Serve Targeted Offers to Grow Loyalty

Overview

  • Primary/secondary KPI: Revenue
  • Page type: Homepage
  • Features used: Badging
  • Industry vertical: Outdoor apparel
  • Channel: Web

Illustration showing a banner promoting free shipping on a retailer's site

Retailer tests targeted custom offers to customers who made their first purchase in the last 6 months.

Strategy

Challenge

Every additional purchase that a customer makes strengthens their affinity with your brand and their likelihood of purchasing again. Encouraging customers to place orders continuously to build lifetime value (LTV) is difficult.

Solution

  • Target customers based on when they last placed their first order
  • Test customized offers, such as free delivery, with this segment and identify the best offer that encourages repeat purchases
  • Isolate offers from one other to avoid confusing overlap in campaigns

Outcome

  • Increase average revenue per customer by as much as 25%
  • Increase average orders per customer by as much as 25%