Remarketing campaigns can help you gain an extra edge from your PPC efforts. Don’t overlook customer retention in your overall marketing mix.
In our post, PPC and the Marketing Lifecycle, we discussed the role paid search plays in each phase of the marketing cycle from the discovery phase through conversion. But once you’ve acquired a customer, is there a role for paid search in customer retention?
After all, existing customers are extremely valuable. According to a recent study of small businesses by Manta and BIA/Kelsey, a repeat customer spends 67 percent more than a new customer.
Although retargeting campaigns are commonly used to acquire new customers, remarketing is also an effective way for digital marketers to increase customer retention and engagement. This type of campaign can be used to build awareness, strengthen customer loyalty, and create opportunities for upgrading customers to new products and services. With a bit of creativity, you can use a retargeting campaign to stay in front of customers and keep them coming back to your website.
Remarketing campaigns are similar to other forms of retention marketing, such as email, in which marketers use information they already know about their customers. This includes who they are, when and what they last purchased, and what the last interaction was, to retarget with relevant content or offers.
Using this information, you can retarget customers with advertising that promotes your thought-leadership, offers discounts for repeat or new purchases, or keeps your business top of mind during long sales cycles.
Here are four creative ideas for developing a remarketing campaign to help increase retention rates:
– The long sales cycle. For large products and services with a long sales cycle, staying top of mind is critical. Your expertise is a valuable asset that can help your clients evaluate problems and identify opportunities. But if they haven’t visited your blog or aren’t on the mailing list for your newsletter, they may not be aware of your recent thought-leadership content additions. By retargeting these customers with advertising that promotes the blog or newsletter, you reinforce your value proposition with ongoing impressions/visibility regardless of whether they click-through to the content itself.
– Special offers. Customers who haven’t made a purchase in a while can be enticed back to your website with discounts and coupons served exclusively to them via remarketing. For example, footwear retailers can retarget previous buyers by advertising a new line of summer shoes and offering 10% off the next purchase, as a way to thank them for being a customer.
– Upgrade and cross-sell. Businesses that launch new product or service lines can build awareness among existing customers by retargeting anyone who has visited the website but hasn’t yet seen new pages promoting additional offerings. For example, a heating and plumbing service provider that has added bathroom remodeling services could use a remarketing campaign to promote the new pages/services to existing clients.
– Loyalty Programs. Reward and VIP programs can turn your customers into sales people. By encouraging customers to purchase more or refer friends for discounts or points, businesses can give customers a reason to be loyal. For example, digital marketers can retarget any customers that have not submitted a referral with an offer to join the loyalty program.
The key concept here is that existing customers have already raised their hands and indicated an interest in your products and services. Because they already have an affinity for your brand, they’re easier to upsell and cross-sell and they’re more likely to refer a friend or family member, according to the survey by Manta and BIA/Kelsey. A retargeting campaign will ensure you’re top of mind when the time comes to buy or give a reference.