Acquiring new customers is 5x more expensive and time-consuming than retaining the existing one. According to a study conducted by Brain & Company, convincing your existing customers to convert can help you make 25% more profits. These statistics clearly show that keeping your existing customers happy is the key to increase your bottom line and make more sales.
Whether you are running an ecommerce store or web agency, creating a marketing strategy to retain your existing customers can help you achieve a greater ROI. Most importantly, retaining your existing customer’s costs 20-25x less.
The goal of creating a customer retention strategy is to increase the number of repeat purchases. From retargeting campaigns to offering loyalty programs, prioritizing personalization, sending follow-up emails to leveraging convenience, your marketing and sales team can try different strategies to generate more profits.
You can encourage your customers to make the second purchase by following these repeat purchasing strategies. Let’s check them out.
1. Make Your Loyal Customers Feel Special
In this fierce business world, where consumers can easily find your competitors’ websites to fulfill their needs, it is important for marketers to come up with special offers for their loyal customers. Believe it or not, it is one of the most effective repeat purchasing strategies that can do wonders. It is important to note that every customer is different. You need to create a discount offer based on their purchasing behavior and browsing pattern. Customer management platform and analytics tools can help you analyze customer behavior and create offers according to their needs.
2. Create a Customized Bundle Offer
It is one of the best marketing strategies for ecommerce brands that can encourage customers to buy again from their online stores. Create a bundle offer for your customers by keeping their preferences, needs, and interests in mind. AI-driven tools can help you choose from a range of products that your customers want from your brand.
3. Free Shipping
Online shoppers love getting things for free, and they prefer sites that offer free shipping. Offering free shipping can increase the order value and give you a competitive edge over other online stores in the industry. Customers remember stores where they don’t need to pay extra for shipping. It will increase the likelihood that they will return to your store when they want to buy something.
4. Offer a Special Discount on Their Favorite Products
Offering an exclusive discount on your customers’ favorite products is undoubtedly an effective tactic that can make customers buy again. Identify their favorite products and come up with a special discount for those products.
5. Personalized Product Recommendations
Your brand can leverage machine learning and AI-based tools to identify products your customers are most likely to buy. Personalization has become a great strategy for marketers to engage shoppers, increase repeat purchases and generate more conversions. Showing personalized product recommendations on your homepage, product detail page, and emails allow customers to make more purchases.
According to a survey, 44% of consumers say they will become repeat customers of a company that offers a personalized shopping experience. You can leverage AI and ML technologies to gather and process data, make real-time optimizations and recommend personalized products to every customer to create a user-oriented shopping experience.
Providing real-time assistance to users and offering their favorite products will surely encourage customers to purchase more from your site. Amazon and Netflix are the two great examples for marketers to understand how they can use an AI-based recommendation engine to identify customers’ buying patterns and drive repeat purchases.
6. Launch a Referral Program
Okay, it is a proven repeat purchasing strategy that many brands are using to increase their profits. Creating a clever referral program is the key to encourage customers to refer a friend by offering a reward. If used right, it is a great strategy that can turn your loyal customers into brand advocates. All you need is to use some killer referral incentives in the form of exclusive discounts and free products.
PayPal, Dropbox, Airbnb, Tesla, Amazon, Google, Evernote came up with some excellent referral program ideas that help them build a massive user base and achieve a higher repeat purchase rate.
7. Loyalty Program
Did you know that repeating customers spend 67% more than new customers? Giving your customers an incentive is a great tactic to attract them to return and make more purchases. Rewarding your customers with something very special for interacting with their brand makes them feel special. It also increases the amount of time and money they spend on every interaction to get the loyalty points faster.
A study reveals that loyalty programs if done right, can generate 20% more business profits. 84% of buyers think they make repeat purchases from a brand that offers a loyalty program.
Personalizing your loyalty program can make your customers feel that your brand really cares about them. You can create a reward panel for each customer to show them their point balance, special discount, and redeemed rewards.
Pacifica Beauty is a great example that has successfully built many repeat customers by launching its loyalty program, Girl Code Points.
8. Develop a Mobile App
Building a mobile app that offers a great user experience is a proven way to encourage your customers to make more purchases. Today’s consumers prefer mobile apps to research, find their favorite products, and purchase the items they need. A study shows that 89% of buyers use mobile retail apps than a mobile site.
This is why more and more brands are developing mobile apps to drive customer loyalty, increase the repeat purchase rate and improve the customer experience. If your brand didn’t build a mobile app yet, now is the time to hire a app development company to build stronger brand loyalty and make it easier for shoppers to make repeat purchases.
To Conclude it All
Motivating customers to buy more from your website is not an easy feat. Following these repeat purchasing strategies will help brands turn first-time buyers into their regular customers, maximize their ROI and take their brand towards unprecedented heights of success.