Churned customers are a lot like zombies: they’re never quite dead, just dormant. However, unlike zombies, you definitely want to figure how to re-awaken a dormant customer. After all, it costs 5 times more to acquire a new customer than it does to keep an old one. So, here are five ways to leverage omni-channel loyalty to bring your customers back from the dead, metaphorically speaking of course…
1. Tap Into Your Loyalty App
Leverage your loyalty app to reach customers who have been inactive for a brief time. Utilize push notifications and app messaging to connect to them and offer an incentive to get them to come back to you. The seamless connection and ease of use increases the likelihood they will respond.
One of the most important aspects of awakening an unengaged customer is understanding why they left in the first place. Reach out to old customers to solicit feedback on their past purchases and the experiences they had with your company. Tie loyalty in with an offer for a higher than average number of loyalty points or a customized reward. While some of the feedback may be a little ghoulish, it’s better to understand the issues old customers faced so you can address them and turn their opinions around.
3. Strategically Boost Loyalty Incentives
Create a plan for loyalty incentives that strategically increases the reward for customers who continue to remain dormant over time. For example, offer an increasing number of loyalty points – 5 points for customers who haven’t purchased in a week, 10 points for customers who haven’t purchased in two etc. Don’t wait until customers have been inactive for too long, though, because the quicker you identify and engage a former customer the easier and cheaper it will be to get them back.
4. Add Urgency
Offer a high value incentive, but put a time limit on it. This offers two benefits: it gives your customers a reason to re-awaken immediately and it gives you a reason to reach out more than once to remind them that time is running out.
5. Target Loyalty Marketing Emails
Reach out to customers with targeted emails aimed at drawing them back to your site and reactivating their enthusiasm for your brand. Tailor your emails to create a personalized experience and alert them to unused loyalty points and the options they have for using them.