In one current surveyOver half of marketers (53%) stated that the COVID-19 pandemic “radically” or “significantly” changed the customer journey […] Only 19% of marketers haven’t seen any change at all.
In a recent knowledge sharing session, Insider asked a group of UK e-commerce and loyalty retailers what they do to build lasting customer relationships and what their trips are like after the purchase.
How would you rate your customer’s experience with a 10 out of 10 after purchase?
Answers ranged from 3 to 8, with everyone agreeing that there was still much to be done, particularly in creating omnichannel experiences, personalizing experiences based on behaviors and cohorts, with many citing time and resources as blockers to get the ideal one Achieve level of personalized customer experience.
Is a loyal customer more important than a new one?
The answer was a resounding yes. Many subscription services acquire a new user at a loss, so securing the second purchase couldn’t be more important. For a flower delivery company, 10% of customers account for 70% of their sales. Hence, keeping these VIP customers happy and loyal is critical to their business. One consumer electronics retailer noticed a significant difference between customers who are and are not a member of its loyalty program. Members came back three times more a year and spent twice as much as non-members.
Listen to your customers
Ratings and reviews were brand new to some members of the group, while others took advantage of responsive customers who liked to fill out surveys about why they love your brand.
One of the key takeaways from the session was listening to your customers and understanding what makes a loyal customer. This allows you to focus your customer loyalty efforts in the right places in order to get “the best bang for your buck”.
Everyone agreed that personalization could and should play a huge role in creating positive and profitable post-purchase experiences. However, some brands have been further than others in their personalization journey. The division of customers into cohorts and the different and appropriate communication with them was given high priority.
“You need to speak to the person who buys a one-time gift worth £ 30, unlike the person who buys £ 70 flowers for their house every week.” observed a CEO of the online flower delivery business. With the right strategy and technology, you can achieve even more granular levels of personalization, such as: B. Personalized recommendations.
Beyond generic welcome messages personalized experiences This is vital for both subscription services and more traditional retailers as they share their expertise in their products with their customers tailored for excitement and delight.
Those who had already started their personalization journey said collecting data, creating their strategy based on that data, and automating for scalability was the next step.
But just because we know it’s the right thing to do doesn’t make it easy. Both newer and more established brands have to overcome hurdles to achieve their personalization goals. “We saw that personalization works, it just doesn’t happen overnight – the lead time is longer than the ambition.” shared a luxury retail expert.
Competition with “convenience giants”
Whether Amazon, Ocado or supermarkets – the competition for price and convenience is a major challenge for customer loyalty. Storytelling was an integral part of overcoming this problem. It created a “feel good factor”, shared your mission as a “force for good”, encouraged customers to take pride in higher quality or to be a solution provider, not just a seller of individual items.
Everyone agreed that discounting works to a certain extent – yet it’s boring and hurts margins while it’s being used Storytelling and individual experiences Building emotional loyalty is better for your brand and business metrics.
Alternatives to Discounting
A good example of thinking outside the box in churn campaigns comes from a subscription company. Instead of offering a discount to lure customers back, the company used its strategic supplier partnerships. For example, when a customer returns and makes a full price purchase, they will receive a coupon code for the partner provider.
This approach doesn’t just provide an exciting incentive for customers. It also offers the opportunity to align your brand with partners who share your values and quality standards.
Many beauty brands have turned to the human touch to bring buyers back. They offer virtual beauty and skin care consultations to improve their customers’ connection with their brands and create value through meaningful experiences.
Some important pieces of advice since the beginning of COVID: “People will remember how you made them feel.” Anything you can do to make your customers feel comfortable goes a long way towards building a brand that customers love.
When you’re ready to personalize your post-purchase experience to be scalable across all channels, Read more about Hive Recommended Partner Insider here.