Herek's Blog

The Art & Science of

Client Retention

The place where I share my deep thoughts, observations, experiences, and frameworks

#29: How To Increase Client Lifetime Value Using Retention Principles

Case Study 2: A customer worth USD $36.79 turned into a USD $4611.79 client

No Trust = No Sale = No Retention

People buy when they trust the business and feel safe.

If you want to make more sales and retain more clients...
Building trust and sustaining trust is something you can't escape from.

In the previous blog post, we talked about the 4 ingredients of the Trust Pie.

You now know trust isn't 1 thing.
It's 4 things.

Today, you'll see how the 4 types of trust work on a real case study.
I'll walk you through how a lady who first spent $36.79 on my product...
Turned into a $4611.79 lifetime value client by the time she left.

Please note:
When this lady was working with me... I wasn't in the Retention niche yet.
I didn't even have the names for these frameworks back then.
But my values guided me to do the necessary.
She naturally stayed willingly.
I didn't have any loyalty programs or contracts to make her stay.

It's not perfect.
Because I was relatively new in the coaching industry at that time.
And I was still using some traditional marketing tactics learned from my mentors.
Most of those mentors are acquisition-focused.
I learned the hard way after I lost many clients using those methods.

The lady eventually left my coaching program due to unforeseen life events.
Her home was destroyed by a natural disaster.
She needed to rebuild her home.
By the time she left... She had stayed around 2.5 years.

I'll show you why she stayed.
I'll also show you how my frameworks apply to this case study.

How did we meet?

I was in a mentorship program.
I learned from one of the top marketers in the world.

I made a Facebook post in the community about my free workshop.

The free workshop had a paid VIP offer upgrade priced at $36.79.

A few people bought.

Including the lady we will be discussing in this case study.

Which type of trust is at work here?

My offer was about monetizing an online coaching business...
Creating offers.

Writing copy.

Funnel structures.

I created the funnel and wrote all the copy on the pages.
I wrote the copy for the promotional Facebook post.
I designed the offer on the checkout page.

These increased Trust in Expertise and Trust in Competence.

What Happened During The Workshop & VIP sessions?

I fulfilled all promises.
I made sure I overdelivered... More than what was promised.

I communicated authentically based on my experience.
I gave my insights so they know how I think.

I went in-depth to show them how I created the offer...

How I created the funnel...
And how I wrote the copy.
I don't only provide resources... I let the participants know what to look out for and why.

The participants gained lots of value from those sessions.
They got to see behind the curtains how that campaign went.

Which type of trust is at work here?

Overdelivery is a sign of commitment.
It's a sign of service.
It delights people because they didn't expect it.
It comes as a surprise when it's what people perceive as useful.
When you provide something relevant and helpful to people...
People appreciate this kind of pleasant surprise.

Trust in Intention increased here.

They know my intention: To serve, not extract.

When I talked about funnels, offers, and copy in depth...
I was demonstrating I know my stuff.
I spoke confidently.
I answered questions to clear doubts.

These actions increased Trust in Expertise and Trust in Competence.

What Happened After The Workshop & VIP sessions?

I presented opportunities to work together after the sessions.

The lady took up a monthly coaching offer.
$125 per month.

One session per month.

Scheduled time per session: 2 hours. (Usually I spend more time because I overdeliver and want to help the client more.)

Why only once per month?
She had already enrolled in other mentor's programs already.

She didn't have the capacity to work more intensely together with me.

So I created a personalized offer for her.

Which type of trust is at work here?

Personalizing an offer for the lady demonstrated person-centeredness.

Since my philosophy is People > Profits...

My actions are congruent with my values.

The congruency increased Trust in Character and Trust in Intention.

My intention?

To help the client.

I get paid for value creation, not value extraction.

What Happened During The Personal Coaching Sessions?

Going through the topics in-depth was a common feature.

Providing unique insights that other mentors failed to give was another benefit.

Most of the big-name mentors charge obscene amounts of money for 1-1 sessions.

You'll get personalized attention that you don't get in their group programs.

When this client worked with me personally at just $125 per month...

