Jumpstart holiday communications with each customer segment by leveraging last year's data.
The film "Same Time, Next Year" chronicles a couple's 25-year romance. Each is married to another, but they meet at a secluded inn each year on the same weekend to relive memories of years past and to renew their passion.
Several years ago, when working with one of the top tax preparation services, I noticed a similar relationship. As with most tax services, this organization's one connection with its customers was during tax season. Its local outreach grew dramatically around tax time. We talked at length about the growing trend of individuals opting to file returns electronically. The business back then, and I'm sure it hasn't changed dramatically, was built on mass-market advertising. It served as a reminder to people with a need that they could visit a branch again to have a trained specialist handle their taxes.
Did it collect e-mail addresses? Yes. Did it collect the individuals' names, addresses, and the time they filed their tax returns? Yes. So instead of waiting around for a customer to determine if he should use the service next year, did it send an e-mail 30 days prior to the date the customer filed last year as a reminder it's here to serve him?
Why not? "Gee, we hadn't thought about that. Sounds like a lot of work." Instead, it hoped customers would return to the brand each year, disregarding the fact it has information about customers that can be used to retain them, year after year.
This comes to mind as we enter the most important retail season of the year. Researchers are already predicting another double-digit growth year for e-commerce; over 114 million users spending over $32 billion online. Yet user growth is up only 6 percent, according to JupiterResearch. That means a large percentage of folks who purchased last year will do so again this year.
Have you mined your customer database and built an e-mail strategy to remind your best customers you can once again fulfill all their holiday wishes? Have you thought of special promotions you can offer early, based on what they purchased last year, to entice them to return to your store ahead of the holiday rush? Do you know when they did their holiday shopping? Have you looked at shopping cart data and appended it to shopping visits to determine whether they're last-minute shoppers or early wrappers?
Or are you waiting and hoping for your best customers to once again (with no prompting or encouragement) figure out they can purchase everything at your store? It's a big gamble to do that, especially with all that data in your warehouse.
Every class of marketer is trying to benchmark e-mail campaign performance. Are there metrics that can be used to determine how well a campaign is doing against the competitive set or an industry-wide standard? Our metrics should be very focused on sales and profits. Take a snapshot of what your customers purchased in Q4 last year and (as this year's goal) beat it.
There are an incredible number of ways for you to strengthen relationships with your customers this holiday season. Here are just a couple of ideas to jumpstart communications with each customer segment by leveraging last year's data and the customer's e-mail address:
E-mail technology offers incredible opportunities to build the message streams listed here. It's your choice. You can decide (and it may be too late) to sit around hoping your customers will return and buy the same, if not more, from you this year. You can watch your competitor grab the goodies out of your stocking. Or, you can take the aggressive approach and put theory into practice. Get your e-mail messaging right now, and get the shopping season off to the right start.
Dare mighty things.
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Long recognized as one of the direct response industry's premier innovators and a pioneer in e-mail communications, Al DiGuido brings over 20 years of marketing, sales, management, and operations expertise to his role as CEO of full-service digital marketing company Zeta Interactive. Formerly Epsilon Interactive's CEO, DiGuido also served as CEO of Bigfoot Interactive, CEO of Expression Engines, EVP at Ziff Davis, and publisher of Computer Shopper, where he launched ComputerShopper.com, a groundbreaking direct-to-consumer e-commerce engine. Prior to Ziff Davis, he was VP/advertising director for Sports Inc. DiGuido also serves on the Direct Marketing Association's Ethics Policy Committee.
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This Magic Quadrant examines leading digital commerce platforms that enable organizations to build digital commerce sites. These commerce platforms facilitate purchasing transactions over the Web, and support the creation and continuing development of an online relationship with a consumer.
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