Top 4 Personalization Opportunities Your Retail Brand Might be Missing (Part II)
Last week, in Part I of this series, we described two of the most important personalization initiatives retail brands should be driving. These were personalized new-customer welcome programs, and post-purchase ad suppression. In this post, we take on two more must-do and quick-to-implement use cases.
3. Activate email opt-outs in direct mail and paid social
Maximal campaign reach is a key goal for marketers. Email is still an effective channel much of the time, but with inboxes chronically overloaded and increasingly ignored, there are other important aspects to your strategy. Making the problem even more complicated, large portions of customers have opted out of email from many brands.
The solution is to understand email engagement and opt (in/out) status for individuals and to find better channels through which to reach them. Additional channels enable you to target individuals with meaningful communications and offers, while respecting their preferences.
The first step is to segment customers by email engagement rates and opt status, and then activate those segments in more effective channels. This requires email campaign data to be integrated into a customer database containing additional PII, like full name, street address, and city. This can be a challenge for some brands, but with email open rates as low as 15-25% at most brands, the effort pays off.
Direct mail is a great way to reach customers who aren’t receiving or engaging with email marketing. Direct mail might sound old fashioned, but digital printing has enabled personalization with similar levels of sophistication as in email. For example, a brand sending a promotional direct mailer to a customer could personalize the creative on the mailer with products and content based on the customers’ last purchases or site visits. One cosmetics brand targeted all browsers of a new product with a personalized direct mail campaign and saw a $5 ROI.
Paid social is another effective channel for reaching customers who fail to engage with email. You can send customer segments of named individuals to Facebook, Google, or Amazon to target those customers directly with relevant advertising.
Supplementing email with additional channels is beneficial in several ways. First, omni-channel campaigns boost conversion rates because varied and more frequent touchpoints are more effective in breaking through the noise. Second, direct mail and paid social are the only ways to directly reach customers who are opted out of email.
4. Product replenishment campaigns
No one likes to run out of their favorite hand cream, after shave, or facial cleanser. Properly timed replenishment campaigns are a highly effective way to drive revenue with a willing audience. And don’t forget about other items like underwear, t-shirts, or running shoes that tend to wear out over predictable time periods. There are also entire categories of seasonal items like kids’ winter clothing that might have been outgrown or gone missing, springtime homeware, and summer recreation items and beachwear. On the whole, nearly all retailers have products that need reordering from time to time.
When building your product replenishment campaigns, remember that your customers want to hear from you about these products. They have purchased them before and, chances are, they are excited to buy them again. Leverage an omni-channel approach focusing on each customers’ preferred channels.
The next most important factor is to streamline the purchase experience. Use “buy” buttons in social, link directly to products in email, and feature images of the product itself in direct mailers. You can also add CTAs for logged-in customers on the website and mobile app. Use push notifications for customers that respond to them.
As you craft a multi-touch product replenishment campaign, remember to employ post-purchase ad suppression as outlined above. Once your customers repurchase items, it’s vital that you cease to remind them, especially if you are using more than one channel to do so.
Product-replenishment campaigns are as much about driving repeat purchases as they are about customer satisfaction. By reminding customers to replenish products at just the right moments, brands personalize the customer experience and provide a valued service. Replenishment campaigns have higher conversion rates and are an easy way to boost revenue year over year.
What to do if you’re blocked
As we said last time, the above use cases are basic and straightforward to implement if, and this is a big if, your customer data are in order. This means you have customer profiles at the individual level, built from point-of-sale, eCommerce, loyalty, email interaction data, and more. Profiles must contain personally identifiable information (PII) like full name, email, home address, with both online and offline transactions, clickstream, and other behavioral data. Finally, easy, rapid, detailed customer segmentation and multi-channel activation are crucial.
For many brands, a Customer Data Platform is the solution providing the necessary foundation to enable basic and advanced personalization initiatives. Amperity is the top Customer Data Platform for enterprise brands with lots of data, many channels, and customers who are demanding more seamless and personalized marketing. To learn more, visit amperity.com/product.