How Katya from “Chamomile” helps increase Open Rate

Provoking, enliven or how Katya from “Chamomile” helps increase Open Rate

Earlier we have already written about the importance of highlighting in a separate segment of the audience, which does not open your letters and about communications aimed at its reactivation. However, we talked about one-time communications. This article is about system communication, which aims to motivate your customers to read your newsletter again. Here it is necessary to warn that there will always be those who read you will not, whatever you do.

Our goal

We do not want to return those who have not bought anything for a long time, no. For now, we only need to motivate the opening and reading of our letters. This is the main task! We will fulfill it-we will be engaged in purchase or visit.

Intrigue and provoke

If your email communications program provides a special newsletter for “inactive” customers who do not make purchases, schedule one of the emails for those who do not “read ” your emails and try to prepare letters for them, the main purpose of which will be-to interest the client to open this letter. Make sure to set up AV testing, because it is important to understand and analyze what works with your customers.

For example, you have planned a newsletter with a promotional offer “-50% on all blue bags” for “inactive” customers. The same subject of the letter needs to be pursued more for “not reading” ones. Let’s add intrigue: “Blue and leather-half price” or “Two blue for the price of one.” Moreover, we can add a fact about the recipient: “Until you read our newsletter, the blue bags are almost disassembled!”

In general, it is very good to experiment with atypical, provocative mailings on “unreadable” clients, and to apply the received knowledge base in other segments of buyers. Because it is not going to get any worse.

Pre-title

Or pre-header – the text that is visible to the client immediately after the topic in the section “Incoming”. Pre-header and theme-expanse for the copywriter and a chance to interest the client to read the letter.

Consider the examples:

1. Subject :” Your last word? Blue!

Pre-header: “Until 14.05 for half the price»

Here and intrigue, and the promise of material interest. However, to understand the essence of the proposal, the letter must be opened.

2. Theme: “Blue bag for half price-choose any until 14.05»

Pre-header: “Promotion Code 4321»

In this case, on the contrary, we reveal all the cards. The theme and the subtitle reveal the essence and conditions of our offer.

Which of these letters will work more effectively – test. Usually more effective is the letter-intrigue, but someone will like the specifics more, starting with the topic.

30 characters rule

If most of your customers read email from smartphones, use the 30 character rule. That is how much will fit in the subject of the letter and the same amount – in the pre-title.

In General, the 30-character rule works well for those customers who read your emails from laptop screens. This is because short, but succinct formulations always give a greater Open Rate-without reference to the device from which the mail is viewed.

Katya from “Chamomile” helps open letters

Talking about “the Sender” – in this field, instead of the name of the store or company, provided the name, for example, a Manager Katya from “Chamomile”. Try to test this technique with “unreadable” clients. It humanizes the brand and looks unusual for the buyer. For some of them it will be enough to read the letter. But keep in mind that initially your client expects a useful informative newsletter from ” Chamomile “, not Katya, so do not change the name of the company to the name of the Manager for good. Let there be a few such letters, the mailing on behalf of the company should prevail.

Email quest for “unreadable” customers

Try to test the technique, which is to motivate the consumer to open several consecutive letters. Offer the product at half price, for example, and the code to receive such a discount report in parts in separate letters every couple of days. This motivates the customer to start opening your emails. Use this occasion to regain interest in your company. Place the next part of the code at the end of the letter. And start, for example, with news, new products-everything that the consumer would be interested to know.

Optimizing costs

It is logical to assume that “unreadable” customers bring very little income. Therefore, it is unprofitable to prepare and send emails personally. It is necessary to set up an automatic communication system, which provides for sending the next letter only after there is no reaction to the previous one.

For example, such a system of letters may be as follows:

1 email – “Why don’t you read us?”- A survey to find out why the client has ceased to be active.

2-4 emails-news letters or promotional offers with the name of the Manager in the “Sender” field.

5-7 emails-promotional offers or news letters with a provocative topic.

8-11 emails – the quest-letters.

12-14 emails-news letters with a provocative topic.

15 email – ” Why don’t you read us?”(run the cycle again).

Do not forget about the client’s exit from this closed cycle. If one of the emails was opened, such clients should move to another segment, where your task will be to consolidate the effect. Otherwise, the consumer will stop reading your newsletter again.

Hurray! It worked!

The client has read your letter. What do we do about it now?

Let’s go back to the beginning, where we define that “non – readers” are customers who do not read our newsletter, for example, 180 days. By our actions we have forced him to read our email. However, he must not read again what had stopped him six months ago. We want him to be interested in our newsletter and continue to buy our products. Therefore, we need to find out through a direct communication channel what led to the fact that the client stopped opening our letters. And when we find out – we need to fix communications.

“Does not read” does not mean that “does not buy”!

The client can remain an “active” buyer, but is not interested in your newsletter.

In such a situation, we understand that he is satisfied with the goods and service – and this is good. But we can have no influence on his buying behavior: neither on his average check, nor on the frequency of purchases, nor on what he puts in his basket. With such clients, you can try other channels of communication.

It is because of the existence of such behavior of customers, we advise to distribute those who “do not read” to “buy” and “do not buy”. The communication system, which is discussed in the article should be applied only to the second.

If customers “do not read”, but “buy” – you also need to change the situation, but this is not a priority. Try with them SMS and Viber-mailing, it will help to develop them as “active” customers, increasing profits, which in General is more significant than the values of Open Rate.

 

Can e-mail marketing without promotions be efficient?

Can e-mail marketing without promotions be efficient?

Can the content of the letter replace material incentives?

Of course, the content letter will not receive such a response and sales volume as a special offer or gift. However, it is possible to make content distribution more effective. With a smaller number of transactions, you will retain the profit from each of them.

What is content in email marketing?

* Content is one of the tools that helps develop your entire customer base,

* Content-the main tool that you need to use to work with “loyal” customers,

* Content-a tool, the greatest effect of which is achieved in combination with individual proposals and trigger communications.

How to use it correctly?

Content, like any other communication tool, must be used correctly: after determining the purpose, target segment, time and place of use.

Applying interesting content blindly will result in a loss of budget and time. Because, having received from the copywriter interesting material, sending it to customers, the result you will be disappointed and be considering the whole thing just a waste of money.

It is possible that at this stage of development of the customer base it will be enough to send promotional offers only. If you do it not too often and correctly personalize, the result may be enough. About this in more detail – in our other articles.

What is an appropriate timing for the content?

Consider the example of a restaurant chain with a working loyalty program: customer histories are maintained, trigger communications are configured for the segments “newcomers”, “departing” and “departed”. You can safely engage in the development of “active” customers, increasing their average check. We offer to do this with the help of content communications.

1. We analyze and make assumptions.

First, we analyze the composition and amounts of checks of our “active” segment. We find that there are customers who order meat dishes. The size of their check has the potential to grow, may be more marginal. We plan to conduct a communication, the purpose of which will be to increase the average check, motivating the guest to order, for example, a more expensive branded Argentine steak.

2. We develop a communication program.

Our goal is to find out if the content affects our guests, so we need to figure out three questions:

• Will the result of sending the content of the letter without a promotional?

• What will be the result if the letter contains both content and promotions?

• How the results of the promotional email will differ from the content and promo email?

To do this, divide our sub-segment of meat lovers into 4 groups with a ratio of 30/30/30/10. The first 30% – those who will receive only interesting content about branded Argentine steak, the second 30% will receive content supported by ‘limited time offer’ promo; and the third 30% – only ‘limited time offer’ promo. The last 10% is a control group that will not participate in communication.

