Throughout my years working in IT management and product development I've always been rather peeved when the company I work for went on a customer aquisition spree and basically gave away the world to new customers, while seemingly sticking a screw driver in the backs of existing customers.

When publish a new offer, for new customers only how do your existing customers respond? Do customer rewards programs pay off?

I guess my question really boils down to this:

Which is more beneficial to your business, an aggressive customer acquisition strategy or a friendly customer retention strategy?

Thanks for listening.

Both are important if any company is to succeed however I would concentrate more on retention. You need to retain what customers you have by providing the best customer service/value that you can.

By keeping your existing customers happy you will surely increase your customer base as the best advert is the word of mouth.