(Mentioned in another comment somewhere else in this thread). In the long-term, yes, but retention and monetization can diverge in the short-term. Classic example is showing fewer ads (better user experience, better retention... but much less monetization). Of course, in the long term, you'd still need to monetize that retention somehow anyway.

I don’t see how. Can you explain how a company makes revenue purely by retaining users? I think they still need a monetization scheme separately. [edited for clarity]