If you work in sales, marketing or both, your main concern should be bringing new customers in. You can expect this because new business is the engine that drives business growth. You may not be reactivating inactive customers. However, this could lead to you missing out on an enormous source of revenue. A 5% increase is enough to increase your profits by 95%. This is where customer reactivation campaigns are a big help. It can increase your profits up to 95% if you have a 5% increase in customer retention.
What Does Customer Reactivation Mean?
Customer reactivation has the goal of “waking up” or “winning back” customers who are not actively engaged. Marketers and sellers reach out to customers who are no longer interested but previously expressed interest but have disappeared for various reasons. Reactivation campaigns generally include special offers and custom messaging to bring back inactive customers. One of the many benefits of a customer activation campaign is:
Increased Revenues: Reactivation programs can help you to increase your bottom line by reselling or promoting to dormant customers. You can increase your revenue opportunities even more if the dormant customers have had positive experiences with you or your solution in the past. An important ROI for customer activation campaigns is the ability to attract new customers and keep existing customers.
Strengthen Your Client Relationships: Successful customer renewal campaigns can provide insights into customers’ thinking and feelings. This information can then be used to improve relationships with existing customers before they become inactive. Inactive customers may become dormant if they don’t hear from you after making purchases. You can use this information to help prevent future turnover and send targeted outreach to existing customers.
Gain Competitive Intelligence: Inactivity may indicate that a customer has left your company for a competitor. In this case, a campaign to reactivate customers can help you answer the key question of customer turnover: “Why?” The information you gather about your competitor (lower pricing or more support) will tell you a lot about your product and the position of your brand in the market.
Lower Customer Acquisition Spends: Retention of customers is cheaper than acquiring new customers. Customer loyalty requires fewer resources (both human and financial) than customer churn. It forces your sales team into new territory with prospects that are unknown to your company. Your sales team will be able to benefit from existing relationships by activating customers or subscribers (depending on the business model).
Regaining Inactive Customers
Best practices and strategies from https://www.b2bappointmentsetting.com/ to reactivate customers include:
Get Them Back – This is especially true if customers have had positive experiences in the past with your brand, and they only stopped engaging with your sales or marketing department. By simply saying “hello,” you can remind them why they were interested. It’s also a great opportunity to ask how would like to see them return. The information you gather can help strengthen your overall reactivation strategy. This will enable you to send the right message, or give the incentive that will win you back more of your customers. A simple reminder to inactive customers, “We miss you,” can help you re-engage.
Give A Special Discount –Customer preferences can be used to tailor promotional offers to customers based on previous interactions and purchases. Offering targeted offers to existing customers can help you upsell them. It is possible to re-engage customers who have been dormant since making their first purchase. This strategy works if the value proposition is communicated and explained how it benefits the customer. The time frame should be short to ensure that the re-engagement is more likely to succeed.
Make It Easy- Before asking dormant customers for their return, ensure you have systems and processes that facilitate reactivation. Reactivation may require customers to fill in an online form. This will reduce the number of required fields. One way to do this is to set up a special number, email address, and landing page for existing customers that connects them with a reactivation specialist. They can answer their questions faster than traditional contact channels and will often be able to help them. Maybe you send them an SMS with a link to start the process.