Brands today need to leverage marketing automation and hyper personalisation to keep their customers true on brand loyalty, specifically in the retail industry.
Well-crafted personalisation and effective target-marketing using fine-granular cohorts and automation has demonstrated improvements in customer retention, customer engagement, conversion rates, average order value, cart abandonment rates, cross-selling and upselling, customer lifetime value, customer satisfaction rates, and loyalty program engagement.
Marketing Automation – love it, hate it, but you cannot ignore it!
Marketing automation impacts various key aspects of customer lifecycles and customer engagement.
Marketing automation plays a crucial role in enhancing Customer Lifetime Value (CLV) by streamlining and optimizing various marketing processes. By leveraging automation tools and technologies, brands can effectively nurture customer relationships, personalise communication, and drive engagement, ultimately increasing CLV.
Marketing automation enables brands to deliver targeted and personalised content to customers at various touch points throughout their lifecycle. By leveraging data and customer segmentation, automation platforms can send relevant messages, recommendations, and offers tailored to each customer’s preferences and behaviors. This level of personalisation fosters stronger connections, enhances customer satisfaction, and encourages repeat purchases.
Moreover, marketing automation helps optimize customer journeys by automating key marketing workflows. It enables brands to set up triggered campaigns based on specific customer actions or milestones, such as abandoned carts, post-purchase follow-ups, or loyalty program reminders. These automated campaigns ensure timely and relevant communication, nurturing customers at critical stages and increasing the likelihood of conversions and repeat business.
Automation also plays a significant role in customer retention efforts. By setting up automated retention campaigns, brands can proactively engage with customers at regular intervals, such as loyalty program updates, personalised offers, or special milestones. These automated touchpoints keep customers engaged, reinforce brand loyalty, and extend their customer lifetime.
Marketing automation helps brands track and measure customer interactions, behaviors, and purchase patterns. This data provides valuable insights into customer preferences, allowing brands to fine-tune their marketing strategies, identify high-value customer segments, and allocate resources effectively to maximize CLV.
Marketing automation also enables efficient lead nurturing. By automating lead generation, scoring, and nurturing processes, brands can identify and focus on high-potential leads, nurturing them with targeted content and offers until they are ready to convert. This targeted approach not only improves conversion rates but also increases the likelihood of these customers becoming long-term, high-value customers.
Personalisation – it’s not just a hype!
Personalisation can significantly impact customer lifetime value (CLV) and the level and quality of engagement that your customer has with your brand, by enhancing the overall customer experience and fostering stronger customer relationships.
According to Salesforce, personalized emails have 26% higher open rates and 41% higher click-through rates than generic emails.
Personalisation allows businesses to tailor their offerings, messages, and interactions to individual customers based on their preferences, behaviors, and needs. By delivering highly relevant and personalised experiences, customers are more likely to engage with the brand, resulting in increased customer satisfaction and loyalty. By understanding individual customer preferences and delivering personalised experiences, businesses can proactively address customer needs, anticipate their desires, and provide customized solutions. This personalised approach builds trust and strengthens the relationship between the customer and the brand, thereby increasing customer retention and reducing churn.
A study by Accenture found that 91% of consumers are more likely to shop with brands that provide relevant offers and recommendations.
Personalisation enables businesses to recommend relevant products or services to customers based on their previous purchase history, browsing behavior, and demographics. By suggesting complementary or upgraded offerings that align with individual preferences, businesses can drive cross-selling and up-selling opportunities, leading to higher average order values and increased CLV.
According to a survey conducted by Marketo, 78% of consumers will only engage with offers if they have been personalized based on previous interactions.
Personalisation relies on collecting and analyzing vast amounts of customer data. By leveraging data analytics and AI technologies, businesses can gain valuable insights into customer preferences, behaviors, and trends. These insights can be used to refine marketing strategies, optimize customer experiences, and make data-driven decisions that drive CLV growth. With personalisation, businesses can segment their customer base into smaller, more specific groups based on various criteria such as demographics, behaviors, or interests. This segmentation enables businesses to create targeted marketing campaigns that are highly relevant to each customer segment. By delivering personalised messages and offers, businesses can achieve higher response rates, conversions, and customer lifetime value.
A study by Epsilon found that 80% of consumers are more likely to do business with a company that offers personalized experiences.
Businesses today can deliver tailored experiences, anticipate customer needs, and establish deeper connections with their customers. By maximizing customer satisfaction, engagement, and retention, brands can create significant positive impact on their customers. When customers receive personalised experiences and feel that their individual needs are understood and catered to, it enhances their overall satisfaction. Satisfied customers are more likely to become brand advocates, spreading positive word-of-mouth, referring others to the brand, and ultimately contributing to increased CLV through higher customer acquisition and retention.
TLDR (in case you skimmed through it all!)
Most brands today need to establish a connection with their customers, and assert their relevance, all the time vying for the attention of customers who are presented with an increasing range of options and alternatives. Not to mention the omnipresent threat of the next “big thing” or the “flavour of the moment”! Without the right tools, technology, and processes, this is neither easy, nor sustainable. And the right approach and solutions to personalisation and marketing automation can go a long way, to ensure that, as a brand, you stay relevant and “top of mind” to your customer.
At Focalworks, we help our client-partners present the best version of their brands to their customers through awesome commerce experiences, gain actionable insights with analytics dashboards, and create high brand engagement leveraging personalisation and marketing automation.
If you’d like to learn more about how we can help your brand achieve and maintain great traction with your customers, schedule a meeting with us!
