Insider Tips for Increasing Post Purchase Engagement

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Updated on: January 5th, 2023Ken Braun6 min read
Insider Tips for Increasing Post Purchase Engagement

On average it costs five times as much to acquire a new customer compared to retaining an existing one. Five times! Even with that sobering number starting marketers in the face, there is still a premium placed on new customer acquisition, often above all else. As an experienced digital marketing company, we are big believers in balance. A well-balanced marketing program involves making gains in all areas which certainly includes customer retention. That is why today we wanted to share our Insider Tips for Increasing Post Purchase Engagement.

Even if it cost the same amount to retain customers compared to acquiring new ones, it is simply smart business to devote some of your marketing time and budget on post0purchase engagement. There are two key reasons for this: reputation and a limited customer pool. A business should strive for satisfied customers if they wish to have a long tenure in the business.

There is also typically a fixed pool of available customers in any industry, so to maximize your revenue you need to capture and retain as many of them as possible. Remember, there is never a guarantee that a customer will re-enter your sales funnel simply because they completed one transaction. Even the mighty Amazon works diligently on customer retention and boasts a solid retention rate.

Tips for Increasing Post Purchase Engagement

  • Create a loyalty program – Well-crafted loyalty programs have been proven methods for increasing customer retention. Amazon Prime customers would be the best example of a loyalty program that has paid massive dividends. The key to a good loyalty program is to focus on more than just sales. It needs to meet the needs of customers as well as provide unique benefits. For example, Amazon offed Prime Shipping, which was a benefit other retail companies simply didn’t offer. The program should be enticing enough that new customers can’t resist the benefits of signing up. Then it is a matter of providing consistent value with regular communication to keep customers engaged.
  • Build a community – Some of the strongest brands have become that way by building a community of like-minded individuals. Social media can be a great way to connect and stay in contact with a community, especially those linked together by common interests which your products or services fulfill. By commenting, staying active, liking, and providing useful resources and information to the community, you can keep your business as part of the community.
  • Personalize the customer experience – Return customers are more of a known quantity compared to new customers. Any previous interactions should be incorporated to enhance the customer experience with things such as personalized welcome messages and product suggestions based on past browsing and purchasing history.
  • Ask for customer reviews – How can you easily show customers you care about them? Ask them for their opinion. A customer review is, in essence, someone’s opinion about your business and its level of products and service. By asking people to share, you demonstrate an interest in what they have to say. This can lead to brand loyalty and brand advocates. A key marketing point is to regularly review and respond to customer reviews, making sure to resolve issues and complaints quickly.
  • Celebrate milestones – When you have detailed customer information, it is important to then utilize it. For example, many loyalty programs will wish customers a happy birthday via email when they have access to a birthdate. Sending coupons or discounts on the annual signup anniversary is another common tactic to create engagement.
  • Use a simple checkout process – This tip covers two things at once. First, it makes the initial conversion easier for the customer. That in turn, is something a customer will remember because it happens at the end of a transaction. Again, Amazon is the king with amazing options for checking out which can be as little as one-click. Customers remember when things are very easy and very hard, but only one of those provides a positive impression.
  • Reach out with push notifications – Have a special sale coming up? Did you update your website? Have you expanded your product catalog? Rather than using email notifications, try using push notifications. To do this, customers need to opt-in, often when first visiting your site. You can accomplish this by offering unique offers and deals not available elsewhere. Then it is a matter of being selective with what information you push out. This should be personalized based on past behavior to ensure you are providing true value to a customer rather than an annoyance.

The Bottom Line

The bottom line is that not focusing regularly on customer retention is a business decision that can negatively affect your profitability and long-term success. Loyalty has become a fleeting concept, often directly related to how much a brand actually cares for meeting all of a customer’s needs. Our Insider Tips for Increasing Post Purchase Engagement provide a good starting point for any business that wants to increase retention along with improving customer satisfaction.

Be sure to check back every week for great new Lounge Lizard blog articles.

Published on: November 19th, 2019
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