When it comes to your e-commerce marketing strategy, some customers are more valuable than others. Ultimately, attracting and retaining high-value customers such as repeat customers that place frequent orders, customers that have a sizable average order value (AOV), and customers that are loyal to your brand will bring much more success than targeting customers at-random.
Below, we'll cover some proven ways that you can begin bringing in the kind of customers that will offer your business the most value. From customer retention programs to AOV marketing, here are five methods you can use to attract and retain the right customers.
1) Attract the Right Customers With an Ideal Customer Profile and Targeted Advertising
Building a profile of your ideal customer is a crucial step that far too many companies skip altogether. Thanks to advertising platforms such as Google Adwords and Facebook Ads, it's now possible to send ads based on particular criteria to target specific customers. Once you develop a deep understanding of what your ideal customer looks like, you'll be able to use that customer profile in tandem with targeted advertising to directly reach the customers that will bring your business the most value.
2) Segment Your Customer List
One of the most powerful ways to take advantage of the data that you've collected about your customers is to use that data to segment your entire customer list into categories. Grouping customers based on what they ordered, their AOV, how frequently they order, and much more enables you to develop tailored marketing strategies that are for specific segments of your customer list rather than the entire list as a whole. This focused approach can provide customers with a more personalized experience, helping with customer retention while also enabling you to focus your marketing efforts where they are most effective. One study conducted by Mailchimp shows that segmented email campaigns have a 14.31% higher open rate and a 100.95% higher click rate than non-segmented campaigns.
3) Listen to What Your Data is Telling You
Collecting data about your customers is only valuable if you can draw real, useful conclusions from it. With the right approach to data collection and analysis, you can access key insights on customer trends that will allow you to keep your marketing efforts relevant and appealing. In the end, using the insights you draw from your data to hone your campaigns and keep them in-line with the latest trends goes a long way toward improving customer retention.
Of course, data can be a confusing jumble of information that is difficult to organize and analyze. By using a tool such as DataQ, though, this process is made much simpler and more effective.
4) Use AOV Marketing to Increase Your Bottom Line
Both bringing in new customers and marketing to existing customers costs money, and it's vital to ensure that you are targeting customers that will deliver the highest possible return on your investment. Using your data to target customers who have a high AOV enables you to spend the most time, money, and effort marketing to the customers who are most likely to place large, profitable orders. Merely focusing on this one strategy is a great way to increase your business's bottom line. However, building high AOV customer segments is not the only way to approach AOV marketing to increase your bottom line.
Here are a few more ideas for AOV marketing:
- Upsell campaigns.
- Cross-sell campaigns.
- Volume discounts.
- Product bundling.
All of these tactics will help you increase your AOV and bottom line. One way to help get the creative juices flowing for these types of campaigns is to think about product relationships. For example, if you were to implement a cross-sell campaign, start by investigating a profitable product and then look into what product is purchased either with or shortly after that product.
Finding customers with high AOV in tandem with discovering product relationships will ultimately help you enhance your customer relationships.
5) Focus on the Customer Experience
No matter what industry your company operates in, you are selling more than just a product or a service - you are selling an experience. Now more than ever, customers are prioritizing business's that can offer them a pleasant experience in addition to high-quality product or service. The Temkin Group found that a staggering 73% of customers consider the customer experience an important factor in their purchasing decisions.
The customer experience begins the moment they discover your brand and continues for as long as they remain a customer. If you want to retain these customers who value their customer experience, you will need to develop that experience for them using engaging content, targeted and timely campaigns, excellent customer service, and more.
Attracting and retaining the right customers is one of the most vital keys to digital marketing success. At DataQ, we help companies leverage their data in a way that enables them to target ideal customers and keep those customers coming back for more. If you would like to experience the benefits of DataQ for yourself, we invite you to sign up for a free trial today.