If you run a business, you’ll already be well aware of how difficult it is to acquire customers. You need to utilize considerable resources and marketing tactics to grab their attention. You need to provide products and services they want. You also have to differentiate your company and its offerings from the competition.
With the amount of effort required to get customers on board, the last thing you want is for them to slip away. This is why it’s essential your business re-engages customers, ensuring they stick around and make future purchases. After all, it’s more likely a loyal customer is created when they’re constantly engaged with your brand.
To further expand on why re-engagement is essential for your business, let’s analyze the benefits gained from this strategy.
The Advantages of Customer Re-engagement
Based on the name, it doesn’t take much effort to recognize what customer re-engagement entails. This is a process where you attract potential leads back to your business, converting them into customers again. As you already understand they are interested in your brand, there’s more chance to get them back buying again than attracting new customers.
Here are a number of benefits gained from re-engaging your customers:
Low Acquisition Cost
According to research, it is five times cheaper to keep an existing customer compared to attracting a new one. Due to this, you can save considerably with your marketing efforts by going the re-engage route.
Of course, you won’t want to exclusively stick with re-engagement. It’s still vital you attract new customers to your company. Nevertheless, the cost-effective nature of re-engaging customers makes it one of the main reasons to go down this path.
High Return on Investment
Extending on from the previous point, you’re likely to get a high return on your marketing investment with re-engagement. Ultimately, you understand the behavior and interests of your customer base. You should have a database packed with information that details their activities.
The result of this is simple: you know what type of personalized, targeted advertising will generate results with past customers. This then leads to a higher conversion rate with your marketing efforts. To make this goal become a reality, enlist help from an ecommerce marketing agency.
Enhanced Customer Lifetime Value
Assuming you continue to re-engage customers, it’s more likely to boost their customer lifetime value. They will keep coming back for more, where they buy your products or subscribe to your services, supplying your business with more sales than a standard customer.
Once you have turned a regular customer into a loyal one through re-engagement, you gain more advantages than simply repeat purchases. If a customer is faithful and believes in your brand, they’re going to help spread the word.
This is great news because word-of-mouth advertising is among the most effective marketing efforts. People are not experiencing brands pushing their products on them, and they’re receiving advice from those closest to them – aka those they trust most. As a result, they are much more likely to act on a recommendation than an advert they come across.
Oh, and word-of-mouth advertising doesn’t cost you a penny.
Sell At a Premium
Attracting new customers requires various marketing tactics. One of those is offering more competitive pricing. Those contemplating purchasing from a brand for the first time are price-conscious. It can take a discount, say 10-20% off the retail price, that pushes them over the edge.
With re-engaged customers, this generally isn’t the case. Past customers will be more open to paying those premium prices. This is especially the case if they were pleased with the quality of your products/service in the past.
Gain Valuable Feedback
Repeat, re-engaged customers are some of the best people to ask when it comes to learning more about your business. They like what you have to offer, which means any criticism will tend to be on the constructive side.
This type of feedback can be invaluable in identifying new opportunities, the type that has flown under the radar, where you can enhance how your business operates.
Steps to Successfully
You understand the numerous benefits that can be obtained from re-engaging customers. Now it’s time to successfully attract consumers and bring them back to your business. Here are a few tactics to make that a reality:
Understand Why Customers Have Become Disinterested
Firstly, you should strive to learn why a past customer needs re-engaging in the first place. Were they unsatisfied with the product or service they received? Did they get turned away by the pricing? Have they moved on to one of your competitors?
Learning why they’ve become disinterested is important. This can be done by sending out customer surveys and receiving a clear answer. You can then gain a clearer picture of how to re-engage customers successfully.
Maintain Regular Contact with an Email Newsletter
You don’t want your brand to disappear from a past customer’s consciousness. Yet you also want to avoid your communication efforts annoying them and being regarded as spam. One way of achieving both objectives is with an email newsletter.
If you send out a newsletter on a weekly, bi-weekly, or monthly basis, this keeps your business firmly in their mind. This frequent mail also generally won’t be viewed as annoying – particularly if they’re aware you’ll be mailing them this type of communication.
Send Targeted Messaging
Alongside a newsletter, you might decide to go with targeted messaging as part of your marketing campaigns. Again, you’ll have to avoid going overboard with this strategy. Yet if you can create messaging that utilizes their past actions and behaviors, this personalized approach can go a long way toward grabbing their attention.
Information you can use includes their birthday, past purchases, and pages they visited on your website.
Run Enticing Promotional Campaigns
You know past customers are aware of your brand. You understand they are interested in what you offer. However, they’re still opting against becoming repeat customers. One way to get them to return is to give them a little push with an enticing promotional campaign. This could be everything from a giveaway to a personalized offer.