1. Make a newsletter for the selected segment:

* letter “Content” – a beautiful interesting text about the signature Argentine steak, cooking highlights, cost.

* letter “Content and promo” – a beautiful interesting text about the branded Argentine steak and a special offer: a discount on the entire order of 10%, when buying a branded steak.

* letter “Promo” – special offer: 10% discount on the entire order when buying a branded steak.

2. We analyze the efficiency of the company.

Letter type Feedback, % Average check (including discount), UAH
Content 4 350
Content and Promo 12 310
Promo 10 300

As a result, we see that those who received the letter “Content” – the minimum response, but the highest average check. The highest percentage of response from those who received the letter “Content and promo”. Those who received the letter “Promo” – also a high response, though a little less than the recipients of the letter “Content and promo”.

How to use the obtained data?

Do not draw conclusions based on the first experience. Test the hypothesis again. Find out how other content and other special offers work on other sub-segments. Only after all series of experiments make the decision-content communications suit your business or they are not necessary.

From our case, we can conclude that content letters are not required; you can do promotions and special offers. It is important to understand-only material incentives can lead to a constant expectation of discounts, which can reduce the value of the brand.

We would still advise you to try to use the content and personal offers to connect, when the content does not give a result-set up a trigger for each specific client: if the content letter does not give a result, we send a promo.

How to improve the efficiency of content communications

This can only be done by testing hypotheses. Compare the results of content letters in different style, design, size. For example, to divide the target audience into segments: one to send a letter with a beautiful description of the dish, the other-to add a comment to the description of the chef and reviews of satisfied customers. The third is to tell a story about the origin of the dish and the wine from our wine list, which is optimally suited to our dish.

By testing hypotheses, you build a knowledge base of effective techniques. Such a database of system content communications will give you the opportunity to eventually set up triggers that will accompany the entire life cycle of each of your customers. In addition, it will allow forming habits at consumers, the most favorable for us. But about it – in our other articles.

Can e-mail marketing without promotions be efficient?

Can the content of the letter replace material incentives?

Of course, the content letter will not receive such a response and sales volume as a special offer or gift. However, it is possible to make content distribution more effective. With a smaller number of transactions, you will retain the profit from each of them.

What is content in email marketing?

* Content is one of the tools that helps develop your entire customer base,

* Content-the main tool that you need to use to work with “loyal” customers,

* Content-a tool, the greatest effect of which is achieved in combination with individual proposals and trigger communications.

How to use it correctly?

Content, like any other communication tool, must be used correctly: after determining the purpose, target segment, time and place of use.

Applying interesting content blindly will result in a loss of budget and time. Because, having received from the copywriter interesting material, sending it to customers, the result you will be disappointed and be considering the whole thing just a waste of money.

It is possible that at this stage of development of the customer base it will be enough to send promotional offers only. If you do it not too often and correctly personalize, the result may be enough. About this in more detail – in our other articles.

What is an appropriate timing for the content?

Consider the example of a restaurant chain with a working loyalty program: customer histories are maintained, trigger communications are configured for the segments “newcomers”, “departing” and “departed”. You can safely engage in the development of “active” customers, increasing their average check. We offer to do this with the help of content communications.

1. We analyze and make assumptions.

First, we analyze the composition and amounts of checks of our “active” segment. We find that there are customers who order meat dishes. The size of their check has the potential to grow, may be more marginal. We plan to conduct a communication, the purpose of which will be to increase the average check, motivating the guest to order, for example, a more expensive branded Argentine steak.

2. We develop a communication program.

Our goal is to find out if the content affects our guests, so we need to figure out three questions:

• Will the result of sending the content of the letter without a promotional?

• What will be the result if the letter contains both content and promotions?

• How the results of the promotional email will differ from the content and promo email?

To do this, divide our sub-segment of meat lovers into 4 groups with a ratio of 30/30/30/10. The first 30% – those who will receive only interesting content about branded Argentine steak, the second 30% will receive content supported by ‘limited time offer’ promo; and the third 30% – only ‘limited time offer’ promo. The last 10% is a control group that will not participate in communication.

1. Make a newsletter for the selected segment:

* letter “Content” – a beautiful interesting text about the signature Argentine steak, cooking highlights, cost.

* letter “Content and promo” – a beautiful interesting text about the branded Argentine steak and a special offer: a discount on the entire order of 10%, when buying a branded steak.

* letter “Promo” – special offer: 10% discount on the entire order when buying a branded steak.

2. We analyze the efficiency of the company.

Letter type Feedback, % Average check (including discount), UAH
Content 4 350
Content and Promo 12 310
Promo 10 300

As a result, we see that those who received the letter “Content” – the minimum response, but the highest average check. The highest percentage of response from those who received the letter “Content and promo”. Those who received the letter “Promo” – also a high response, though a little less than the recipients of the letter “Content and promo”.

How to use the obtained data?

Do not draw conclusions based on the first experience. Test the hypothesis again. Find out how other content and other special offers work on other sub-segments. Only after all series of experiments make the decision-content communications suit your business or they are not necessary.

From our case, we can conclude that content letters are not required; you can do promotions and special offers. It is important to understand-only material incentives can lead to a constant expectation of discounts, which can reduce the value of the brand.

We would still advise you to try to use the content and personal offers to connect, when the content does not give a result-set up a trigger for each specific client: if the content letter does not give a result, we send a promo.

How to improve the efficiency of content communications

This can only be done by testing hypotheses. Compare the results of content letters in different style, design, size. For example, to divide the target audience into segments: one to send a letter with a beautiful description of the dish, the other-to add a comment to the description of the chef and reviews of satisfied customers. The third is to tell a story about the origin of the dish and the wine from our wine list, which is optimally suited to our dish.

By testing hypotheses, you build a knowledge base of effective techniques. Such a database of system content communications will give you the opportunity to eventually set up triggers that will accompany the entire life cycle of each of your customers. In addition, it will allow forming habits at consumers, the most favorable for us. But about it – in our other articles.

 

We invite you to lunch or Continue to develop “active” customers

We invite you to lunch or Continue to develop “active” customers

In a previous article, we wrote that the development of already “active” clients is a process of endless construction, testing, and scaling of hypotheses. And considered one theory, the purpose of which was to increase the frequency of purchases, for example, a restaurant. Recall that we have increased the profitability of the customers who come to us for Breakfast. Our communications were aimed at increasing the frequency of visits to our customers in the morning.

And why not invite our “morning” customers to us at another time? Why don’t they come to our house for lunch or dinner? And with family, can you come? Or with a group of friends? Look at how many possible options for the development of just one group of guests-those who regularly have Break, fast with us. Start over.

Which of the development options to choose?

Since it will not be possible to develop guests in all directions at once, you need to choose the most potentially productive. But how? You can use your knowledge of the market, and if there is a history of visits to the target, segment-they will find the best answer. I remind you, we are only talking about a group of guests who visit our restaurant in the morning so that we will analyze their stories.

1. First, we need to select all the customers who regularly have Breakfast and came to us at least once at other times of the day, but less often than in the morning. The last criterion is important because guests who, for example, more frequently go in the evening than in the morning should not get into our database – after all, it will be already not “morning” clients, and it is necessary to develop them in the opposite direction.

2. We selected a database of 1000 guests who, during the last month, had Breakfast with us 4+ times and came at other times of the day 1-4 times. Let’s make a table with their visits after 12.00.

