Research and benchmarks

The evidence behind loovo

Independent research on why retention, timing and real-time action decide retail profitability. Every figure below links back to its original source.

01

The acquisition cost versus lifetime value problem

Harvard Business Review and Bain & Company research

Acquiring a new customer can cost 5 to 25 times more than retaining an existing one. Increasing retention rates by just 5% can lift company profits by 25% to 95%.

Why it matters for your store: Focusing on existing, high-intent customers returns dramatically better margins than pouring more spend into cold acquisition.

Harvard Business Review - The Value of Keeping the Right Customers
02

The shift to real-time personalisation

McKinsey & Company, Next in Personalization report

71% of consumers expect personalised interactions and 76% are frustrated when brands do not deliver them. Fast-growing companies drive 40% more revenue from personalised execution than slower-growing peers.

Why it matters for your store: Behaviour-triggered messaging converts far better than generic campaign blasts, and it has to happen automatically to happen at all.

McKinsey & Company - The Value of Getting Personalization Right
03

The rising cost of paid acquisition

SimplicityDX e-commerce benchmark study

Rising ad costs on Meta and Google have pushed e-commerce customer acquisition costs up by more than 60% in recent years, leaving many retailers losing margin on a first order.

Why it matters for your store: Retailers need owned-channel retention revenue to offset paid media inflation instead of buying the same customer twice.

SimplicityDX - E-Commerce Customer Acquisition Costs Study
04

Cart abandonment and the timing of intent

Baymard Institute e-commerce usability research

The average online cart abandonment rate sits above 70%. Engaging shoppers during an active session or within minutes of abandonment addresses an estimated $260B of recoverable orders.

Why it matters for your store: Value sits in the minutes after intent, which is exactly where real-time triggers beat next-day campaign follow-ups.

Baymard Institute - Cart Abandonment Rate Statistics
05

Unifying disconnected retail systems

Gartner research on composable commerce and data architecture

While 89% of retail executives agree unified customer data is critical to growth, fewer than 35% believe their stack can act on that data in real time.

Why it matters for your store: The gap is not storage, it is action. Data already sits in your store, loyalty and messaging tools waiting to be used.

Gartner - Composable Commerce and Unified Data Systems

Why loovo is the right answer to this research

Taken together, the research says the same thing: the profit is in the customers you already have, the window to act is minutes wide, and most retail stacks store the data without ever acting on it. loovo closes that gap.

  • Works on top of the systems you already run, so there is no migration and no rebuild.
  • Reads customer behaviour in real time and acts in the minutes that matter, not next week.
  • Chooses the incentive that protects margin instead of defaulting to a blanket discount.
  • Runs on autopilot, so retention revenue does not depend on adding people or agencies.
  • Measures lift against holdouts, so the revenue it reports is revenue you would not otherwise have had.
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