You understand the importance of building brand loyalty. You probably ascribe to the 80/20 rule: that 20% of your customers account for 80% of your sales. You may even have a robust loyalty program that includes a mobile app that tracks dollars spent and sends targeted offers based on past purchases.
But are your most loyal customers also your most profitable ones? Chances are likely that they are not. In fact, according to Byron Sharp’s “How Brands Grow”, the 80/20 rule is really the ‘60/20 rule or less’. And what’s more, price discounts and freebies for repeat purchases generally attract only ultra-price conscious consumers.
If you spend all of your marketing efforts on loyalty campaigns, how do you acquire new customers? Perhaps there are more valuable, less price-conscious consumers just waiting to hear about your brand, your product, or your service.
What kind of smart data strategies exist for acquiring new customers? Predictive analytics is a great start because your own loyalty data can provide tremendous insight on your most profitable, not just loyal, customers. This data can then be used to identify prospects who are most likely to respond to your brand’s messaging and become loyal customers themselves.
Once you know who your most profitable customers are, how do you find them? There are many online and offline channels that allow you to place your targeted message directly in front of your ideal prospects:
• Hyper-targeted email can be delivered to individuals who ‘look like’ your ideal customers
• Social targeting allows you to serve social media ads to customers who fit the mold of your ideal customer or who engage with your types of products or services
• IP and device targeting enable you to reach identified prospects on their laptops and mobile devices with hyper-targeted messaging and offers
• And of course, direct mail sent specifically to those you’ve identified as people whom you would like to shop with you
Customer loyalty is important but it should not detract from a constant focus on acquiring a steady pipeline of new customers. Speak to one of AccuData Integrated Marketing’s data experts today to learn what types of customer acquisition strategies you should be using. We can even develop and manage your multichannel acquisition campaign!