Customer retention refers to a company’s ability to keep existing customers engaged, satisfied, and loyal over time. High retention rates indicate strong customer satisfaction, while low retention suggests issues such as poor service, ineffective onboarding, or lack of engagement. Businesses improve retention by offering personalized experiences, loyalty programs, proactive customer support, and continuous engagement strategies. CRM systems track customer behavior, monitor churn risk, and provide predictive analytics to identify retention opportunities. Companies that focus on retention benefit from increased customer lifetime value (CLV) and reduced acquisition costs.