CLV is a Customer's Lifetime Value. It's how much they make you in the time that they stay a customer. Focusing on CLV means you keep them longer and have a higher ROI.
Many business platforms are set up to allow an automated response for a purchase. To maximize the buying experience for the customer, this should be the beginning of a nurturing conversation...not the end. It’s a perfect opportunity to start building a relationship that will lead to more sales and a loyal long-term customer.
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I was recently working with a business manager who hated getting emails. He was the techie type and a very straight-forward type of buyer.
“I get tons of emails every day. Just send me the receipt and let me get on with work. I hate getting a series of emails,” he told me.
“I have a question for you. Who are you selling to?”
“You know that,” he grumbled and sighed. “Mostly women salon owners looking for supplies.”
“It’s been my experience women buy differently from men. We know they think differently.”
He laughed. “That’s an understatement.”
“How quickly do they tend to go through their supplies?”
He paused, thinking about the answer. “Some customers buy almost monthly, others it might be three to six months.”
“Okay, why don’t we do a split test and see whether a single email or a series results in more orders or sales over the next six months?”
He nodded. Analytics made sense to him.
We targeted new customers. When we reviewed the analytics six months later, he was surprised at the higher level of sales from the group that received the series of emails. It is always easier to keep a customer than find a new one.
It’s been my experience that caring for customers pays off with a much higher and longer-term customer lifetime value. I saw it in my clinical service practice. In consulting and coaching clients on products and services they could benefit from. The experience has been repeated in over 20 years of e-commerce. They aren’t just a list of customers...they’re an online family.
As a business owner who had to deal with purchasing from the other side of the table, those same qualities impacted my decisions. My buying and customer support experiences had me leaving or staying with suppliers for years.
People like easy. When we find a business that we like, trust, and feel they respect us, we stay with them. Every positive experience with that business reinforces those feelings.
To maximize your results you will need to split your audience. First-time buyers need more nurturing. Repeat buyers like to hear from you but need a different type of nurturing and information.
Give each segment its own thankyou sequence.
The initial buying experience sets the tone with new customers. They are hungry for information. Since most businesses don’t do a sequence...just a receipt, you set your business apart. You give more value. Give it without expectations, (they can sense the difference) and it’s cash in the bank. Keep each email SHORT! You know they, like you, have full inboxes. Keep your emails brief and useful.
The receipt email should be warm, friendly, and personalized. Thank them for their order and share key information. New buyers all have similar questions. How quickly will it ship? When can I expect delivery?
Include links to articles or blogs on your website to bring them back again. You don’t want them to forget where they purchased.
Suggest they white list you so they make sure not to miss the free bonus guide and additional information you’ll be sending.
Some businesses start throwing discounts to buyers. At this point, they would rather have information. Share a free bonus guide or graphic. Answer questions they may not have thought of yet. Maybe use your FAQ sheet and share them as bullet points.
If your product or service is complex, you may have a lot of questions that people ask, split the information into a couple of emails.
This email can go out one or two days following the thank you email
Everyone likes to get the most out of a purchase. If there are tricks to having a maximum benefit, share them.
If your product has a “how to use” protocol, it’s great to get this into the hands of the customer on or before the arrival of their order. This maintains the excitement and lets them know you are really trying to help them.
This email can also help them have realistic expectations with and for the product. Weight management doesn’t happen overnight. Supplements take time to have their impact.
In 2020, with major ordering online, I realized a lot of vendors don’t include much information or an adequate instruction manual. You end up having to go back online and Google how to use it. That’s a pretty mediocre buyer’s experience.
Give them the information they need and more. Over-deliver value.
Once their package has arrived, it’s valuable to followup with the buyer. Ask if they have any questions. Let them know how to reach you to get those questions answered. A rapid response email or phone number where there is a live person, please. You’re trying to bond with them...not drive them away.
Some businesses like to combine this with the follow-up. Give them a week or so to use the product before letting them know you’d love to hear their experience.
Other customers may make their buying decision on these testimonials. It’s more helpful if the buyer has actually used the item.
Make it easy for them by providing a link where they can post. Let them know you appreciate their time doing so. Perhaps a bonus of a small discount or free shipping on their next order by a specific date.
Heightened Customer Lifetime Value makes a huge difference in the bottom line of your profit and loss. It’s a marketing game-changer. Once done, the sequence can work for you for months or years. That’s a high return on the investment. If you’re just sending an automated receipt, you’re leaving money on the table, and customers who don’t know if you care about them. www.jcpwellnesscopy.com . Let’s problem-solve.