How to do customer lifecycle marketing driven by cohort analysis, CLV maximization, repeat rate optimization and retention reports.
If you have an unlimited pool of potential customers and also unlimited budget to acquire them, this article is not for you. Your shop can survive with one-time sales.
If your target audience or budget, though, is not so huge, you need repeat purchases to stay in business.
Metilo’s focus is customer retention. We help you build long-lasting and profitable relationships with your customers and grow sustainably from there.
That’s why it’s important for us to share the good practices in customer retention. Consulting our clients, we have been able to see first-hand what works in different product categories and how retention fits in the big picture of business.
This report presents data and DTC metrics from our consulting work with direct-to-consumer brands, summarizing it by categories so benchmarking yourself is more relevant. The brands included are niche, DTC, and long-term oriented, meaning they consciously work for retention and optimize their marketing using all our tools.
Customer loyalty can have an overwhelming impact on your business. With so many brands of varying sizes focussing almost wholeheartedly on acquisition, they’re missing a lot of low-hanging fruit.
When you shift your focus to creating a post-purchase experience, you’ll find more customers coming back and buying from you a second time.
Many big brands are well aware of the fact that they need not only to find more new customers but that they also have to retain the existing ones.
It’s 2018 and people change their minds and their brand loyalty as fast as their Facebook statuses.
If your business doesn’t give them what they want, they will move on. Even if they were once satisfied with your service or product, this is not enough anymore. Customer retention is an important strategy and you should master it, too.
Here’s why DTC brands invest in customer retention:
Customer retention is essential for a successful e-commerce business. It earns you stable revenue inflow that you can reinvest in new customer acquisition or product development.
Retention helps you stay afloat financially because it’s cheap (even free) way to get new sales and revenue.
To do real retention marketing, you need to go deep into customer behaviors and analyse their buying habits before setting up campaigns.
Successful customer retention relies on constant communication between brand and customers. But how to do it without being annoying?
With carefully planned lifecycle emails.
There are various ways you can engage your customers on social media, via direct mail, paid search but email nurturing gives you the best levels of ROI in retaining customers.
Of course, the content in emails is what makes the difference between a winning lifecycle email and a losing one. We will get to this a bit later.