Visits period – Visits per month – Total

Total

http://mmr.ua/uploaded/materials/bccb9e5ea5.png

 

3. As a result of the analysis of this table, we see that our “morning” clients visit us more often in the interval from 12.00 to 15.00. This is determined by our primary hypothesis – all our “morning” guests are more likely to come to us from 12.00 to 15.00 than at other times. We will develop this indicator. The second potential hypothesis for development is evening visits from 18.00 to 21.00. But this is a secondary task; we will take it up later.

Building communications

Our communications with the “morning” customers segment will include a sequence of three letters, where each will have its hypothesis about what can motivate our customers to come to us for lunch. And according to tradition, we will leave special personal offers for the last time.

Letter 1. And what business Lunches we have! Mmm

It is necessary to tell you about the fact that we have lunches, not only breakfasts. What is included in the lunch menu, how much it costs – write it in the first letter. We are waiting for the result for a week, watching the behavior of our segment. With the onset of the eighth day, we already know who from our target segment we had lunch, we remove them from further communication. We continue to work with others.

Letter 2. We have your favorite dish!

It may happen that some of our customers do not like business Lunches, choosing their favorite dishes from the menu. For them, we write a second letter-about individual dishes that they may like. To do this, we analyze the history of the composition of their checks. As a result of this work, someone will receive a letter with a beautiful photo of the steak and its description, someone will offer pasta, and the third will lure mushroom soup-puree. Well, there will be a group of customers who we will not be able to determine the taste preferences. You can send them a letter with, for example, three completely different dishes and track, in addition to visiting, also the recipient’s clicks on the message. The result of this mailing we are also waiting for a week, and by analogy with the first letter, exclude those who came to us, continuing to work with the rest.

Letter 3. We have a special offer

It is important to understand that our task is not to deliver to us a client for lunch at any cost, even once, and develop the habit of dining with us. Therefore, we prescribe a minimum of three visits to us in the conditions of the action.

• “We give a 20% discount on visiting our restaurant from 12.00 to 15.00 for three days.”

* “Only a week-50% discount on every third lunch from 12.00 to 15.00”.

We can not predict which of these proposals will bring more results in the future by forming a model of guest behavior, so we test both proposals. Break the base into three parts: 45%+45%+10%, where 10% is the control group. We send letters, observe behavior, analyze efficiency: what has changed in the first target segment, how many guests performed the target action, and as a result of which letter, as well as how much profit all the work brought.

Important: at the stage of sending the third letter, it makes sense to duplicate the message about the personal offer using SMS or messenger. Why weren’t the first two letters copied? In case of such duplication of the first two letters, most customers would see SMS-mailing negatively.

What did it give us?

• First of all, now we know what and how motivates our “morning” guests to come to us and for lunch. In the future, we can standardize and use these mechanics consistently, complementing and improving. We will also set up trigger communication for future customers who will only have Breakfast at the beginning.

• Next, we need to continue to observe the guests who started dining with us as a result of our letters. After a while, some will continue to eat with their regularity – they are our actual positive result. And the rest can come a few more times, and that’s all. Perhaps they react only to stocks, and it is important not to work at a loss.

• Well, we continue to build and test assumptions with those who did not come. We offer them different circumstances of visits, analyze in detail the composition of their checks, looking for patterns and ways to use them. But we will tell you about it in the following articles.

 

From “active” to “loyal”. How? Do not touch!

From “active” to “loyal”. How? Do not touch!

Sometimes, for the client to become “loyal” it is necessary not to interfere with them – it is enough to ‘keep’ them correctly. They will do the rest themselves. Why and when you still need to do something – see below.

We already know that “newcomers” are a priority segment in customer development. We try to convert their first order into their second. This is a key indicator in our work. When the “newcomer” makes a second purchase, they go to the segment of “active” customers.

But who do we consider “active”? Look at the RF-grid of the restaurant – here all guests are divided by the number and duration of visits.

Number of visits
Last visit 1 visit 2-3 visits 4-6 visits 7+ visits
0 – 30 days ago 430 450 340 910
30-60 days ago 330 310 200 140
> 60 days ago 1 340 790 110 210

Using red color, we highlighted “newcomers” who visited the restaurant once during the last month. Green – “loyal” who visited the restaurant more than 7 times, at least one of them was in the last month. Yellow highlighted “active” customers who visited us 2-6 times, at least one of them-during the last month.

Here are the guests from yellow segment are the only two options: in the “loyal” in the green segment or in the “gone”, indicated in gray.

Our main task in working with “active” customers is to make sure that the maximum number of them moved to the segment of “loyal”. It is in our power.

Do not interfere.

Sometimes this is the best strategy to work with this segment of customers. While they purchase – simply do not interfere. The maximum that is necessary is retention. It is enough to analyze changes in their behavior and prevent the circumstances due to which the client may leave.

To see the changes, you need to understand what buyer behavior is natural.

Let us continue the theme of the restaurant-below is a schedule of visiting guests with a history of visits two or more times. Let us find the average time that passes between their visits.

http://mmr.ua/uploaded/materials/27cd1b5c46.png

(слева) Number of clients; Average period between visits (сверху)

It may be clearly seen here that the natural thing for most of these clients is one visit every 20 days. We will consider this figure as the base for setting up trigger communication aimed at keeping “active” clients.

This means that if a guest does not visit our restaurant within 20 days, the retention program will automatically start. What such a program may consist of depends on the characteristics of your business, for example, it may be as follows:

  1. Remind them of yourself.
  2. Send a gift or discount for the next visit or purchase, very limited in time, for example, 3-5 days. Do not forget to remind about the end of your offer.
  3. Send a promotional offer for a group of related products that your customer has not previously ordered.
  4. If there is no next visit or order for this step, find out what happened. You can call or send a survey to the e-mail

It is important to configure this trigger program so that each subsequent step is performed only if the previous one did not bring results.

Measure the efficiency

To calculate the conversion from “active” to “loyal” (and this was our main task), we need to determine the level of such conversion at the moment: how many customers had moved to the green zone, and how many – to the gray zone.

Let’s say, from 200 “active” – 100 became “loyal” and 100 – “leaving”. Therefore, the conversion is 50%. It is possible to accept this figure as basic in natural conditions. Our further actions will be aimed at increasing this figure.

In addition to conversion, it is important to track the frequency of the trigger program of customer retention in relation to the total number of customers in the segment of “active”. Here the logic is: the less often the trigger is triggered, the better you work with the base. This way customers are satisfied and they go into “loyal” on their own.

In addition, if every month the trigger launch rate is the same or increases – this is very bad, then the number of customers who do not make the next purchase increases. We need to know why!

What else can be done?

What to do when the trigger program on hold is configured and everything works correctly.

For “active” customers, the frequency of orders which suits you – to make a newsletter news digests with company news and propositions, and wait for the transition to the “loyal”.

Moreover, you can try to increase their profitability. How? Due to the expansion of the average check and the basket. Personalize your newsletter, taking into account the customer’s purchase history; make them a personal offer, the purpose of which will be the expansion of the basket. Well, involve him in communication to increase the frequency of contact without material stimulus. But about this – in the next article.

From “active” to “loyal”. How? Do not touch!

Sometimes, for the client to become “loyal” it is necessary not to interfere with them – it is enough to ‘keep’ them correctly. They will do the rest themselves. Why and when you still need to do something – see below.

We already know that “newcomers” are a priority segment in customer development. We try to convert their first order into their second. This is a key indicator in our work. When the “newcomer” makes a second purchase, they go to the segment of “active” customers.

