By analyzing the market and customer insights, IMP and a client implemented a strategy to increase customer retention in the last month of the year. As a result, this metric rose by 1.5% compared to Black Friday month.
1.Background
After hitting massive sales growth on Black Friday – the year’s biggest sales day, businesses should have the following plan to improve sales performance. In this case, companies can actively combat declining sales and enhance customer relationships in the upcoming festive season.
Going deeper into market research, we have reckoned that online traffic from online stores and e-commerce platforms tends to decrease after big sales days. For instance, the gap between Black Friday and Christmas. Additionally, this metric shows that the market’s sales volume suffers from the same situation. And it might significantly affect the annual sales report.
But with the strategy that IMP and our client implemented in December, the retention rate is higher than in the peak sales month (November). Let’s take a look at the details!
2. Implementation
Faced with the problem of declining sales, the first thing we focused on was stimulating and creating new customer needs.
This means that the promotion must be compelling enough to generate interest, the timing must be loose enough to encourage new demand, and the execution should combine with branding activities to highlight the product’s benefits and increase the brand’s value.
With that in mind, we created a campaign with the following details:
Thanks to the long-duration campaign, we had the opportunity to execute it to drive revenue and raise brand awareness. While SMS and advertising are two effective channels for boosting engagement, Email Marketing has become one of our primary channels for branding activities.
Email marketing, in particular, allowed us to deliver a detailed and comprehensive message. Instead of straightforward sales content, we sent various types of emails based on multiple purposes:
In this case, writing emails on a specific topic and offering promotions was a refreshing way to stimulate product demand and boost sales.
3. Result
Although the sales barely come close to the growth of Black Friday, we successfully boosted the customer retention rate, which is higher than the previous month. The detailed results are as follows:
There is always a decline in sales after any big sales day. But that does not mean there is no recovery solution. As long as businesses can plan a marketing campaign that matches consumer purchasing behavior, more than 60% of the problem is gone.
4. Conclusion
In conclusion, understanding metrics and customer insights is a powerful tool for planning a marketing strategy. If you cannot leverage your data source for the current campaign, contact IMP now for a detailed consultant.
