Retailers looking to make a positive impact on customers this Valentine’s Day should consider how big data marketing can help build long-term relationships. Here are 5 big data marketing tips that retailers should keep in mind to show customers some love:
1) Let data drive your marketing decisions. Take a hard look at what your customers buy, how often they buy and how much they spend. If you are armed with this data, you can make educated choices about how to market to them more effectively. An e-commerce jewelry store probably has customers who are a once-a-year gifters and others who buy regularly. Market to the once-a-year shoppers during gift-giving season and focus on the regular shoppers year-round.
2) Get personal. Send tailored communications to customers based on the type of products they typically buy rather than sending communications about other product categories that are out of left field. For example, if your data shows that your customer only buys women’s jeans, don’t send them information about men’s clothing. Customers love to receive communications that indicate that the retailer understands their needs.
3) Reward your VIPs. Customer relationships can last a lifetime, so think about how you can get your best customers shopping even more and feeling good about your retail brand. If your data indicates that you have a video-gamer who is always buying the latest games that come to market, offer them a coupon, free shipping or even early access to a new game.
4) Predict your customer’s next move. A retailer that’s truly dialed in to a customer’s data will know what their customer is going to buy next – sometimes even before the customer realizes they are ready to buy. If you know that one of your best customers buys a particular brand of tennis shoes every six months, for instance, send them an offer for that shoe brand a month before you expect them to make their next purchase.
5) Be transparent. There’s nothing more disappointing to a customer than a retailer that overpromises and underdelivers. Be realistic about the expectations that you set for your customer regarding product availability, shipping, etc. If you’ve got clean data in your retail organization, you would know how much inventory is available and how long it will take a product to ship.
When retail marketers look to data for insights, the rewards can really pay off. Not only will the retailer build a trusted reputation with its shoppers, but bottom line profits will also increase. That’s because targeted marketing enables customers to buy more and more often. In fact, it’s a lot more difficult to acquire a new customer than to retain a customer, so it only makes sense to figure out how to love your existing customer base even more!
It’s a great time of year for retail marketers to put on their thinking caps and find new ways to woo their customers. If retailers are smart, they will look to big data.