5 retention strategies for increasing customer lifetime value

5 retention strategies for increasing customer lifetime value

The bond that a company builds with its first-time clients can be tremendously significant. Marketers who convert new customers into repeat customers can have a significant impact on a company’s long-term growth and success.

Here’s how it works: When a first-time buyer makes a second purchase from your company, their likelihood of making another transaction jumps by 95%. From then, each subsequent purchase increases their likelihood of purchasing again. As a result, investing in new customers can boost customer lifetime value by up to 130%.

You worked really hard to gain new customers. Now that they’ve made their initial purchase from your company, it’s critical to re-engage them with retention strategies that will transform them into long-term, engaged customers.

Retention, on the other hand, is not a one-size-fits-all strategy. With customer personalization on the rise, marketers must develop highly relevant and personalized purchasing experiences to build client loyalty. These personalization-driven retention methods will assist you in converting your current consumer base into devoted, lifetime customers.

1. Determine who your high-value customers are.

Utilize high-quality shopper data to locate and reconnect with prior customers who are likely to shop with your company again. You’ll know how to keep your firm at the top of their minds by recognizing your high-value customers and establishing a strong grasp of their interests.

We combine three forms of shopper data – identity, product, and engagement — and use advanced AI to help businesses better understand what their customers desire.

1. Segment your messaging to differentiate it.

Marketers can use data to reconnect with targeted segments such as abandoned cart consumers, seasonal customers, and high-order-value customers for a hyper-focused audience approach. It lets marketers design multiple strategies for diverse audiences, allowing them to approach them with unique messaging and experiences using first-party data insights.

Are you looking for a real-life success story? Jockey, a clothing brand, initiated a predictive audiences campaign to re-engage audience segments with a high predictive lifetime value.

Our goal was to quit chasing a broad audience and instead become more particular in the terms we bid on and the clients we retarget in order to allocate expenditure to our best customers and those who are most likely to buy.

Within two months, the alliance resulted in an amazing 109% increase in return on ad expenditure and a 30% year-over-year revenue gain.

1. Personalized advertisements can help drive product discovery.

Re-engage existing consumers with personalized adverts for things you know they’ll enjoy. Address your consumers’ interests and wants based on an ongoing understanding of what they’re most likely to purchase.

We can assist you in determining which products your clients are most interested in by utilizing our First Party Media Network, which is a component of the largest commerce dataset on the open internet. While you already know what your customers have purchased from you in the past, our machine learning capabilities can identify the things that your customers are purchasing from competitors as well as what they are exploring online. Marketers can use this data to uncover possibilities to upsell/cross-sell certain products that fit the preferences of those clients.

1. Create a unified experience.

Reach customers throughout their entire customer journey with personalized experiences that support how they prefer to browse and shop – whether they’re scrolling through social media, reading an article on the website of their favorite publication, comparing products on a retailer site, or browsing the open internet.

Marketers can maximize how they connect with customers across multichannel experiences by nurturing their shopper journeys from consideration through conversion. Our best-in-class AI then provides hyper-relevant, real-time adverts to promote awareness strategies before they purchase. When they’re ready to buy, our AI Engine can re-engage them.

Marketers can also remind customers what they’re missing by delivering advertising about special bargains and hyper-relevant loyalty offers along the customer journey to further drive customer loyalty and stay top of mind.

1. Every day, drive value.

Marketers who want to develop a long-term relationship with their customers that goes beyond a single transaction must invest in providing highly tailored, customer-centric experiences. We make it simple to reconnect with your consumers, backed by the largest commerce dataset on the open internet and best-in-class AI, so you can stay top of mind and keep them coming back for more.