Measure Your Customer Lifetime Value and Then Increase It!
One of the most important marketing challenges in any organization is to truly understand the total lifetime value of your user. You are not just looking at a one-time sale (for an ecommerce site) or the total value of a subscription (for SaaS or continuity programs), but also the value of future sales from that userupsells. Its also important to understand how valuable your customer base is to other companies or products. Cross promotions or joint ventures can ultimately help increase total lifetime customer value. You can measure these to get a sense of how your various channels were performing. Once this metric is determined, dont let your marketing efforts cease unleash the retargeting beast and increase the customer lifetime value piece!
To increase customer lifetime value, the goal is to make sure that you increase the length of time a customer buys from you, increase the amount they spend on each purchase, and decrease the time between purchases. Reports show that ReTargeter campaigns bring back traffic to your site and these returning customers have a higher dollar value in their shopping carts. When customers initially abandon carts, we are able to reach them because we know the following important things about them:
- The products they are interested in
- They have a need
- They are ready to purchase
With retargeting, a customer is never truly lost after they leave your site. Here is why:
- Customers may not have been ready at the time to make that large purchase but ReTargeter helped educate them and keep the brand top-of-mindallowing them to realize its value
- Customers may have been shopping around on other sites but ReTargeter helped bring them back to your site
The moral of the story (that even Aesop could agree on): RT helps in acquisition, increasing value and extending lifetime customer values!