Best Practice: Improving Conversion Funnels Using First-Purchase Behavior
Here's a best practice-based methodology for marketing testing and optimization – made specifically for the retailer (with three more CRM strategies for success to download)
Today’s retail marketing teams must embrace testing and optimization best practices to beat the competition and remain successful. To do so, they must provide customers with a consistent personal experience among all marketing channels. Then, optimizing those CRM strategies by following Optimove’s best practice-based methodologies – and the rest will fall into place.
And it’s not as magical as it may sound. It’s the reality for many marketers.
Read on for one such best practice or download this document to access the four use cases that demonstrate how brands currently use Optimove to discover customer insights, test their hypotheses, and optimize their customer marketing campaigns.
The Best Practice: Using First-Purchase Behavior to Improve Conversion Funnels
In the fiercely competitive world of retail, retaining customers is getting harder and harder. As each retailer’s customer experience is unique, you must identify the first-purchase characteristics that differentiate your most potentially loyal customers from the rest to incentivize desired behaviors.
Using Optimove, a sportswear retailer discovered a direct correlation between the type/category of items purchased by customers during their first purchase and longevity, i.e., how long customers remain active customers of the brand. With this retailer, leggings were that powerful category:
In this case, the most pronounced correlation was among customers who bought leggings in their first purchase: these customers are 20.7% more likely to make a second purchase (35% vs. 29%), 16.7% more likely to make a third purchase (14% vs. 12%), and 20% more likely to make a fourth purchase (6% vs. 5%).
The retailer used this insight to encourage first-time customers to purchase leggings using all available channels, knowing that this purchase category would allow them to become the most loyal customers in the future.
How’d they done it?
- They promoted leggings in acquisition marketing efforts, such as web banners and PPC ads.
- Using Optimove’s Track & Trigger, they promoted leggings to anonymous website visitors via pop-up windows offering coupon codes, discounts, free shipping, etc.
- Using Optimail, Optimove’s native ESP, they promoted leggings to newsletter subscribers in the welcome email sent to them after sign-up.
For retailers, Optimove powers marketing strategies by providing you with direct access to unified data, including past, current, and predicted behaviors. By accessing this data, you can implement the smartest CRM campaigns that have been proven to work, at the right time to the right customer.
To learn how Optimove can specifically help your brand optimize marketing performance, contact us
Read part 1 here, a best practice-based methodology for marketing testing and optimization.
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