- By: Ravi Trivedi October 6, 2020
8 Reasons Why You Should Focus On Customer Re-engagement
Did you know that businesses lose $1.6 trillion when customers turn to their competitors? Marketers invest a lot of time, effort, and resources to acquire new leads. However, the question is does their efforts always drive positive results? Unfortunately, no! Why? Because marketers focus on acquiring new leads and ignore customer Re-engagement. As a result, what happens with the existing subscribers?
- They no longer use your products
- They turn to your competitors
- The loyal ones lose interest in the brand.
So can we help it? Of course yes, by using the re-engagement strategy. In this article, we’ll talk about what is customer re-engagement and why marketers need to focus on it
Marketers use customer re-engagement techniques to reach their inactive customers who were once interested in and engaged with their brand.
Need for Customer Re-engagement
Here are a few reasons as to why businesses should focus on customer re-engagement:
- It’s Cheaper: It costs 5 times more to lure new prospects than retaining existing ones. This shows that getting new customers is an expensive task.
- It’s Faster: 65% of business comes from existing customers. Because they know your brand well, selling doesn’t require much effort. While selling products to new customers is time-consuming.
- Your Business is in a Better Position: A study by Bain states that existing customers spend up to 67% more than new ones. Just lure them with offers that they can’t miss to get them back. This gives you a chance to increase your sales.
Gathering Contact Information – Very Important for Re-engagement Strategy
Collecting and updating customer contact data is a must for all brands. Without an email address or contact number, how will you communicate your offers or new products to them?
Contact information can be gathered by:
- Creating a customer database or
- Offering customer loyalty programs as a means to collect the email address or contact number
8 Ways to Re-engage With Customers:
Having discussed the importance of re-engagement, it’s time now to focus on what it takes to re-engage your existing prospects at different levels in the customer journey.
Here are 8 ways to re-engage with audiences:
1. Use Web Push Notifications
If you want to get re-engage your inactive customers use web push notifications. They are delivered directly to the customers in real-time. They drive higher conversion rates too.
You can segment your subscribers based on different attributes and send targeted web push. Send them a notification to elicit alertness about your new products and discounts that might interest them.
Push Notification platform has in-built campaigns to re-engage customers. You can try out the cart abandonment, price alert, drip and other campaigns. One of the deal site, Ofertia, got 39% repeat users using push notification.
Ensure that notification has a crisp and eye-catching CTA that pushes people to click and return to your site.
2. Know Your Customers Well
First of all, you need to find out the reasons that disengaged your customers. Was it the pricing strategy, poor customer service, or dissatisfaction with your product /service that turned them to your competitors?
A customer survey is the best way to know the reasons that disengaged your customers. Keep customer surveys short as no one would refer to a long survey.
Headspace has customized a very precise survey. It has a neat layout and grabs the reader’s attention with words like ‘not boring’ and ‘super short survey’.
Apart from this people hang out on various social platforms. You need to find the platforms your customers use and what makes them hang out there. This will help you to strategize your re-engagement strategy wisely.
Apart from emails Habitat uses a social media platform like Facebook to keep its audiences updated about their offers and collections.
3. Micro-Moments Matter
Micro-moments keep you informed about your customer’s journey from beginning to making a purchase. In simple words, micro-moments are those ‘intent rich moments’ where customers make decisions and mold their preferences.
By linking micro-moments to your customers’ journey you gather all their searched information. Their search history helps you customize content and loyalty offers that suit their requirement at that moment. As a result, you can take charge of their decision making process at the initial phase.
The travel & tourism sector uses micro-moment strategy frequently to track their customers’ travel history. Since their customers always look for weekend getaways or long vacation plans.
The Flying Club loyalty program of Virgin Atlantic lets its flyers earn miles that they can spend on their next trip. What a way to keep customers hooked!
4. Customer Data Tracking
Tracking your customers’ behavior from the first point of contact is crucial. This will guide you to revamp your re-engagement strategy occasionally. The best way to extract data from your customers is to offer them personalized subject line emails with a freebie
Did you know that open rates increase by 26% when brands create personalized subject lines in their emails?
Starbucks, uses an email with a personalized subject line along with a free offer during their birthday month. By smartly asking for additional information in exchange for the offer they get opportunities to revamp their re-engagement strategy.
5. Create A Community
67% of brands use communities to understand customers’ views on their products/services. Building a community around your brand serves three purposes:
- It draws like-minded people
- It offers them a reason to stay
- Its keep your brand first in consumers’ mind
You can use social media platforms like Facebook to create a community group or you can create your platform.
Lego, created a community called Lego Ideas. The community offers Lego lovers to showcase the designs they created with plastic blocks. The community lets its members submit their ideas as well as leave feedback.
6. Consistency and Value
A study from the Verde Group and The Wharton School state that two-third of all consumers use more than one platform to make purchases. With a hell lot of options available in the market, marketers need to maintain consistency across all platforms.
Ensure that you maintain consistency through content, design, or offering to build awareness and loyalty with your customers. This helps you create
- Better customer experience
- Brand trust
- Strengthens reputation
In a nutshell, consistency is the secret sauce ingredient to win back your inactive customers.
7. Run Fun and Enticing Promotions
Previous customers know your brand better. All they need is a nudge to come back. What could be better than offering them fun and enticing promotional offers?
Promotional offers could be anything from introducing a new feature about your product to referral programs.
ATGstores.com, offers crisp information in its email. It innovatively informs their customers about the changes they have made. The discount offer is attractive to poke customers to bounce back into their inactive accounts.
8. Retarget to Re-engage
Retargeting to re-engage is about displaying ads to your previous visitors.
Use pixel-based retargeting. This ensures that your ads get noticed by visitors who have visited your website or have clicked through your landing page.
This will assist you to churn out interested customers. By focusing on specific webpage visits you know what your audience is looking for. With this information, you can target them with relevant information.
Send them as many ads as you can. Make sure that each ad is of different sizes and formats to keep them hooked.
Now that you know how valuable existing customers are for your business don’t let them go away.
If your business wisely adopts the strategies mentioned in the article, then you are sure to kick start with an effective customer re-engagement journey.