Greg Girard
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Peak-End Theory - What Is It?

Peak-End Theory - What Is It?

We have been delving into the psychological study of Peak-End theory this week and how it can be used to retain existing customers. Peak-End theory states that memories of experiences we have are created through the peak and end points of the experience.

It doesn’t really matter to our memories how long the experience lasted but rather how we felt at the peak and end points of it. 

Studies have shown that even if the peak point is a bad experience if the end point is more positive, we can still view the memory of that experience in a good light.

Why Is Customer Retention Essential?

So, peak end theory can help us retain customers, but why does that matter? Well, without returning customers it would be difficult for a business to survive.

Let’s take a bike shop, for example, they sell great bikes but the mechanics are no good. If they live in a small - or even an average-sized town - they will eventually run out of bikes to sell.

With no bikes to sell and no retention due to poor, slow, or overpriced maintenance and repairs, that bike shop may go out of business.

Businesses need retention in order to keep the doors open, especially local businesses where one-off customers just aren’t enough.

How to Use Peak-End Theory to Retain Customers

How can we apply this to retain customers? Well, in certain industries this is easy. Think of a travel trip that you have been on. You are hopefully full of wonderful memories that have just been newly created. 

How about at the end point of this when you walk in the door to your home there is a Welcome Home postcard waiting in your letterbox that contains an image personalised to your holiday experience. It contains an offer to book again with a discount. 

Data shows that the number of people that rebook using this method makes these types of campaign work time and time again.

Other Ways to Use Peak-End Theory

Even if you have had a bad experience, you can use this postcard to get customers to leave feedback. The feedback can then be acted on by your customer services team to reach out to that customer. 

Positive interactions from your team to help resolve any issues and create that positive end point that will show customers you care about their experience even after that event.

The same method can be used in any sales scenario. Give the customer the correct end point to upgrade their sales interaction with your brand or company.

How We Use Peak-End Theory at CX Services

CX Services can do this programmatically by taking your sales data feed and using it to create personalised end point interactions whether it be via email or physical mailings which can drive existing customers into raving fan customers.

What Else We Can Offer

On top of finding that end-point for you, we can print and mail that material which will bring customers back.

And that’s not to mention our other services such as warehouse fulfilment and CMS design.

Keep your peaks and ends positive with our excellent services. Get in touch with us and take advantage of this today!


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