new business while neglecting the clients they already have. A balanced strategy that prioritizes retention alongside acquisition leads to more sustainable, profitable growth.

Ultimately this is a perspective shift from treating retention as a way to stop revenue loss, to using it as a growth driver. 

Here’s why:

• Existing Customers Expand Their Spend: Whether through seat upgrades in SaaS or broader engagements in professional services, retained customers fuel growth with lower acquisition costs.
• Trust Lowers Sales Friction: Once a company has established credibility, cross-selling and upselling become much easier.
• Retention Drives Referrals & Advocacy: The best new business comes from existing happy customers spreading the word.

Jordan-Ann, our Head of Client Strategy, put together some of her top strategies for client retention, pulling from her own experiences and challenges in maintaining a low churn rate to help you start brainstorming ways to drive up client retention.

Retention Wins the Long Game

Listen, acquiring new customers is important, but if you are playing the long game (which I have a feeling you are) retention is the foundation of sustainable, profitable growth in B2B. Companies that invest in keeping their customers engaged, valued, and successful will outpace competitors that focus solely on chasing new logos.

The bottom line? Growth isn’t just about getting more, it’s about keeping what you have and making it more valuable over time.