The Ignition Room Huddle Debate

On Wednesday, 13th September 2023, we hosted one of our most fiercely contested Ignition Room Huddle debates: “Retention vs Acquisition – Which is the Biggest Business Growth Lever?”​

In the blue corner, fighting for acquisition, was Tim Grimsditch. In the red corner, championing retention, was Virginie Faucon, MBA. With the room divided and tensions high, the debate unfolded into an electrifying discussion on which strategy drives long-term business success, customer loyalty and new customer acquisition.

Customer Retention vs Acquisition: Setting the Stage for a Growth Debate

Upon arrival at the Institute of Practitioners in Advertising (IPA), guests were immediately asked to choose a side:​

• Acquisition supporters received a blue sticker​
• Retention advocates received a red sticker​

While some attendees wished to remain neutral, they were encouraged to take a stand—with the opportunity to change sides as the debate progressed. This element of fluidity added a dynamic and interactive twist, making every argument count.​

Why Customer Acquisition Matters: Key Points from the Debate

First, to present his case, Tim Grimsditch argued the power of acquisition, highlighting key points:​

• Brand awareness is fleeting – Prospective customers don’t always have your brand at the top of their minds, and competitors are constantly vying for their attention.​
• Customer reach is limited – Even among those who opt into brand communications, only 40% engage, and as few as 10% act on them.​
• Growth requires a steady influx of new customers – without acquisition, businesses stagnate and struggle to expand their market share.​

Customer Retention as a Business Growth Lever: The Winning Argument

Taking the floor next, Virginie Faucon championed the power of retention, presenting compelling statistics:​

• Customer loyalty pays off – A 5% increase in customer retention can drive a profit growth of 25%–95%. ​forbes.com
• Loyalty schemes unlock new opportunities – Repeat customers are more receptive to cross-selling and upselling, increasing lifetime value.​
• Trust drives organic growth – A staggering 92% of consumers trust recommendations from friends and family.

A Fierce Marketing Debate on Retention vs Acquisition Ends in Deadlock

As the floor opened up for discussion, passionate arguments from both sides fuelled the debate, making it one of the most engaging Ignition Room Huddles to date, so much so that Nick had to step in to curtail the conversation after we ran out of time!​

With the final vote looming, guests were invited to physically switch sides if they had changed their stance during the debate.

The result? A dramatic 13 vs 13 tie.​

The Real Winner? A Fresh Format for Exploring Growth Strategies in Marketing

With both sides locked in a draw, the deciding vote fell to Alexandra Green from the IPA. Her final verdict?​

🎉 Retention wins! 🎉

Virginie Faucon was crowned the champion and awarded a bottle of champagne for her hard-fought victory. Tim, a formidable opponent, received a well-earned bottle of wine as the runner-up.​

The Real Winner: The Debate Format

Beyond the competition, the real success was the debate itself—a platform for lively discussion, strategic insights, and valuable knowledge-sharing.​

A huge thank you to:​

• Tim and Virginie, for their compelling arguments​
• The IPA for hosting the event​
• Everyone who attended and contributed to the discussion​

This Ignition Room Huddle proved once again that great debates drive great ideas. Until next time!​