Inactive customers represent untapped potential for companies. This refers to customers who have not made a purchase for a long time (for example, 2 to 3 years). If you succeed in reactivating inactive customers, you will increase your sales.
The group of inactive customers is particularly rewarding, as they are people who in the past have been already made a purchase from you have. Compared to customers who are still unknown, the probability of purchase is higher. Marketing Automation is a promising approach for reactivating inactive customers.
When is a customer considered an "inactive customer"?
The point at which inactivity can be assumed depends on the product portfolio. A new automobile is needed less frequently than a new pair of shoes. Therefore, car dealerships have to apply a longer time span than mail-order retailers of clothing. However, if the car dealership also offers repairs, then the time span is shortened. It can be assumed that customers have already taken advantage of offers from the competition - yet reactivating inactive customers is possible.
The advantages of one's own offer and special promotions must be highlighted. Positive emotions must be aroused.
What is Marketing Automation?
Marketing automation includes the support and Control of customer-related business processes in the communicative area. A sub-area included in this subject area is the Email marketing - also combined with elements from social media marketing and data from CRM systems. Contacting and communicating with customers is supported by appropriate technical systems and technical solutions realized.
Plan reactivation campaigns in a targeted manner
Campaigns to reactivate inactive customers primarily aim to generate additional sales. Ideally, reactivated customers not only make a one-time purchase again, but they become long-term active customers. You will not succeed in reactivating all customers. You can therefore also use the reactivation campaigns to identify the customers for whom efforts are worthwhile.
You start an email campaign and write targeted inactive customers (but who have subscribed to the newsletter). In the email, you ask readers to confirm their subscription to the newsletter for the future. If the customers do not respond to this request, then there seems to be no interest. Consider whether to stop sending the newsletter.
By systematically reviewing these relationships, you keep your Data basis clear, lean and structured. In this way, you use resources efficiently in marketing automation. However, a subscriber should not be removed from the database prematurely. Rather, it is recommended that the measures to the Customize subscriber behavior.
Should I stop sending the newsletter if customers are inactive for a long time?
This question can only be answered in the respective context. It may also be "dead" email addresses that are no longer in use. With Marketing Automaion tools, you can tell if users have opened the newsletter. "Dead" email addresses and the failure to open the newsletter can thus be detected.
However, if the user opens the newsletter but does not interact with it, then he is not considered an inactive subscriber. In this case, an adjustment of the content may possibly encourage him to interact. In contrast, "dead" addresses should not remain in the database, otherwise there will be an artificially higher total number of addresses, which will distort your email statistics.
Differences within the group of inactive customers
If the customers read the newsletter but do not make a purchase, then the chance of successful reactivation is high. Possible measures to reactivate these active customers is the use of discount promotions and coupons.
If the system detects that a customer has not made a purchase for a long time, then the customer is included in the reactivation campaign.
The customer will be sent a voucher code to the address stored in the system. The validity of the voucher should be limited, then the Incentive for the customer for quick response larger. The value of the voucher is estimated higher by the customer. Alternatives to vouchers are discount promotions and gifts. For example, you can announce to customers to receive a surprise gift for each purchase above a purchase value of 20 euros.
Are rebate and coupon campaigns successful?
Studies show that people are willing to spend money to receive free gifts. The reward effect is great. However, the gift must provide enough incentive to make a purchase. The better you can improve your Target group the better you can tailor the gift to the customer's wishes. As part of marketing automation, you perform target group analyses. You collect data via the CRM system.
Among other things, the customer's age, gender, marital status and previous purchasing behavior provide information regarding preference for certain gifts.
How often should I write to customers?
Customers should be contacted as often as necessary and at the same time as little as necessary. On the one hand, it looks intrusive if the newsletter is sent too frequently. Customers have no incentive to open the newsletter every time. However, if the newsletter appears at longer intervals as part of the reactivation of inactive customers, then the Curiosity of the users aroused.
The company name and the brand name - which should be mentioned in the address field - catch the customers' attention. You get back into the memory of previously inactive customers. In any case, you should use special events, seasons and festivities as an occasion to send a newsletter. Is your company celebrating an anniversary? Is the Christmas season just around the corner? Or is the summer season about to begin?
Newsletters can be particularly effective if they are occasion-related.
5 tips: How do I implement reactivation of inactive customers using marketing automation?
1. define from which point a customer is considered inactive.
2. design reactivation campaigns specific to customer groups.
3. use newsletters and email marketing.
4. relate the campaigns to special occasions.
5. use the support of professionals: Thorit GmbH specializes in combining marketing and technology.
The reactivation of inactive customers by means of marketing automation is promising. With the right support, you can implement this task purposefully and successfully.