But who do we consider “active”? Look at the RF-grid of the restaurant – here all guests are divided by the number and duration of visits.

Number of visits
Last visit 1 visit 2-3 visits 4-6 visits 7+ visits
0 – 30 days ago 430 450 340 910
30-60 days ago 330 310 200 140
> 60 days ago 1 340 790 110 210

Using red color, we highlighted “newcomers” who visited the restaurant once during the last month. Green – “loyal” who visited the restaurant more than 7 times, at least one of them was in the last month. Yellow highlighted “active” customers who visited us 2-6 times, at least one of them-during the last month.

Here are the guests from yellow segment are the only two options: in the “loyal” in the green segment or in the “gone”, indicated in gray.

Our main task in working with “active” customers is to make sure that the maximum number of them moved to the segment of “loyal”. It is in our power.

Do not interfere.

Sometimes this is the best strategy to work with this segment of customers. While they purchase – simply do not interfere. The maximum that is necessary is retention. It is enough to analyze changes in their behavior and prevent the circumstances due to which the client may leave.

To see the changes, you need to understand what buyer behavior is natural.

Let us continue the theme of the restaurant-below is a schedule of visiting guests with a history of visits two or more times. Let us find the average time that passes between their visits.

http://mmr.ua/uploaded/materials/27cd1b5c46.png

(слева) Number of clients; Average period between visits (сверху)

It may be clearly seen here that the natural thing for most of these clients is one visit every 20 days. We will consider this figure as the base for setting up trigger communication aimed at keeping “active” clients.

This means that if a guest does not visit our restaurant within 20 days, the retention program will automatically start. What such a program may consist of depends on the characteristics of your business, for example, it may be as follows:

  1. Remind them of yourself.
  2. Send a gift or discount for the next visit or purchase, very limited in time, for example, 3-5 days. Do not forget to remind about the end of your offer.
  3. Send a promotional offer for a group of related products that your customer has not previously ordered.
  4. If there is no next visit or order for this step, find out what happened. You can call or send a survey to the e-mail

It is important to configure this trigger program so that each subsequent step is performed only if the previous one did not bring results.

Measure the efficiency

To calculate the conversion from “active” to “loyal” (and this was our main task), we need to determine the level of such conversion at the moment: how many customers had moved to the green zone, and how many – to the gray zone.

Let’s say, from 200 “active” – 100 became “loyal” and 100 – “leaving”. Therefore, the conversion is 50%. It is possible to accept this figure as basic in natural conditions. Our further actions will be aimed at increasing this figure.

In addition to conversion, it is important to track the frequency of the trigger program of customer retention in relation to the total number of customers in the segment of “active”. Here the logic is: the less often the trigger is triggered, the better you work with the base. This way customers are satisfied and they go into “loyal” on their own.

In addition, if every month the trigger launch rate is the same or increases – this is very bad, then the number of customers who do not make the next purchase increases. We need to know why!

What else can be done?

What to do when the trigger program on hold is configured and everything works correctly.

For “active” customers, the frequency of orders which suits you – to make a newsletter news digests with company news and propositions, and wait for the transition to the “loyal”.

Moreover, you can try to increase their profitability. How? Due to the expansion of the average check and the basket. Personalize your newsletter, taking into account the customer’s purchase history; make them a personal offer, the purpose of which will be the expansion of the basket. Well, involve him in communication to increase the frequency of contact without material stimulus. But about this – in the next article.

 

Can e-mail marketing without promotions be efficient?

Can e-mail marketing without promotions be efficient?

Can the content of the letter replace material incentives?

Of course, the content letter will not receive such a response and sales volume as a special offer or gift. However, it is possible to make content distribution more effective. With a smaller number of transactions, you will retain the profit from each of them.

What is content in email marketing?

* Content is one of the tools that helps develop your entire customer base,

* Content-the main tool that you need to use to work with “loyal” customers,

* Content-a tool, the greatest effect of which is achieved in combination with individual proposals and trigger communications.

How to use it correctly?

Content, like any other communication tool, must be used correctly: after determining the purpose, target segment, time and place of use.

Applying interesting content blindly will result in a loss of budget and time. Because, having received from the copywriter interesting material, sending it to customers, the result you will be disappointed and be considering the whole thing just a waste of money.

It is possible that at this stage of development of the customer base it will be enough to send promotional offers only. If you do it not too often and correctly personalize, the result may be enough. About this in more detail – in our other articles.

What is an appropriate timing for the content?

Consider the example of a restaurant chain with a working loyalty program: customer histories are maintained, trigger communications are configured for the segments “newcomers”, “departing” and “departed”. You can safely engage in the development of “active” customers, increasing their average check. We offer to do this with the help of content communications.

1. We analyze and make assumptions.

First, we analyze the composition and amounts of checks of our “active” segment. We find that there are customers who order meat dishes. The size of their check has the potential to grow, may be more marginal. We plan to conduct a communication, the purpose of which will be to increase the average check, motivating the guest to order, for example, a more expensive branded Argentine steak.

2. We develop a communication program.

Our goal is to find out if the content affects our guests, so we need to figure out three questions:

• Will the result of sending the content of the letter without a promotional?

• What will be the result if the letter contains both content and promotions?

• How the results of the promotional email will differ from the content and promo email?

To do this, divide our sub-segment of meat lovers into 4 groups with a ratio of 30/30/30/10. The first 30% – those who will receive only interesting content about branded Argentine steak, the second 30% will receive content supported by ‘limited time offer’ promo; and the third 30% – only ‘limited time offer’ promo. The last 10% is a control group that will not participate in communication.

1. Make a newsletter for the selected segment:

* letter “Content” – a beautiful interesting text about the signature Argentine steak, cooking highlights, cost.

* letter “Content and promo” – a beautiful interesting text about the branded Argentine steak and a special offer: a discount on the entire order of 10%, when buying a branded steak.

* letter “Promo” – special offer: 10% discount on the entire order when buying a branded steak.

2. We analyze the efficiency of the company.

Letter type Feedback, % Average check (including discount), UAH
Content 4 350
Content and Promo 12 310
Promo 10 300

As a result, we see that those who received the letter “Content” – the minimum response, but the highest average check. The highest percentage of response from those who received the letter “Content and promo”. Those who received the letter “Promo” – also a high response, though a little less than the recipients of the letter “Content and promo”.

How to use the obtained data?

Do not draw conclusions based on the first experience. Test the hypothesis again. Find out how other content and other special offers work on other sub-segments. Only after all series of experiments make the decision-content communications suit your business or they are not necessary.

From our case, we can conclude that content letters are not required; you can do promotions and special offers. It is important to understand-only material incentives can lead to a constant expectation of discounts, which can reduce the value of the brand.

We would still advise you to try to use the content and personal offers to connect, when the content does not give a result-set up a trigger for each specific client: if the content letter does not give a result, we send a promo.

How to improve the efficiency of content communications

This can only be done by testing hypotheses. Compare the results of content letters in different style, design, size. For example, to divide the target audience into segments: one to send a letter with a beautiful description of the dish, the other-to add a comment to the description of the chef and reviews of satisfied customers. The third is to tell a story about the origin of the dish and the wine from our wine list, which is optimally suited to our dish.

By testing hypotheses, you build a knowledge base of effective techniques. Such a database of system content communications will give you the opportunity to eventually set up triggers that will accompany the entire life cycle of each of your customers. In addition, it will allow forming habits at consumers, the most favorable for us. But about it – in our other articles.

