We previously discussed budgeting for customer retention, and now we’ll examine which marketing channels are most prevalent in online retailers’ budgets. According to a recent survey of online retailers, email is the most common marketing tactic, with 94% of respondents utilizing it, and 53% allocating more than half of their budget to email campaigns.
Since retailers are spending resources on email marketing, they should employ a lifecycle marketing strategy to optimize these efforts. As you hopefully already know, sending batch-and-blast emails to all customers is not an effective form of email marketing. This is where lifecycle marketing comes into play, which refers to marketing campaigns that address different customer needs as they progress in their journey with a brand.
More specifically, a lifecycle marketing map can be useful for setting up email campaigns because it allows retailers to envision each step of the customer journey. Customer retention flourishes with a lifecycle marketing map, because messages can be automatically triggered when the customer reaches a certain time in the lifecycle.
Customer, product and purchase history data can be used to create personalized messages at the perfect time in the lifecycle to engage customers in a more meaningful way. This type of targeted messaging helps foster the relationship between a brand and its customers, ultimately increasing retention. For more information on using data to drive personalized marketing, download our lifecycle marketing map and learn how to create your own.
Also according to the survey, the second most used marketing channel is organic social media, with 87% of respondents taking advantage of these channels. Additionally, 64% of surveyed retailers are using paid social media advertising. Investing in social media is a valuable instinct, as overall social media usage is now at an all-time high. Consumers are spending more time than ever on social media, with 28% of all website visits are to social networking channels. This trend presents retailers with a great opportunity to engage with customers through these platforms.
To learn more about retention marketing trends in the eCommerce industry, download the 2015 Retention Marketing Survey.