Businesses all around the world are focused on getting new customers into their business net. In doing so, they forget the importance of retaining the existing customers. According to marketing gurus, customer retention is a cost effective and efficient way to sustain and grow your business.
Indeed, a study from Harvard Business Review estimates that retaining your existing clients can be cost effective up to 25 times more than to spend your resources on acquiring new ones. In practice of retaining consumers, reaching inactive customers and engaging them in your marketing campaigns is a vital maneuver. In this blog, we will discuss how direct mail can effectively be used to reach inactive customers.
IDENTIFY INACTIVE LOT: SEGMENTING CUSTOMERS ON THE LEVEL OF ENGAGEMENT
The first step in reaching inactive customers is to identify them. You can divide your entire consumer base into different groups based on their level of interaction with your business.
HIGHLY ACTIVE CUSTOMERS
This group of customer will be highly responsive to your direct mail marketing campaigns. They will also have a very regular purchase activity with your business.
This group will be slightly less active than the above group. However, they will still have an active interaction with your business in recent past.
PREVIOUSLY ACTIVE CUSTOMERS
This is the group of customers that were once your active clientele. But now they are less engaged or gone entirely inactive with your business. This is the group of customers you have to target to get them back to your business through direct mail.
USE UPDATED MAILING LISTS FOR CROSS REFERENCING
There are chances that those inactive customers have changed their addresses and moved to some other locality. You can cross reference them with the help of updated mailing lists. If addresses of inactive customers match with current lists, then you can greet them and remind them about your products and services through direct mail.
INCENTIVIZE THE INACTIVE CUSTOMERS
In many cases, customers become inactive because they feel that the business is not offering anything new to them. Therefore, it is necessary for any business to incentivize their inactive customers with discount and promotions that should be interesting enough to push them to get back to you.
This promotions and complimentary offers should address customer needs in order to get the desired response. Many customers’ part ways with your business because of the higher prices, offer them good discounts to gain their trust and their value back.
Hence, your direct mail should have discount offers.
ADD PERSONALIZED INFORMATION IN THE DIRECT MAIL
If you use targeted mailing lists for your direct mail marketing campaign, then you can use influence of personalization to reach your inactive customers. Mention the details of the products and services that they have used from your business. Targeted mailing lists can also provide you with some other valuable information about the customers that you can use to make your direct mail more personal and special.
Find out more about direct mail and the importance of mailing lists for respective marketing strategy.