September 08, 2024

Target Specific Reactivation Customers

Not all reactivation customers are created equally.

This week, we'll look at 18 month 1x reactivation customers ... they bought for the first time eighteen months ago and then just went dormant. This is the typical scenario ... by this point maybe 30% of the first-time buyers purchased again, while the other 70% are getting less and less like to buy again by the day.

Yes, you need to do something here.

No, you don't need to figure out the following.



Let's look at annual repurchase rates for this audience, segmented by initial average order value and initial items purchased in the first order. Tell me what you observe.



This segment of customers is not likely to purchase/reactivate in the next year, with only 5.16% of the segment doing so. This segment of customers is pretty close to dormant.

But some customers are less dormant than other ones.

Notice that customers who bought one item are less likely to reactivate ... about 4.03% reactivate vs. 6.04% of customers buying two items, vs. 7.64% of customers buying three items, vs. 8.45% of customers buying 4+ items in a first order.

Would you rather try to reactivate a customer with an 8.45% chance of reactivating, or a customer with a 4.03% chance of reactivating?

This is a pretty simple cross-tab ... one every one of you should be able to create from your customer data in about thirty seconds. Go run it today, tell me what you learn, ok?






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