Digital Marketing Tactics For Customer Retention

Digital Marketing Tactics For Customer Retention

The most effective digital marketing tactics for customer retention are by far email campaign, which remains number one, social media marketing, content marketing and to a bit of a lesser extent referral marketing.

So some channels and tactics are more effective to entice a positive response from your target audience, which in this case, are your existing customers.

Again, this is something you would see in your channel performance reports by drilling down into specific marketing activities like source, medium, and campaign.

Of course there are marketing campaigns aimed at retaining customers, but remember customers do not see each activity in a disconnected vacation because they’re their whole experience.

And these include specific features of your website, or mobile apps that are aimed at servicing your customers.

retention and self service features

So retention and self service features are also very important in retaining and growing your customer base. Those are just some examples of features which your customers will use, and you can be creative about our services that will please and delight your customers.

Site Search can reveal a host of information about the issues customers are facing. And it is rife with interesting data about what they are looking for, whether they find it or not.

Whether they leave the site because they can find their answer or how many times they need to refine their search before they find the answer.

Your knowledge base is also an area where you can learn about the top issues and use a quality of measure of satisfaction like did this answer your question? Or how would you rate this knowledgebase article.

Net Promoter Score or NPS for short, is an easy measure of how likely your customers are to recommend you. This is a good proxy for customer satisfaction and potential growth.

Of course, monitoring and answering on social media is also a very valuable way of retention and growing visibility on social media.

Those are digital activities. But again, think holistically about your customers. They are likely interacting in other ways.

Remember this thing we call a phone. It’s still very valuable when people call your call center, look at what are their complaints what they are trying to solve and aim to solve those issues.

Consideration For Retention Scenarios

So there are some consideration for retention scenarios. When focusing on retention, non digital channels such as call center or other touch points, where there are opportunities to listen to your customers should also be considered.

The Call Centre is a valuable source of information, but also embedding yourself in direct customer conversation and interaction is a very valuable way of learning more about your customers.

If you are not listening to what your customers are telling you, you should start today with a very simple poll.

Surveys And Polls

So surveys and polls are an easy way to learn more about your customers. There are essentially three questions you need to ask.

The first one is why are you here today? What is your purpose of visit? Why are you visiting our website?

The second question is, were you able to complete your task if you came with a purpose in mind were you able to actually completed?  And if it didn’t work, why not? What happened? Can you provide more feedback?

So with three very simple questions, you can actually learn a lot about what are the roadblocks for your customers.

Expansion Opportunity Using the RFM Approach

The recency frequency monetary model RFM for short, indicates which customers are more likely to respond positively. to future engagement and marketing offers. The model is brilliantly simple.

Those who have made a purchase recently, I have made regular or frequent purchase over time, and I’ve spent the largest amount of money are clearly your best customers and are more likely to purchase again. This concepts origins long before the digital era.

In the times of paper catalogues this approach was used to cluster customers into groups that is segments and optimize offering based on various criteria like champions loyal customers, promising customers at risk customers or lost customers.

Unsurprisingly, this still works today in the digital world, and it can be automated, precise and further improve thanks to the amazing amount of data you have today about your customers.

Segmentation based on RFM

If time is cars, and you can’t create complex segmentation models, start by segmenting based on RFM tailor your campaigns based on those groups and it will be immensely beneficial.

The data for this information will reside in your customer and sales database. But we have seen some companies develop a variation of this concept using just their web analytics data.

Recency of the last session how many sessions the date in the past and online goals value completed? Once you’ve done your RFM analysis, you can actually visualize something like this, where customers with a high recency high frequency and eye monitoring value.

They are your most loyal customers and prospects when you can reward them with exclusive email privilege that makes them feel special.

For example, some retailers automatically offer free shipping and other products to their best online customers. If there’s a high recency, low frequency and low monetary value.

This segment includes your newest customers or subscribers. At the bottom of the scale, if you have low recency and low frequency and low monetary value, as in direct marketing, your least engaged recipients simply may not be worth mailing to. But in email marketing, they may be great candidates for re opt in campaign.

The RFM approach is relatively simple and can lead to great results. The next logical evolution from RFM is customer lifetime value.

Customer Lifetime Value or CLV

That is we usually say this customer is 12 months or 24 months CLV for customer lifetime. Value is X amount of dollars.

Leave a Comment

Your email address will not be published.