 

We invite you to lunch or Continue to develop “active” customers

We invite you to lunch or Continue to develop “active” customers

In a previous article, we wrote that the development of already “active” clients is a process of endless construction, testing, and scaling of hypotheses. And considered one theory, the purpose of which was to increase the frequency of purchases, for example, a restaurant. Recall that we have increased the profitability of the customers who come to us for Breakfast. Our communications were aimed at increasing the frequency of visits to our customers in the morning.

And why not invite our “morning” customers to us at another time? Why don’t they come to our house for lunch or dinner? And with family, can you come? Or with a group of friends? Look at how many possible options for the development of just one group of guests-those who regularly have Break, fast with us. Start over.

Which of the development options to choose?

Since it will not be possible to develop guests in all directions at once, you need to choose the most potentially productive. But how? You can use your knowledge of the market, and if there is a history of visits to the target, segment-they will find the best answer. I remind you, we are only talking about a group of guests who visit our restaurant in the morning so that we will analyze their stories.

1. First, we need to select all the customers who regularly have Breakfast and came to us at least once at other times of the day, but less often than in the morning. The last criterion is important because guests who, for example, more frequently go in the evening than in the morning should not get into our database – after all, it will be already not “morning” clients, and it is necessary to develop them in the opposite direction.

2. We selected a database of 1000 guests who, during the last month, had Breakfast with us 4+ times and came at other times of the day 1-4 times. Let’s make a table with their visits after 12.00.

Visits period – Visits per month – Total

Total

http://mmr.ua/uploaded/materials/bccb9e5ea5.png

 

3. As a result of the analysis of this table, we see that our “morning” clients visit us more often in the interval from 12.00 to 15.00. This is determined by our primary hypothesis – all our “morning” guests are more likely to come to us from 12.00 to 15.00 than at other times. We will develop this indicator. The second potential hypothesis for development is evening visits from 18.00 to 21.00. But this is a secondary task; we will take it up later.

Building communications

Our communications with the “morning” customers segment will include a sequence of three letters, where each will have its hypothesis about what can motivate our customers to come to us for lunch. And according to tradition, we will leave special personal offers for the last time.

Letter 1. And what business Lunches we have! Mmm

It is necessary to tell you about the fact that we have lunches, not only breakfasts. What is included in the lunch menu, how much it costs – write it in the first letter. We are waiting for the result for a week, watching the behavior of our segment. With the onset of the eighth day, we already know who from our target segment we had lunch, we remove them from further communication. We continue to work with others.

Letter 2. We have your favorite dish!

It may happen that some of our customers do not like business Lunches, choosing their favorite dishes from the menu. For them, we write a second letter-about individual dishes that they may like. To do this, we analyze the history of the composition of their checks. As a result of this work, someone will receive a letter with a beautiful photo of the steak and its description, someone will offer pasta, and the third will lure mushroom soup-puree. Well, there will be a group of customers who we will not be able to determine the taste preferences. You can send them a letter with, for example, three completely different dishes and track, in addition to visiting, also the recipient’s clicks on the message. The result of this mailing we are also waiting for a week, and by analogy with the first letter, exclude those who came to us, continuing to work with the rest.

Letter 3. We have a special offer

It is important to understand that our task is not to deliver to us a client for lunch at any cost, even once, and develop the habit of dining with us. Therefore, we prescribe a minimum of three visits to us in the conditions of the action.

• “We give a 20% discount on visiting our restaurant from 12.00 to 15.00 for three days.”

* “Only a week-50% discount on every third lunch from 12.00 to 15.00”.

We can not predict which of these proposals will bring more results in the future by forming a model of guest behavior, so we test both proposals. Break the base into three parts: 45%+45%+10%, where 10% is the control group. We send letters, observe behavior, analyze efficiency: what has changed in the first target segment, how many guests performed the target action, and as a result of which letter, as well as how much profit all the work brought.

Important: at the stage of sending the third letter, it makes sense to duplicate the message about the personal offer using SMS or messenger. Why weren’t the first two letters copied? In case of such duplication of the first two letters, most customers would see SMS-mailing negatively.

What did it give us?

• First of all, now we know what and how motivates our “morning” guests to come to us and for lunch. In the future, we can standardize and use these mechanics consistently, complementing and improving. We will also set up trigger communication for future customers who will only have Breakfast at the beginning.

• Next, we need to continue to observe the guests who started dining with us as a result of our letters. After a while, some will continue to eat with their regularity – they are our actual positive result. And the rest can come a few more times, and that’s all. Perhaps they react only to stocks, and it is important not to work at a loss.

• Well, we continue to build and test assumptions with those who did not come. We offer them different circumstances of visits, analyze in detail the composition of their checks, looking for patterns and ways to use them. But we will tell you about it in the following articles.

We invite you to lunch or Continue to develop “active” customers

In a previous article, we wrote that the development of already “active” clients is a process of endless construction, testing, and scaling of hypotheses. And considered one theory, the purpose of which was to increase the frequency of purchases, for example, a restaurant. Recall that we have increased the profitability of the customers who come to us for Breakfast. Our communications were aimed at increasing the frequency of visits to our customers in the morning.

And why not invite our “morning” customers to us at another time? Why don’t they come to our house for lunch or dinner? And with family, can you come? Or with a group of friends? Look at how many possible options for the development of just one group of guests-those who regularly have Break, fast with us. Start over.

Which of the development options to choose?

Since it will not be possible to develop guests in all directions at once, you need to choose the most potentially productive. But how? You can use your knowledge of the market, and if there is a history of visits to the target, segment-they will find the best answer. I remind you, we are only talking about a group of guests who visit our restaurant in the morning so that we will analyze their stories.

1. First, we need to select all the customers who regularly have Breakfast and came to us at least once at other times of the day, but less often than in the morning. The last criterion is important because guests who, for example, more frequently go in the evening than in the morning should not get into our database – after all, it will be already not “morning” clients, and it is necessary to develop them in the opposite direction.

2. We selected a database of 1000 guests who, during the last month, had Breakfast with us 4+ times and came at other times of the day 1-4 times. Let’s make a table with their visits after 12.00.

Visits period – Visits per month – Total

Total

http://mmr.ua/uploaded/materials/bccb9e5ea5.png

 

3. As a result of the analysis of this table, we see that our “morning” clients visit us more often in the interval from 12.00 to 15.00. This is determined by our primary hypothesis – all our “morning” guests are more likely to come to us from 12.00 to 15.00 than at other times. We will develop this indicator. The second potential hypothesis for development is evening visits from 18.00 to 21.00. But this is a secondary task; we will take it up later.

Building communications

Our communications with the “morning” customers segment will include a sequence of three letters, where each will have its hypothesis about what can motivate our customers to come to us for lunch. And according to tradition, we will leave special personal offers for the last time.

Letter 1. And what business Lunches we have! Mmm

It is necessary to tell you about the fact that we have lunches, not only breakfasts. What is included in the lunch menu, how much it costs – write it in the first letter. We are waiting for the result for a week, watching the behavior of our segment. With the onset of the eighth day, we already know who from our target segment we had lunch, we remove them from further communication. We continue to work with others.

Letter 2. We have your favorite dish!

It may happen that some of our customers do not like business Lunches, choosing their favorite dishes from the menu. For them, we write a second letter-about individual dishes that they may like. To do this, we analyze the history of the composition of their checks. As a result of this work, someone will receive a letter with a beautiful photo of the steak and its description, someone will offer pasta, and the third will lure mushroom soup-puree. Well, there will be a group of customers who we will not be able to determine the taste preferences. You can send them a letter with, for example, three completely different dishes and track, in addition to visiting, also the recipient’s clicks on the message. The result of this mailing we are also waiting for a week, and by analogy with the first letter, exclude those who came to us, continuing to work with the rest.

