Customer RetentionThrough Digital Media

Chris SietsemaTeach to Fish Digital

2

The Marketing Process

Attraction

Conversion

Retention

3

The Marketing Process

4

Ongoing Conversation

Here’s More Info

Come Back

Welcome

Purchase

You Might

Also Like7

Acquiring new customers can cost five times more than satisfying and retaining current customers.

58

A 2% increase in customer retention has the same effect on profits as cutting costs by 10%

1/509

The average company loses 10% of its customers each year

10%10

The customer profitability rate tends to increase over the life of a retained customer

$$$$11

Pushing & Pulling

PUSH

“Need?”

PromotionAdvertising

Sales

Active Engagement

PULL

Demand

SearchWord of MouthPublic Relations

High Visibility

14

Store & Organize Records

Tools & Processes

• Simple Lists & Fish Bowls• Contact Management• Customer Relationship

Management (CRM)• Sales Force Automation

(SFA)

16

Place Customer Records Here

Anatomy of an EmailFrom Name

Subject LinePre-Header

Body

Link Tracking

UnsubscribePhysical Address

Header

18

Using a Template

19

Using a Template

20

Using a Template

21

Using a Template

22

Deliverability

• CAN SPAM Clearly Defined

– Physical Address

– Unsubscribe Option

– No Deception

• Your From Name

• No Funny Subject Lines

23

SPAM Filters

– FREE!– Eliminate Debt– Satisfaction Guaranteed– Cash Bonus– Information You

Requested– Meet Singles– Join Millions– While Supplies Last

For Every Client, A Filter

• Top Email Clients in 2009

25

Reasons People Opt Out

• No Relevance

• Too Much from You

• Too Much from Everybody

– Source: Marketing Sherpa Survey

26

Email Malpractice

• Image-Based Email Messages

27

Email Malpractice

• Image-Based Email Messages

28

Email Malpractice

• Dead Images

29

If you cannot measure it,you cannot improve it.

- Lord Kelvin

Testing Procedures

• Split Your List

A B

31

Testing Procedures

• From Name• Subject Line• Content

– Headlines– Copy – Graphics

• Promotion• Layout

33

• Multivariate TestingSubject Line

Testing Procedures

From Line

Promotion

34

Promotion 1

From Line 1

Subject Line 1

Promotion 2

From Line 2

Subject Line 1

Promotion 2

From Line 1

Subject Line 2

Promotion 1

From Line 2

Subject Line 2

Testing Procedures

Lifecycle Marketing

36

Lifecycle Marketing• Short Series of Messages• Example:

1. Thanks & Welcome2. Features, Benefits, Case Studies,

News3. Strong Call to Action, Promotion

• Works Well for: Big Ticket Items– Motor Vehicles, Real Estate,

$ervices37

Lifecycle Marketing

• If This, Then That• Example:

– If Trial, Then Purchase– If Purchase, Then You Might Also Like– If Visit, Then Come Back– If Expire, Then Renew

• Works Well for: Ecommerce, Brick & Mortar, Subscriptions

38

Lifecycle Marketing

• Ongoing Provision of Value• Example:

– Here’s What Is New– Attend Our Event– Specials, Coupons, Promotions

• Works Well for: All Who Can Consistently Provide Value, Relevance

39

Measurement

• Delivery Rate – How Many Made It?

• Open Rate – How Many Were Opened?

• Click Rate – How Many Clicked In Total? – As a % of Opens?

• Unsubscribe Rate – How Many Opted Out

Click

Revenue

40

Measurement

Source: Epsilon.com

Industry Averages• Delivery Rate – 94%• Open Rate – 22%

– 24% for Consumer Products• Click Rate – 6%

– 7.5% for Consumer Products• Unsubscribe Rate – 27%

Mobile Basics

• Keywords & Shortcodes

• TEXT “WINNER” to 454545

43

Campaign Types

44

Norm the Gnome

Text NORMto 411247

45

Some Ground Rules

• Incorporate Into Customer Experience• Integrate with Other Programs/Systems• Provide Value Always• Give a Sense of Exclusivity• Respect Privacy• Measure

• Overall & Current Subscribers• Coupon Redemption• Peaks & Valleys

46

Social Media Objectives

48

List = Fan Base

49

Invitations

50

Eliciting Feedback

51

Shopping & Coupons

52

Listening

53

Viral

Viral is a thing that happens,not a thing that is.

List Segmentation

• Behavior, Personas, Interests

Never Purchased

Single Purchase

RepeatPurchase

RavingFans

56

List Segmentation

57

Integration

58

• Chris Sietsema– chris@teachtofishdigital.com– 480.389.5435

– Twitter: @sietsema– LinkedIn: http://linkedin.com/in/sietsema

Questions?

59

Slide-ography• “Come Back Soon” from Omar Omar on Flickr Creative Commons• Stats on Slides 8-11 from Leading on the Edge of Chaos, by Emmett C. Murphy and Mark A.

Murphy • “Cheers Boston 2005” from MECU on Flickr Creative Commons• “File Cabinets” from redjar on Flickr Creative Commons• “Yield Sign” from Eddie~S on Flickr Creative Commons• Top Email Clients Chart from Campaign Monitor• “Tyrrhenian Sea and Solstice Sky ” from Danilo Pivato, NASA Astronomy Image of the Day• “Measuring Tape Sphere” from Nick Sayers on Flickr Creative Commons• “Smoke on the Water” from Marcin Chylinski on Flickr Creative Commons

60