From the Welcome Message to the WinBack Program, lifecycle marketing is a way of communicating with customers that adapts to their changing needs. Why is it so effective?
- Because lifecycle marketing acknowledges that customers aren’t static – they evolve.
You could say acquiring a new customer is step one of 100 steps, but it would be more accurate to say that it’s step one of an unknown number of steps. Customers’ needs change; what worked for them in January might be wearing thin by September. Keep in touch. Communication that’s tailored, creative and proactive–whether it’s done through surveys, milestone programs or referral solutions programs–has a positive influence on retention rate.
- Because it’s much easier to convert a lost customer than to win a new one.
It may seem counterintuitive that a “lost” customer would be more likely to return to the fold than a new customer would be to sign up, but the numbers don’t lie. Marketing Metrics show that probability of selling to a new prospect is 5-20 percent while the probability of selling to an existing customer is 60-70 percent. And consider it from customer’s perspective. Say the cost to renew a subscription to your favorite magazine increases. Even if you love the content, there’s a good chance you’ll pass. It’s not a rejection of the product; it’s a hold out on the price.
Imagine how much more cost-effective it would be for the magazine to send you a discount offer to renew rather than devise a completely new strategy to get the attention of a prospective customer.
- Because it’s more than just an invoice.
Would you want to hear from someone only when they’re asking for money?
OSG offers an array of lifecycle marketing solutions. Get in on them.
Do you have a referral program in place for your current customers to refer friends and colleagues to your business? Studies have shown that referrals are extremely important to the success of a business. Take a look at these statistics and then see if maybe you want to set aside some time to create one or revitalize the one you have in place.
- According to The New York Times, 65% of new business comes from referrals.
- Nielsen reports that people are four times more likely to buy when referred by a friend and that 92 percent of people trust a referral from a friend.
- A customer who is referred by another customer has a 16% higher lifetime value, according to a study by the University of Pennsylvania’s Wharton School of Business.
If you think about it, it makes perfect sense. Satisfied customers make the best advocates for your company. And since they know both your company and their friends/colleagues, they can actually target the right people for the right product/service. So not only can they act as your brand ambassadors, they can do the initial audience segmenting for you too. They’ve had a good experience with your company and products. Now encourage them to tell their friends, family and colleagues about your company and the great service you provide. Not only will they bring in new customers, increasing your revenue stream, you will also make your current customers happy when you reward them for their efforts. That’s important too. They’re helping you out so you should do something for them. It doesn’t have to be cash back but consider a discount or credit to an invoice or statement.
Think you’re too small a company to be able to implement such a plan? The OSG Creative Studio is available to help you every step of the way. Contact them directly or talk to your Account Manager.
Think about implementing a Referral Program. You and your customers will be glad you did.
Do you have a company newsletter? It’s a great way to stay in touch with your customers and build brand loyalty.
Think in this day of Tweets and Posts that newsletters are no longer relevant? In a recent report issued by Quartz Insights, 60 percent of over 1,300 global executives, indicated that they read an email newsletter as one of their daily news sources. They also indicated that they get their news twice as often from email than from video.
The study went on to report that if they read work-related content that they felt was valuable, 88 percent said they would share it via email.
So, what are you waiting for? Not only is a company newsletter a great way to stay in touch with your customers on a regular basis, research shows that the content will be read and, if deemed valuable, shared.
What should the goals of your newsletter be?
- Educate Your Target Audience. As a valuable source of information for your customers, your company newsletter can update them on the latest happenings within your company, answer frequently asked questions, include store hours and contact information or further explain a service plan.
- Establish Recognition. Establishing your brand is powerful. The regular delivery of your newsletter will help your customers develop a strong sense of your brand. Your newsletter is a simple and effective marketing tool that is perfect for spreading information directly to your audience. Use it to announce a new product, promotional discounts or just send season’s greetings.
- Increase Web Traffic. Your newsletter is the perfect vehicle to drive traffic to your website. With the proper use of content and links within your newsletter, customers can quickly and easily access your website which helps further establish your brand. A company newsletter is also a subtle reminder to those customers who may have lost touch with your business.
- Communicate More Effectively. Developing reliable and timely communication with your customers is important for your business to thrive. Although you have plenty of marketing tools at your disposal, only a newsletter gives you the adequate space you need to speak directly to all of your customers. This compelling form of communication will become something your customers will look forward to receiving.
Does your company produce a newsletter? Is it print, electronic or both?
It’s Super Bowl Week and the big game is just a few days away. Regardless of whether your team is playing in Houston or not this weekend, we can all learn some important business lessons from how the teams prepare for the big day.
First of all, it’s all about preparation. The players won’t walk on to the field without extensive and thorough planning and preparation. Learn from them. If you’ve got a big presentation coming up, you too need to plan and prepare. Know what you’re going to say and do but also be prepared for the unexpected.