Letter 3. We have a special offer

It is important to understand that our task is not to deliver to us a client for lunch at any cost, even once, and develop the habit of dining with us. Therefore, we prescribe a minimum of three visits to us in the conditions of the action.

• “We give a 20% discount on visiting our restaurant from 12.00 to 15.00 for three days.”

* “Only a week-50% discount on every third lunch from 12.00 to 15.00”.

We can not predict which of these proposals will bring more results in the future by forming a model of guest behavior, so we test both proposals. Break the base into three parts: 45%+45%+10%, where 10% is the control group. We send letters, observe behavior, analyze efficiency: what has changed in the first target segment, how many guests performed the target action, and as a result of which letter, as well as how much profit all the work brought.

Important: at the stage of sending the third letter, it makes sense to duplicate the message about the personal offer using SMS or messenger. Why weren’t the first two letters copied? In case of such duplication of the first two letters, most customers would see SMS-mailing negatively.

What did it give us?

• First of all, now we know what and how motivates our “morning” guests to come to us and for lunch. In the future, we can standardize and use these mechanics consistently, complementing and improving. We will also set up trigger communication for future customers who will only have Breakfast at the beginning.

• Next, we need to continue to observe the guests who started dining with us as a result of our letters. After a while, some will continue to eat with their regularity – they are our actual positive result. And the rest can come a few more times, and that’s all. Perhaps they react only to stocks, and it is important not to work at a loss.

• Well, we continue to build and test assumptions with those who did not come. We offer them different circumstances of visits, analyze in detail the composition of their checks, looking for patterns and ways to use them. But we will tell you about it in the following articles.

 

The Honeymoon of the customer life cycle

The Honeymoon of the customer life cycle

Turning newcomers to loyal customers – How we make our magic work.

The beginning of the customer life cycle (your relationships with the customer) is called Honeymoon. The customer makes the first purchase, and then we have two possible scenarios: the customer either make another purchase or leaves you permanently.

The next purchase makes customers ‘promising’ one or even loyal if you are lucky. The Honeymoon is essential for the start of company-customer communications. Many things depend on it, e.g. next purchases, duration of your relationships, etc.

During this period, the customer is more likely to purchase something from you. They have the highest consumption rate comparing to other cycle phases.

Let us use the coffee machine as an example. Just as you purchased it, you search for different recipes, brewing technics, etc. that would improve your usage of this coffee machine. However, as soon as the Honeymoon ends it becomes a part of your routine – you drink one specific cup of coffee every day not bothering yourself with other options. That would go up to the moment when the machine breaks down or will be replaced by a new improved model.

Why the Honeymoon?

First – the higher consumption level you provoke in your customer s- the higher will be your income during other phases of the customer life cycle.

Attract your customers with a new coffee machine, tell them about the history of coffee machines, share interesting recipes, engage them in the culture of coffee consumption, and let them feel like participants of the sacrament. As a result-create a new habit of drinking coffee and let your coffee machine become part of it. This does not mean that the buyer should start drinking more coffee – no, but let him drink his favorite coffee from your machine as long as possible and with pleasure!

The Honeymoon is possible for any business. The owners of the restaurant or bar during this period can do everything to make the guest want to come to them as often as possible. Then they will begin to come less frequently but will do it with pleasure and for years, this bar would be his usual place. Even an online publication lives such a period with its subscribers-at first they read all their letters and articles, later they develop an individual reading schedule – once a day, week or month. Nevertheless, it depends on the publication – how long they will do it.

Of course, you can leave everything as it is and some of the customers themselves will reach the level of marginal consumption. However, experience shows that only 10% of all customers follow this way. After all, the client may not fully understand the settings of your coffee machine, necessary to achieve the best taste and aroma, or did not learn about the interesting recipes of coffee, which could fully satisfy them. As a result, the consumer does not use the machine 100% from the very beginning and finishes using it earlier than they could.

Besides, the second reason is the investment you have made in attracting a new client. After all, they became your buyers due to your effort. Therefore, if during the Honeymoon the client does not make a second order, the very probability of continuing your relationship is significantly reduced. Then the money you invested in this client was wasted. It is important to act as fast as possible!

How long does your business’ Honeymoon last?

The answer to this question is individual and you can find it by tracing the purchase history of your customers who have already become loyal. Analyze their behavior when they just made their first order. You will see the pattern of their behavior and the length of time when they are extremely active: make repeat orders, read newsletters and articles on the site; as well as the time after which their activity decreases. This analysis will help to understand how long “your” Honeymoon lasts and what indicators of customer behavior to monitor during this period. Moreover, you will be able to develop a system for assessing the potential of new consumers. This will help in the future to recognize which of the new customers will be loyal, and who exactly will leave.

How to develop loyal customers using the Honeymoon?

Honeymoon is an important period when you can develop customer loyalty. How?

1. Develop a system that will collect data about the behavior of your customers. Accumulate information about their orders: dates, composition, response to the newsletter and data about the buyer

2. Analyze the collected data and set the Honeymoon period for your company and how the behavior of customers after the end of the ‘first love’. Develop RFM segments and study customer behavior from each segment. Your goal is to determine the typical customer behavior scenarios, as well as the desired ones, according to which you will lead them, avoiding deviations.

3. Develop a system of evaluation of the result. Determine how many new customers you have and how quickly they repeat their orders. A good indicator of the right action on your part should be the growth of buyers who make a repeat order and the reduction in time between the first and second orders. This can also include both Open Rate and changes in RFM segments.

4. Use this knowledge. Once you understand the desired behavior patterns of your customers, launch a set of communications that will target customers according to the scenarios you need.

The Honeymoon communications complex

Your task is to interest the customer as much as possible in this short period when they are ready for the maximum level of consumption. This is possible using automated communications, as new clients appear constantly and each of them is at a different stage of the honeymoon.

The complex of communications for a new client is a Welcome Program. The main objectives of the program are to provide knowledge and engage.

The customer needs to know everything about you, your products/services and benefits. Also, to be as involved as possible in communication with you: receiving letters and transitions, reading content on the site and repeat orders.

Welcome Program is a chain of communications with a given sequence, as well as a system that monitors the reactions of customers (clicks, orders, transitions), analyzes and responds to certain programmed actions (sends a special offer, SMS instead of email or redirects to a call center). More details about this important tool of tying relationships tell in a separate article.

The Honeymoon of the customer life cycle

Turning newcomers to loyal customers – How we make our magic work.

The beginning of the customer life cycle (your relationships with the customer) is called Honeymoon. The customer makes the first purchase, and then we have two possible scenarios: the customer either make another purchase or leaves you permanently.

The next purchase makes customers ‘promising’ one or even loyal if you are lucky. The Honeymoon is essential for the start of company-customer communications. Many things depend on it, e.g. next purchases, duration of your relationships, etc.

During this period, the customer is more likely to purchase something from you. They have the highest consumption rate comparing to other cycle phases.

Let us use the coffee machine as an example. Just as you purchased it, you search for different recipes, brewing technics, etc. that would improve your usage of this coffee machine. However, as soon as the Honeymoon ends it becomes a part of your routine – you drink one specific cup of coffee every day not bothering yourself with other options. That would go up to the moment when the machine breaks down or will be replaced by a new improved model.

Why the Honeymoon?

