Optimizing Customer Lifetime Value
Typically, the moment a visitor notices your brand, they begin walking through a customer lifecycle that will last for as long as you can keep them engaged. Depending on the range of goods and services you offer, this life cycle can be from infancy to beyond retirement.
Worth Every Penny...
Depending on which metrics you follow and which industry you are in, the cost of acquiring a new customer can be between 5x and 25x more expensive than reengaging with an existing customer.
Customer acquisition costs can be extremely high if your company engages in broad markets. The time and human resources spent figuring out where to gather leads can often outpace the cost of delivering your advertisement to these potential customers. Even then, you'll spend more effort refining your message and your targets.
As the leader of a small startup, trust me... driving new customers to a social site is the most challenging part of my days.
Companies, with any decent user base, prefer to focus resources on customer loyalty programs, and #remarketing #analytics and efforts. The idea is that if once a customer has given you permission to communicate with them, you can switch to an inexpensive method of communication like email or #social media, and continuously convince them to purchase your goods.
This is an excellent first step to optimizing your #CLV, but what do you do about missed opportunities, unintended consumers, & bad timing?
Window Shopping by the Numbers...
Did you know that most e-commerce sites only sell about 30% of all the items that get put in a person's shopping cart? The other 70% is never or rarely purchased. Over half of those are because the visitor wasn't really ready to make a purchase. They were window shopping, and wreaking havoc on your site analytics. Now you have to scramble to rework your cart UI and spend more money trying to figure out how to capture those "missed opportunities."
It will mostly be a waste of time. Think about it for a moment. You are trying to hard sell a window shopper... online.
Smart retailers know this is just not the right time. They track these #cartabandonmentmoments carefully and retarget these site visitors with display adds and sometimes emails. The really savvy retailers even build a gift #registry where the window shoppers can create a login and come back later to finish checking out.
Each of these measures is an incremental yet powerful step toward #optimizing CLV. If you can stay top-of-mind for these customers you can often, in time, draw them back to your site and convince them to trigger that #conversion.
Remarketing is a much more targeted allocation of time and resources. If there was interest once, there is a high likely hood of further interest. However, there is still a way to further optimize your efforts, reduce your spend, and the risk that yet another login and password to remember will push the benefit of your registry outside of your potential customer's range of perceived value.
All in One Place...
There's only one place online that allows people to store ALL of the things they've been wishing for and window shopping all year long. #Giftibly, knows who your potential customers are, what they want, and how you can help them get your products.
Giftibly is called the "unlimited wish list" because we've made a way for people to store all of their online wishes in one place.
The #GiftAssistant is an online tool that our members use to remember exactly what they wished for. In a few clicks, we've helped you generate a lead that you may have never known as a potential customer. More importantly, these wishes are now #searchable and #shareable. The friends and family members who would make purchases on behalf of your missed opportunity, know exactly what to get, thus bringing you a conversion that might have typically been priced out of range.
Giftibly encourages members to place themed wishes inside miniature themed registries, we call "gift baskets," and rate how much they would like to have each item. This allows us to collect multidimensional analytical data on our members' trends, window shopping habits, access to conversion capital, and conversion propensity.
The company makes this data available to our business partners and help them optimize customer reengagement in ways previously unheard of online. From targeted displays place directly in keyword optimized baskets, to native displays appearing in user-driven product searches, Giftibly makes remarketing and reengagement laser-precise to help companies fully optimize their customer lifetime value, while helping our members keep track and get easy access to the gifts they've always wanted.
The crazy part is, all we really wanted a way to help give better gifts. What we discovered is that working with online retailers, we can help people get the perfect gifts.
Thanks for reading & Happy Wishing!
-Alfred McNair, MBA