Personalization

Personalization: The Secret to Customer Retention

Home » Marketing Strategy » Personalization » Personalization: The Secret to Customer Retention

So you’ve gotten a customer to place their first order with you, but what’s next? You may have already met your primary objective by closing the sale, but with a little strategy and careful guidance, you can build on this initial interaction, cultivating a long term and extremely profitable relationship with your business. Getting things right with these new customers can make the difference between a one-time purchase and a consistent, loyal customer.

Personalization has become a differentiating factor between businesses in this day and age and is one of the keys to a retention strategy. Getting the ultimate personalized experience right will not only drive overall revenue growth for your business but also grows loyalty and boosts customer lifetime value (CLV). 

Let’s dive into how to implement strategic personalization on your site that’s aimed at creating more of these repeat customers.

Why repeat customers matter to e-commerce businesses

Repeat customers are your most valuable traffic segment, but often make up the smallest part of it. Getting a customer to return after purchase is generally contingent on two things: meeting all expectations with their first order, and using personalization to create interactions afterward that drive them back to your site.

Personally relevant campaigns that are properly segmented and targeted are key to creating these customized experiences and fostering repeat visits. This is more than just email marketing or retargeting with paid ads, it’s uniting any offsite efforts with your on-site messaging, appealing directly to their needs upon return.

You’ll want to focus on those who are within your target audience when creating these experiences that will enrich their brand experience and promote loyalty. Mapping your ideal customer profiles onto your newest customers will help you segment them appropriately and create retargeting campaigns aimed at their interests.

Leverage their purchase history, browsing patterns, referring source, and more to develop content aimed at getting them to return to your site. Cross-selling campaigns for complementary goods and emails with information for how to make the most out of their recent purchase are both great ways to engage with customers without coming across as overzealous.

First time purchasers increase during the holidays

You may have already noticed that website traffic and customers during the holiday season is made up of different consumers than the rest of the year. Whether they’re buying for themselves or others, habits will shift, and this can be an unparalleled opportunity for customer acquisition and retention.

Consider adding a gift receipt option to checkout if you don’t already have one, and then segment all these customers as those buying gifts for others. By identifying the groups outside of your traditional ideal customers, you can tailor your remarketing to directly target this audience with useful resources such as gift guides, volume based discounts, and more.

It's a marathon, not a sprint

Customer retention is about building a relationship, not just getting a one time purchase with no hope for another. Slow, drip campaigns that are informative and properly targeted are the best way to build loyalty and create interest.

If you come off too strong at first, it can be overwhelming to customers. Don’t immediately bombard them with messaging after acquiring their email, and resist the urge to try and push for a second sale before the end of the year.

AI-powered marketing

You might be thinking, “I don’t have time for all of this personalization!” If so, you’ll be happy to learn that scalable personalization is more accessible than ever thanks to artificial intelligence. Let AI take the grunt work out of identifying visitors and serving them a behavioral based recommendation experiences.

Justuno’s Commerce AI products are but one way you can implement a high degree of personalization in your on-site experiences with minimal effort. With Commerce AI, you can quickly create powerful product recommendations and hyper-targeted promotions designed to convert. With numerous filters and algorithms, you can target specific goals whether that’s upselling and cross-selling, or promoting most viewed or purchased products. Whatever you desire, we’ve got the right combination of rules to meet your goals.

Automation on your site is critical to consistently providing a personalized experience, and our proprietary intelligent visitor profiles allow for unparalleled segmentation of website traffic.

When it goes wrong

Personalization is great until it backfires. Get your targeting completely wrong and you’ll quickly have a lost opportunity on your hands. There’s a huge difference between receiving a generic marketing email and getting one that’s highly personalized…but not to you.

This is where careful segmentation and analysis comes into play. Ensure you are confident about your audience segments, confirm you have accurate customer information (like their first names), and also, don’t overstep with your personalized marketing. It needs to feel personally relevant, but not creepily accurate. Justuno helps empower you to collect more useful data, providing actionable insights that guide personalization and build onsite experiences designed to convert.

Final thoughts

While often overlooked, customer retention is one of the most important parts of a marketing strategy and one of the hardest to get right.

Effective personalization is a fine line to walk for marketers, and you’ll inevitably get it wrong at times, but that’s okay! Marketing is by no means a perfect science and customers often understand that. To avoid pitfalls, make sure to test, test, test and confirm, confirm, confirm.

Customers will come and go, that’s simply a fact of e-commerce life, but there are many effective tactics for mitigating the losses and building on the gains. Combine your meticulously designed campaigns with highly refined audience segments for the ultimate customer experience.

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email

This free and instant analysis of your website performance will show you what Justuno can do for your business.

Please enter a valid URL
Please enter a valid email address
Progress Bar
COMPILING YOUR REPORT
Report Ready
Justuno Visitors