Six retention marketing campaigns to implement today

August 09, 2013

Studies show that it costs ten times more to generate a new customer than to maintain an existing one. Even if you have a large number of customers, a small increase in your retention rate should dramatically increase your profits.

Here are six retention marketing campaigns you can implement today. Collectively these campaigns can add 30% of revenues to your business:

1. Abandoned cart and search programs

On average, 60% of carts are abandoned but with personalized emails and incentives you can reduce this to 55%. You can also increase web search conversion from 4% to 8%.

seize style abandon cart

How it works
Who? People who abandon shopping cart
When? One day after abandonment
What? Reminder of abandoned products
Incentive? Based on propensity to buy

2. Turn new customers into repeat buyers

Sending a new customer a personalized product recommendation or incentive to make a second purchase can increase repeat buyers from 30% (industry average) to 35% or greater.

pet care rx

How it works
Who? All new customers
When? One day after their first purchase
What? Personalized product recommendations
Incentive? Based on predicted lifetime value

3. Product cross sell campaigns

Recommending other products before, during or after purchase - or as a stand alone campaign - can convince 7% of your customers to increase their order by 36% or more.

1 thanks again2 delivery
How it works
Who? Active customers
When? One day after each purchase
What? Personalized product recommendations
Incentive? Based on predicted lifetime value

4. Send replenishment reminders

If you send a customer a reminder to replenish a consumable product, you may add 3% of orders with very little effort.

iphone
How it works
Who? Everybody who bought a consumable product
When? Supplies are about to run out
What? Reminder of product reorder
Incentive? Based on predicted lifetime value

5. Win back lapsed customers

Offering customer who haven’t bought for a while, especially those with high lifetime value or low likelihood to buy, an incentive to come back can add another 3% in revenues.

laptop

How it works
Who? Customers who haven’t bought in 12 months
When? 12 months after last purchase
What? Personalized product recommendations
Incentive? Based on lifetime value and propensity to buy

6. Increase best customer loyalty

Sending your best customers a special message, invitation or gift on the anniversary of their relation with you, will build loyalty and result in 8% additional revenues.

How it works
Who? Top 10% customers by customer lifetime value
When? A special occasion, e.g. customer anniversary
What? A gift, invitation or bonus rewards

If you want to implement any of these campaigns, contact us today.