Smart businesses and sales professionals know that it’s necessary to focus on customer loyalty as much as customer acquisition.
This is because it’s a lot easier to sell to existing customers rather than attract new ones. Businesses have a 60-70% chance of selling to existing customers and only a 5-20% chance of selling to a new one. Existing customers are not only more likely to buy, they also spend on average 31% more than new ones.
When customers stop responding to marketing efforts most businesses make the decision to abandon them. But why would you abandon a customer who has already done business with you? Even if a customer hasn’t responded for a while, marketing money is still better spent on dormant customers than acquiring new ones. In fact, it’s 3-10 times more expensive to win new business than it is to reactivate unresponsive customers.
The team at SET wanted to share with you 4 ways in which some of our small business sales teams have used tools and strategies to successfully recapture inactive customers.
Retarget with emails
If you use email retargeting, your business will use a retargeting cookie to trigger ads on the web pages that your customers visit after they click on the emails you send them. But it could be that your customers aren’t clicking on the emails? They could be ignoring them completely?
In that case, you can create a specific email list with all inactive customers and start a campaign just for them. By uploading this list to a retargeting campaign, the people on that list will start seeing your ads across their web and social media pages without even having to click on your email. If you are lucky enough to have SET as your CRM you can also send the campaign through campaign monitor in our software and track your clients visits to your website.
This strategy has delivered some impressively high ROI’s for our small business owners that implemented an email retargeting strategy by displaying ads across the web to customers who made a recent purchase.
Personalise your messaging
Sometimes the lack of customer activity is your fault. If you don’t have an automated marketing strategy in place and are sending sporadic messages or no messages at all then the customer has nothing to respond to?! If a customer makes a purchase, you need to make sure you follow up with targeted messages that reflect their preferences and add value to their experience with your business.
The entire point of collecting data is to find out what makes a customer buy so then you can cultivate a marketing campaign that targets their interests. With existing customers, you already have the benefit of knowing their purchase and history habits. How about reminding them how much they liked a certain product by sending them a message with a discount for that product.
Text your clients
SMS is a great lead capture tool for lots of reasons. Texting is a popular form of communications with Americans sending and receiving an average of 32 texts per day. It’s also very convenient as messages are sent and received on a mobile device that customers can look at and respond to in any setting and in their own time.
Good old-fashioned mailing
If your digital marketing strategy isn’t working putting some physical work into non-responsive customers hands can pay off. Try creating a segmented list of unresponsive customers and send them something unique in the mail. Dimensional mail gets 20 times more penetration opposed to flat mail.
Mail also has fantastic response rates ranking in 600% higher than all digital marketing channels combined. When a customer receives a marketing gift in the mail it’s almost like VIP treatment and can ignite a non-responsive customers interest by making them feel valued.
Overall, re-engaging dormant customers is absolutely worth the investment and with the strategies and tools in place you can absolutely woo them. Retargeting campaigns, personalised messaging, SMS marketing and direct mail can all bring unresponsive customers back to life.