How to Re-Engage Old Customers
Are you looking to maximize your online store's conversion by improving your retention strategy? This article tells you all about it.
Are you looking to maximize your online store's conversion by improving your retention strategy? If so, you're not alone. Many businesses focus on acquiring new customers as a primary growth strategy but often forget about the value of re-engaging with old customers.
Not only is it more cost-effective to retain existing customers than it is to acquire new ones, but re-engaging with old customers can also lead to increased loyalty and repeat business. That's why we've put together this post on how to effectively re-engage with old customers. Keep reading to learn more.
Why should you re-engage with customers?
Re-engaging with customers means making a conscious effort to reach out to and connect with your old customers in order to encourage them to continue doing business with you. So, why should you take the time and effort to re-engage with your old customers? Here are just a few of the benefits:
- Reduced customer churn rate: By re-engaging with old customers, you can help to reduce the rate at which they stop doing business with you. When customers feel valued and connected to your business, they are more likely to continue doing business with you.
- It's easier to sell to existing customers than new ones: Existing customers are already familiar with your products and services, so it's easier to sell to them than it is to try to convince new customers to make a purchase.
- Opportunities to upsell: Re-engaging with old customers gives you the opportunity to introduce them to new products or services that they may not have considered before. This can lead to increased sales and revenue.
Overall, re-engaging with old customers can be a valuable investment for your business. By putting in the effort to connect with and value your existing customers, you can improve your retention rate and increase your overall sales and revenue.
CLTV vs. Retention
When it comes to your business's customer base, there are two key metrics to consider: customer retention and customer lifetime value (CLTV). Customer retention refers to the percentage of customers who continue to do business with you over a given period of time. CLTV, on the other hand, is a measure of the total value a customer will bring to your business over their lifetime as a customer.
While these two metrics may seem unrelated, they are actually closely connected. In order to improve your customer retention rate, you need to focus on providing a great customer experience that keeps your customers coming back. At the same time, a positive customer experience can also lead to increased CLTV, as customers are more likely to make repeat purchases and recommend your business to others.
So, what does this have to do with re-engaging with old customers? By re-engaging with existing customers, you can help to improve both your customer retention rate and CLTV. By showing your old customers that you value their business and are committed to providing them with a great customer experience, you can encourage them to continue doing business with you and potentially increase their lifetime value as a customer. Simply put, re-engaging with old customers is an important part of maximizing both customer retention and CLTV.
3 elements to include in your re-engagement strategy
Capturing customer details
Capturing customer details is an essential part of any good retention strategy. A contact form is the foundation of this process, as it allows you to gather information about your customers and keep track of their preferences and needs.
So, what should you look for in a good contact form generator? Here are a few key elements to consider:
- Logical and conversational smart forms: A good contact form generator will allow you to create forms that are easy for customers to fill out and understand. This can help to improve the overall customer experience and increase the likelihood of customers completing the form.
- Simple functionality: A contact form generator that is easy to use and navigate will make it easier for you to create and customize your forms, saving you time and effort.
- Multiple question types: A good contact form generator will offer a variety of question types, such as multiple choice, checkboxes, and dropdown menus, to allow you to gather the information you need in the most effective way.
- Conditional logic: A contact form generator that allows you to personalize your forms through conditional logic can help to improve the overall customer experience. This can be especially useful if you are asking customers to answer a series of questions and want to tailor their experience based on their responses.
- Data tracking and collection: A good contact form generator will allow you to track and collect data from your forms, giving you valuable insights into your customers and their needs.
- Third-party integration: If you use other services, such as Slack, it's helpful to have a contact form generator that can integrate with these third-party services to make it easier to manage and track your customer data.
By choosing a generator that offers these key elements, you can ensure that you are able to effectively capture customer details and improve your retention efforts.
Once you have captured your customers' contact details, newsletters can be an effective way to keep them engaged with your business. However, it's important to deliver real value in your newsletters in order to appeal to your customers. Here are a few ways you can do this:
- Sharing blog articles: Sharing informative and useful blog articles can be a great way to build credibility and trust with your customers. By educating them about how your solution can improve their lives, you can demonstrate your expertise and help to build a stronger relationship with them. However, this tactic may take longer to convert than others, so it's important to consider how it fits into your overall retention strategy.
- Sending discount codes: Offering exclusive discounts to your newsletter subscribers can be an effective way to convert previously disengaged customers. This is a short-term strategy that can provide immediate results, but it's important to consider how you will keep your customers engaged in the long-term.
It's a good idea to use a mix of both short-term and long-game techniques in your newsletters to make them more impactful. By offering a mix of informative content and exclusive offers, you can appeal to your customers' interests and keep them engaged with your business.
Many businesses focus on how they can entice new customers, such as offering a discount on their first order. However, existing customers often don't reap the same benefits. This can lead to a feeling of being overlooked or taken for granted, which can impact customer loyalty and retention.
One way to remedy this is by sending existing customer-only offers to entice old customers back. Here are a few examples of how you can do this:
- A flash sale for existing customers only: By offering a limited-time discount or special promotion to your existing customers, you can create a sense of exclusivity and encourage them to make a purchase.
- Early access to new products or services: By giving your existing customers the first opportunity to try out your new offerings, you can create a sense of excitement and reward their loyalty.
- Personalized recommendations: By saving customer data and purchase history to create personalized recommendations, you can show your existing customers that you value their business and are committed to helping them find products or services that are tailored to their interests.
Offering exclusive access to your existing customers is a great way to entice them back and show them that they are valued members of your customer base. By putting in the effort to create tailored and exclusive experiences for your old customers, you can improve retention and increase loyalty.
How to prevent customers from disengaging
While the above suggestions are effective ways to re-engage customers, the best approach is to prevent customer disengagement in the first place. One way to do this is by providing the best possible customer experience. Here are a few examples of how you can achieve this:
- Meeting customer needs: By providing excellent customer support, you can help to ensure that your customers' needs are met and that they feel valued and supported by your business. This can be achieved through the use of a customer support plugin, an FAQ section, or other resources that help customers find the information they need.
- Easy-to-navigate website: A website that is easy to navigate is essential for providing a great customer experience. This can be achieved through the use of search plugins, clear calls-to-action (CTAs), and other design elements that make it easy for customers to find what they are looking for.
- Streamline order fulfillment: By streamlining the order fulfillment process, you can make it easier for customers to make purchases and receive their orders. This can be achieved through the use of bulk shipping label printing, order tracking, and free return labels, among other things.
By putting in the effort to meet existing customer needs, create an easy-to-navigate website, and streamline order fulfillment, you can create a positive customer experience that keeps your customers coming back.
Time to invest in a re-engagement strategy
Re-engaging with old customers is a valuable activity for any business looking to improve its retention rate and increase its overall sales and revenue. By capturing customer details through contact forms, using newsletters to deliver value and exclusive offers, and focusing on providing the best possible customer experience, you can effectively re-engage with old customers and keep them coming back.
While it may take time and effort to develop and implement a successful re-engagement strategy, the benefits are well worth it. By investing in a strategy to re-engage with old customers, you can improve customer retention, increase customer lifetime value, and ultimately grow your business.