I was able to uncover her motivations and values.

Her psychological roadblocks affecting her business.

Her internal alignment.

Her relationship dynamics with her husband.

My past training as a therapist allowed me to look at her holistically as a person.

Not just her business.

I understood how her immediate environment was affecting her business.

On one hand, she wanted to succeed in her business.

On the other hand, she wanted a great relationship with her family.
And she had self-worth issues.

Which type of trust is at work here?

By putting the client at the center of the entire intervention...
We're addressing the problem at the root cause.

Many business coaches and consultants only look at the business.

They try to fix things using tactics.

They try to set up or fix the systems.

People get treated like a resource or commodity.

It's dehumanizing.

I recognize that every business problem is a personal problem.

The philosophy and values of the founder dictate the direction of the business.
The psychological state of the founder decides how the business performs.

A business will have problems growing when the founder feels unworthy of success.

A business will have retention problems if the founder focuses on Profits > People.

A founder who is unfocused will lead the business nowhere. Things are all over the place.

My dedication to target problems at the root cause does the following:
The client knows I'm genuinely helping her.

The client knows I'm not interested in upselling her tactics that only look good on the surface.

I don't do things that don't benefit the client.

Their interests come first.

This approach increased Trust in Intention.

My consistency in showing up and overdelivering increased Trust in Character.

Integrity matters a lot to me.

I don't do things that harm the client for my own benefit.

My ability to accurately diagnose problems increased Trust in Expertise.

My ability to resolve problems increased Trust in Competence.

I practice what I preach.
I can apply what I teach.

Can you see how all 4 types of Trust increase when I adopt the People > Profits philosophy?

How it all comes together?

Trust + Meaning = Retention

I gained 4 types of trust consistently throughout the whole journey with the client.

She felt meaningful to stay with my business.

Because I was genuinely helping her.

I even helped her improve her relationship with her husband and avoid a divorce.

The 4 types of trust are illustrated using the Trust Pie in the previous post.

If we map it using the Retention Architecture Model...

This is what it looks like:

Alignment: My values and the client's values are aligned. We want to do good for our clients. We don't do any harm. Integrity is important to us.

Execution: I fulfilled all promises. I overdelivered. I'm consistent in showing up without fail. I'm congruent in my words and actions.

Meaning: I genuinely cared for the client. She felt it was meaningful to stay on... To have someone in her corner supporting her.

Now, let's address the math.
How did the client's lifetime value go from $36.79 in the first purchase, to $4611.79, after about 2.5 years?

$125/month x 27 months = $3375

The client bought an additional 10 sessions of coaching: $1200

Lifetime value (after the initial front-end purchase): $4575

Total lifetime value (by the time she left): $4575 + $36.79 = $4611.79

You've seen how a simple philosophy like People > Profits can multiply lifetime value.
You now know how my retention frameworks can be applied in this case study.

No gimmicks, no manipulation, and no contracts needed.
You've seen what I did to earn the 4 ingredients of the
Trust Pie.
You also know what I did for the client at each stage of her journey.

The question now is:

What are you going to do about all these?


Reflect on:
Which type of trust are you strong in building right now?
Which type do you currently need more work in?

You'll be amazed at how your business will change when the trust and reputation compound.

People > Profits.

Always.

- Herek

P.S. If you'd like to explore more of my Client Retention content...

Feel free to follow me on the following platforms:
- LinkedIn.

- YouTube.

If you'd like to have a peek at my personal life...

I post more personal stuff on:

- Facebook

- Instagram

P.P.S. In case you missed it... Read the Client Retention Top 10 FAQs HERE. Then you'll understand our philosophy behind everything we do.

I look forward to sharing more with you in the next post.

If you enjoyed reading this post... Feel free to check out the other posts!

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Disclaimers: The content in this blog contains the personal opinions of Herek Loei. These are based on real-life events experienced by Herek, that shaped his worldview. Herek's sharing of experience does not mean you must agree with him. Herek does not impose his views on anyone. You're free to choose to stay on this site if what he shares resonates with you. If it doesn't, you've the choice to leave this site too.

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