First – the higher consumption level you provoke in your customer s- the higher will be your income during other phases of the customer life cycle.

Attract your customers with a new coffee machine, tell them about the history of coffee machines, share interesting recipes, engage them in the culture of coffee consumption, and let them feel like participants of the sacrament. As a result-create a new habit of drinking coffee and let your coffee machine become part of it. This does not mean that the buyer should start drinking more coffee – no, but let him drink his favorite coffee from your machine as long as possible and with pleasure!

The Honeymoon is possible for any business. The owners of the restaurant or bar during this period can do everything to make the guest want to come to them as often as possible. Then they will begin to come less frequently but will do it with pleasure and for years, this bar would be his usual place. Even an online publication lives such a period with its subscribers-at first they read all their letters and articles, later they develop an individual reading schedule – once a day, week or month. Nevertheless, it depends on the publication – how long they will do it.

Of course, you can leave everything as it is and some of the customers themselves will reach the level of marginal consumption. However, experience shows that only 10% of all customers follow this way. After all, the client may not fully understand the settings of your coffee machine, necessary to achieve the best taste and aroma, or did not learn about the interesting recipes of coffee, which could fully satisfy them. As a result, the consumer does not use the machine 100% from the very beginning and finishes using it earlier than they could.

Besides, the second reason is the investment you have made in attracting a new client. After all, they became your buyers due to your effort. Therefore, if during the Honeymoon the client does not make a second order, the very probability of continuing your relationship is significantly reduced. Then the money you invested in this client was wasted. It is important to act as fast as possible!

How long does your business’ Honeymoon last?

The answer to this question is individual and you can find it by tracing the purchase history of your customers who have already become loyal. Analyze their behavior when they just made their first order. You will see the pattern of their behavior and the length of time when they are extremely active: make repeat orders, read newsletters and articles on the site; as well as the time after which their activity decreases. This analysis will help to understand how long “your” Honeymoon lasts and what indicators of customer behavior to monitor during this period. Moreover, you will be able to develop a system for assessing the potential of new consumers. This will help in the future to recognize which of the new customers will be loyal, and who exactly will leave.

How to develop loyal customers using the Honeymoon?

Honeymoon is an important period when you can develop customer loyalty. How?

1. Develop a system that will collect data about the behavior of your customers. Accumulate information about their orders: dates, composition, response to the newsletter and data about the buyer

2. Analyze the collected data and set the Honeymoon period for your company and how the behavior of customers after the end of the ‘first love’. Develop RFM segments and study customer behavior from each segment. Your goal is to determine the typical customer behavior scenarios, as well as the desired ones, according to which you will lead them, avoiding deviations.

3. Develop a system of evaluation of the result. Determine how many new customers you have and how quickly they repeat their orders. A good indicator of the right action on your part should be the growth of buyers who make a repeat order and the reduction in time between the first and second orders. This can also include both Open Rate and changes in RFM segments.

4. Use this knowledge. Once you understand the desired behavior patterns of your customers, launch a set of communications that will target customers according to the scenarios you need.

The Honeymoon communications complex

Your task is to interest the customer as much as possible in this short period when they are ready for the maximum level of consumption. This is possible using automated communications, as new clients appear constantly and each of them is at a different stage of the honeymoon.

The complex of communications for a new client is a Welcome Program. The main objectives of the program are to provide knowledge and engage.

The customer needs to know everything about you, your products/services and benefits. Also, to be as involved as possible in communication with you: receiving letters and transitions, reading content on the site and repeat orders.

Welcome Program is a chain of communications with a given sequence, as well as a system that monitors the reactions of customers (clicks, orders, transitions), analyzes and responds to certain programmed actions (sends a special offer, SMS instead of email or redirects to a call center). More details about this important tool of tying relationships tell in a separate article.

The Honeymoon of the customer life cycle

Turning newcomers to loyal customers – How we make our magic work.

The beginning of the customer life cycle (your relationships with the customer) is called Honeymoon. The customer makes the first purchase, and then we have two possible scenarios: the customer either make another purchase or leaves you permanently.

The next purchase makes customers ‘promising’ one or even loyal if you are lucky. The Honeymoon is essential for the start of company-customer communications. Many things depend on it, e.g. next purchases, duration of your relationships, etc.

During this period, the customer is more likely to purchase something from you. They have the highest consumption rate comparing to other cycle phases.

Let us use the coffee machine as an example. Just as you purchased it, you search for different recipes, brewing technics, etc. that would improve your usage of this coffee machine. However, as soon as the Honeymoon ends it becomes a part of your routine – you drink one specific cup of coffee every day not bothering yourself with other options. That would go up to the moment when the machine breaks down or will be replaced by a new improved model.

Why the Honeymoon?

First – the higher consumption level you provoke in your customer s- the higher will be your income during other phases of the customer life cycle.

Attract your customers with a new coffee machine, tell them about the history of coffee machines, share interesting recipes, engage them in the culture of coffee consumption, and let them feel like participants of the sacrament. As a result-create a new habit of drinking coffee and let your coffee machine become part of it. This does not mean that the buyer should start drinking more coffee – no, but let him drink his favorite coffee from your machine as long as possible and with pleasure!

The Honeymoon is possible for any business. The owners of the restaurant or bar during this period can do everything to make the guest want to come to them as often as possible. Then they will begin to come less frequently but will do it with pleasure and for years, this bar would be his usual place. Even an online publication lives such a period with its subscribers-at first they read all their letters and articles, later they develop an individual reading schedule – once a day, week or month. Nevertheless, it depends on the publication – how long they will do it.

Of course, you can leave everything as it is and some of the customers themselves will reach the level of marginal consumption. However, experience shows that only 10% of all customers follow this way. After all, the client may not fully understand the settings of your coffee machine, necessary to achieve the best taste and aroma, or did not learn about the interesting recipes of coffee, which could fully satisfy them. As a result, the consumer does not use the machine 100% from the very beginning and finishes using it earlier than they could.

Besides, the second reason is the investment you have made in attracting a new client. After all, they became your buyers due to your effort. Therefore, if during the Honeymoon the client does not make a second order, the very probability of continuing your relationship is significantly reduced. Then the money you invested in this client was wasted. It is important to act as fast as possible!

How long does your business’ Honeymoon last?

The answer to this question is individual and you can find it by tracing the purchase history of your customers who have already become loyal. Analyze their behavior when they just made their first order. You will see the pattern of their behavior and the length of time when they are extremely active: make repeat orders, read newsletters and articles on the site; as well as the time after which their activity decreases. This analysis will help to understand how long “your” Honeymoon lasts and what indicators of customer behavior to monitor during this period. Moreover, you will be able to develop a system for assessing the potential of new consumers. This will help in the future to recognize which of the new customers will be loyal, and who exactly will leave.

How to develop loyal customers using the Honeymoon?

Honeymoon is an important period when you can develop customer loyalty. How?

1. Develop a system that will collect data about the behavior of your customers. Accumulate information about their orders: dates, composition, response to the newsletter and data about the buyer

2. Analyze the collected data and set the Honeymoon period for your company and how the behavior of customers after the end of the ‘first love’. Develop RFM segments and study customer behavior from each segment. Your goal is to determine the typical customer behavior scenarios, as well as the desired ones, according to which you will lead them, avoiding deviations.

3. Develop a system of evaluation of the result. Determine how many new customers you have and how quickly they repeat their orders. A good indicator of the right action on your part should be the growth of buyers who make a repeat order and the reduction in time between the first and second orders. This can also include both Open Rate and changes in RFM segments.