Which brings us to lesson number two. Always have a contingency plan in place. The Falcons don’t know what tricks the Patriots may have up their sleeves, but you’d better believe they’ve run through scenario after scenario and have prepared different game plans depending on what comes at them. So too, you should not just have your prepared answers in place. From your slide presentation not being loaded onto the laptop to the exhibit not making it to the tradeshow hall, have a backup plan in place.
Finally, to quote Ron Jaworski, NFL analyst and former American football quarterback, “Positive thinking is the key to success in business, education, pro football, anything that you can mention. I go out there thinking that I’m going to complete every pass.” Believe in yourself, your teammates and your abilities and you’ll succeed.
As hard as it may be to believe, New Year’s is but a memory and holiday-laden February is just ahead. Are you using the calendar to inspire your Lifecycle Marketing Campaign? In February alone we will celebrate Groundhog Day, Lincoln’s Birthday, Washington’s Birthday, Presidents’ Day, Valentine’s Day, Black History Month and American Heart Month. Each of these holidays and observances lends itself to some type of communication from you and even if you don’t have anything specific to share, each is a great excuse to be in touch with your customers.
Here are three reasons it’s important to maintain a Lifecycle Marketing Campaign (or launch one if you don’t already have one in place).
- Every time you send an invoice or bill to your customer, you’ve opened the door to a one-on-one conversation. Take advantage of it. Transactional documents are open and read 97% of the time according to InfoTrends. That makes your monthly invoice or statement the perfect place to include a targeted message because it’s almost guaranteed to be read.
- It’s easy. Simply put it’s delivering the right message, at the right time, through the right channel, to the right customer. But you think you’re too small a company to implement or maintain a Lifecycle Marketing Campaign? No you’re not. All it takes is some time and effort and you’ll be amazed at what you’ll get in return.
- You already have these customers on board. You want to keep them, right? Use the calendar as a way to stay in touch with them throughout the year. Pick any of the upcoming holidays and give your customers a reason to celebrate. Don’t feel like using the calendar. How about sending out a survey to get customer input? Since part of the reason you’re staying in touch is to keep them, it’s good to know how they feel about your company and if you’re meeting their expectations.
From welcome postcards to calendar inserts to win-back programs, lifecycle marketing can help you grow and nurture long-term relationships with your customers.
Sometimes, for any number of reasons, a customer stops being active and may even go elsewhere. Here’s some encouraging news, the odds of bringing that customer back are quite good. In fact, the chances of converting a lost customer are usually much better than your chances of converting a new one. According to Marketing Metrics, the probability of selling to a new prospect is 5-20 percent while the probability of selling to an existing customer is 60-70 percent. And according to the White House of Consumer Affairs, it is six to seven times more expensive to acquire a new customer than it is to keep a current one.
That’s why a WinBack Program is a critical tool to ongoing success. Through a series of strategically positioned campaigns that include letters, postcards and eblasts, you can get in front of prior customers, get their attention and strategically pique their interest.
Not sure how to begin? The OSG Creative Studio has a team of marketing experts with extensive experience in implementing successful WinBack Programs. Speak with your Account Manager about how to launch one. It’s never too late for customers to come back.
It’s that time of year again – when we’re all in optimistic moods and positive cheer in the midst of the holiday season – to plan our resolutions for the upcoming year. Not only do we want to make ourselves into better people, but also into better workers and co-workers. So let’s make a list of achievable goals that can help with our job satisfaction and the satisfaction of those working around us:
Clean out your email inbox.
Email is great, but the inbox needs some maintaining or the emails just pile up and overload your mind. Start off the new year by organizing and cleaning out junk emails. Make folders for the “must respond by tomorrow” emails and emails that you only need to read when you have time. An organized inbox reflects an organized you.
Commit to personal development and learning.
Let’s admit it; even the best professionals have room for improvement in their field. Today’s business world moves fast. Keep up with the latest technology and most relevant topics in your field by taking an online course or going to your local community college. Even reading blogs, books and visiting websites on a regular basis about your industry can be beneficial.
Realize you’re only human.
We all make mistakes. Even the best of us. So if you do make a mistake at work, acknowledge it, do what you can to rectify the situation and then, to quote “Frozen,” let it go. If we were perfect, we wouldn’t have the need for a resolutions list…
Say “thank you” more often.
Whether it’s your customers or co-workers make a commitment to thank people for all they do. Has someone at work made your life easier, been pleasant to deal with or has a customer or vendor gone out of their way to help you? Remember to say thank you. Emails, a personal note or doing something special not only shows people you appreciate them but also makes you feel good too.
Happy New Year from your friends at OSG!