Changing seasons, the weather, unforeseen circumstances – there are numerous causes for fluctuations in customer acquisition. In the second of our three-part series (see part 1 here), Senior Sales Consultant Maxi Nelkenbrecher and Corporate Development Manager Marius Busen present use case examples for peak phases in customer acquisition.
Upswings in customer acquisition bring in large numbers of new customers, but those customers are most valuable when retained. Why is customer retention so important? The figures speak for themselves: A 5% increase in customer loyalty results in a 25 to 95 percent increase in sales (Reichheld & Shefter, 2000).
Retaining Newly Won Customers
Uplifts in customer acquisition are not only caused by outstanding acquisition campaigns. Marketers will see their acquisition rates rise because of weather changes, seasons, world events, and more. As a result, uplifts can’t always be predicted – and they need to be acted on quickly to develop valuable customer relationships.
When retaining customers, personalization goes a long way. Today’s customers want to not only be addressed by name, but respond to the right message, at the right time, through the right channel. Real-time personalization boosts sales by up to 20 percent (McKinsey & Company 2017).
Marketing automation makes large-scale, effective, and deep personalization possible. A CDP’s 360-degree profiles allow marketers to understand each customer individually and respond to their interests and needs in real-time.
Examples of retention campaigns that marketers can perform are:
- Personalized welcome mails
- First-to-second-order scoring
- Conversion-to-loyalty campaigns
- Cross-selling and up-selling
- Price reduction campaigns
- Friends and family referral
- Improving loyalty through NPS
Check out the webinar below and see how a cross-channel campaign with an NPS survey increases customer loyalty.