4. Use this knowledge. Once you understand the desired behavior patterns of your customers, launch a set of communications that will target customers according to the scenarios you need.

The Honeymoon communications complex

Your task is to interest the customer as much as possible in this short period when they are ready for the maximum level of consumption. This is possible using automated communications, as new clients appear constantly and each of them is at a different stage of the honeymoon.

The complex of communications for a new client is a Welcome Program. The main objectives of the program are to provide knowledge and engage.

The customer needs to know everything about you, your products/services and benefits. Also, to be as involved as possible in communication with you: receiving letters and transitions, reading content on the site and repeat orders.

Welcome Program is a chain of communications with a given sequence, as well as a system that monitors the reactions of customers (clicks, orders, transitions), analyzes and responds to certain programmed actions (sends a special offer, SMS instead of email or redirects to a call center). More details about this important tool of tying relationships tell in a separate article.

 

Trust, but always check … client surveys.

Trust, but always check … client surveys.

Active customer base should be developed – to motivate them to buy more; it is desirable that they have not bought before. To do it right, you need to know what they might want to buy. How?

Collecting data! What kind?

The easiest ways to collect data is to survey customers and monitor their actions. Consider an example.

Let us say your online store sells different groups of products, including children and you have customers who regularly buy any other products, except for children. Can we assume that among them there are those who also need such goods? Certainly.

We have developed a special offer for these customers and are ready to make an email newsletter, but how do you know who to send it to? All-bad option, which rather hurt. It would be logical to find out which of our customers may have children and send them.

This information can be found using two types of data: what the client says about themselves and what they do.

“What do they say” can be found through an online survey, telephone survey or specify this point immediately during registration. And “what does” – if you analyze the history of clicks in the newsletter or how the client behaves on the site-what reads the articles and sections.

If you want, you can test two segments: formed on the basis of personal data and with the help of consumer behavior. Our experience shows that the conversion to the second will be much higher.

Why not just believe the questionnaire?

1. The main reason is the reliability of the data. If the questionnaire stands between the buyer and the desired product, he can fill it out, choosing speed, not quality. As a result, half of the data is unreliable. However, this does not mean that the questionnaire is a useless tool. You just need to use it properly.

For example, if you want to personalize your communications by sending useful content to segments of your database.

Suppose you sell face creams and it is important for you to know the skin type of customers to send them suitable recommendations. You manage to gather information about it through different communication channels; you divide them into segments and start working. But there is a risk that your client can make a mistake with your skin type, make an order for a gift or just fill out a questionnaire untruthfully “get off”. We suggest you find a place in your newsletter where you can post information for other skin types. In addition, let the analyst analyze how buyers react to this “unfamiliar” information.

2. Check the veracity of the data left by the client. Think about how you can double-check this data. Design the questionnaire so that it contains test questions. Continuing the example of facial cosmetics-if the buyer has specified a ” dry “skin type, and the results of the test questions comes out “combined”, think about how not to focus in their communications exclusively on the specified skin type.

3. Use both types of data. Analyze and compare what they wrote with what they do. And be prepared for inconsistencies. They could point out that they have a daughter, and look for toys for boys. There can be several explanations for this: both the fact that he has two children, and the fact that he chooses a gift.

In fact, you do not need to look for and understand the reasons for this behavior. After all, as a result, this customer can buy goods from both categories and it is important to ensure that he did it for you!

 

All you need to know about Open Rate

All you need to know about Open Rate 

Open Rate (OR) is a percentage of ‘opened’ e-mails. Taking the path of mass-messaging one wants to know if their emails are opened and read. Here is where OR comes by. So how do one track OR? What OR is enough? All of the answers are here.

High or low?

Usually the OR is special for each company due to the differences at approach, customer databases, etc.

Let us imagine that you have a year-old customer database. First, your OR would be much higher than the OR of your competitors because usually, databases are much older than yours are. Therefore, you have much more clients who read your e-mails than those who do not anymore.

The other key element is the quality of the customer database. It may consist of those who have already made a purchase or may also include various leads and potential customers. Your OR will depend on it.

Besides, your OR may vary from one type of emails to another even if the database is the same.

What else affects OR?

 

The kind of e-mail. Promo-email that contains some kind of discount or other benefits for the customer is much more likely to be opened than a regular informational email

 

Customer segment.  OR is heavily dependent on the kind of customer receiving it. A newcomer has a higher rate than the inactive customer does. Furthermore, the same email sent to people of different gender, race, region, etc. will have different OR.

 

Time and day. Emails of the same content sent on different days will have different OR as well. Launch a test for a week or two and find the most efficient day and time of the week.

 

Higher and higher!

 

What do we do to increase OR? The main elements are WHAT is in the e-mail and HOW it is written.

 

WHAT is the content of your email and how valuable it is. Each customer has their preferences and interests, so it is very important to segment and target the right ones.

HOW to write an email that customer would want to open? You could experiment here or follow the beaten track – add a handful of interesting information and pinch of intrigue.

 

«For two days only! Presents and recipes from Mad Hatter! »

In the email:

– A short section about the first publication of ‘Alice in Wonderland’ by Luis Carrol and link to the blog about the book and author.

– All about the discount due to the anniversary of this publication

– Coffee and cocktail receipts from the characters of the book.

 

Another nice move is to surprise the customer with information that, at first glance, has nothing to do with your business. For example, ‘What was changed in the last amendment of the Constitution of Ukraine’?

 

-The actual email says that the Constitution day is the public holiday

 

-It is coming tomorrow, so we offer you a special discount!

 

Be aware that this kind of email may be used infrequently. Otherwise, It will lead to a dramatic decrease in OR.

 

Test it!

‘20% discount to any purchase!’ or ‘Giving out 20% discounts!’ which one will be opened more? There is no way to know it but to test it.

At first, use simple AB-testing, then AAB and AABB. Make an AB-testing process obligatory to get more data and increase your OR.

Attention!  Test one element at the same time! For example, by testing two systems as ‘Super sale – only until the 16th of may!’ and ‘Limited offer – 25% discount on the interactive robot – only three days left!’ the second one has a higher OR. However, we still have no idea what specifically increased OR. Was it the super sale, name of the product or time when the offer ends?

Lastly, never clickbait the clients the way they get nothing out of the actual content.

 

How to track OR?

As an example, we get data for a make-up brand with 10 emails per month. We have sent different kinds of emails, such as promo, personal offers, news, content, etc.

 

Comparing OR for the 3 months:

January February March
Average OR 26% 26% 27%

Looking goo so far – we see an increase in March. Let us analyze them by types:

January February March

http://mmr.ua/uploaded/materials/30fe89b118.png

Promo                      Content                  Newsletters                     Average

 

 

 

Then another conclusion comes to mind; Promo is getting worse OR, the content has a rapidly increasing OR. Therefore, we need to look for the reason for OR decrease of promo emails. Otherwise, it definitely will keep decreasing.

 

Is your OR good enough?

Yes, if you have:

1.      A repetitive communication bundle with the same number of segments. For example, 3 content, 3 promos and 2 news.

Compare your results at the end of the month and watch the average OR closely.

2.      A team member who is passionate about your OR and is watching it 24\7, doing everything they can to increase it.

What else to rate?

.

If you go further you might want to rate your customers by their position in the customer life cycle (new, active, gone). Using those rated you can track any changes in customers’ behavior and make communications more efficient.

Use it in a bundle with Click through rate and Conversion rate to cut your costs. However, those rates are worthy of another article.