Did you know that it can cost five times more to acquire a new customer versus retaining your current customers? While lead generation is important, it’s also crucial your marketing initiatives are targeting your existing clientele base for repeat business. Keep reading for a complete breakdown of the best digital marketing tactics for retargeting your customers for repeat business.
Customer Lifetime Value
Customer lifetime value (CLV) is the approximate revenue you can generate from one customer in their entire relationship with your brand. You always want to make sure you’re not “leaving money on the table,” by limiting the revenue potential from your customer base.
Your customers already like and support your business. So naturally, they’re the easiest to target for repeat business. In fact,?a five percent increase?in customer retention can increase a business’s profitability by 75%.
Targeting your customer base is a lot easier than you think with the right, strategic online marketing campaigns.
Upselling & Cross-Selling
Upselling and cross-selling are some of the most effective ways to raise the average CLV for your business and encourage repeat business.
You can upsell with varying tiers for your products or services. Present the different levels and always try to sell your customers on the top tier.
Promote cross-selling by offering bundles of your products or services. By purchasing two or three products/services, the customer receives a discount on all of them. It’s a win-win for everyone. The customer gets a discount and you get more business overall.
You can run customized automation (email) campaigns for both your upselling and cross-selling initiatives.
- Upselling Email Campaign: When a customer makes a purchase, they are sent an email saying they have 24 hours to upgrade to the higher tier for a discounted price.
- Cross-selling Email Campaign: After a purchase, a customer is sent an email saying they can make their purchase a bundle at a discounted price.
Small digital marketing efforts such as these can make monumental differences to your bottom line. And, the more a customer purchases and interacts with your business, the stronger their relationship is to your brand.
Introduce New Products
Increasing your product offering can allow you to “dig deeper” into your existing customers’ pockets. Try to be strategic in your product offering; don’t just offer substitutions to what you already have. Focus on providing complementary products that are great “add ons” to your current product offerings. For example, spas often offer beauty products that their clients can pick up on the way out. Or, an online shoe store might start offering shoe-care products.
Make sure to promote your new products on all the proper online marketing channels such as email, social media, and website updates.
Remarketing is when customers are targeted with specific ads based on their search history. The most popular channels for remarketing are Google ads and social media ads. You can?use retargeting campaigns to re-engage with customers?that haven’t purchased in a while. This can help to reduce customer churn and increase sales. It’s like a gentle reminder to your existing customers about your brand, which can spark reinterest.
Your current customers are people who have already been won over and believe in your brand. You shouldn’t forget about the potential that sits with these customers. With the right digital marketing tactics, you can increase the average spend per customer and drive up revenues.