Repurchase Prompting Campaigns Return $2 per Email
Housh's Buyertrak campaigns achieve conversion rates as high as 49% while increasing customer lifetime value and loyalty.
Housh Inc., which owns discountfurnacefilters.com, homecomfortdepot.com and discounthumidifiers.com, has more than 12,000 SKUs across its three sites, and 80% of total revenue coming from new customers. Housh was sending batch emails to subscribers, with a manual, time consuming process, and no real conversion tracking. This approach left Housh little time to focus on what the business does best, fulfillment and customer service.
Housh partnered with Listrak to implement its Buyertrak Solution in an effort to reduce its reliance on new customers for 80% of its revenue. This solution provides automated, remarketing campaigns to existing customers to proactively prompt them to repurchase. With thousands of consumable products, Housh decided to implement the solution to accomplish a few goals: first to have closer contact with its customer base; second to automate its email marketing and move away from batch emails; third to provide personalized, relevant communications to increase the number of repeat purchasers, thereby eliminating the need to acquire so many new customers.
As a first step to the Buyertrak Solution, Listrak analyzed order history files from each site Housh owns to identify its consumable products and determine the appropriate repurchase timeframe. The campaign, which uses last purchase date to identify which customers should receive messages about which products, is a series of three emails deployed when a customer reaches the identified repurchase cadence. The first message is a reminder that it’s time to reorder a particular product; if the customer doesn’t purchase within three days a second message is sent with a free shipping offer. After five days, a “Last chance for free shipping” email is sent to the customer. The emails use dynamic content and merchandising to personalize and show products needing reordered, as well as a clear and easy way to purchase the product.
The solution has had immediate, significant impact to Housh’s revenue and number of repeat customers, enabling the company to focus on fulfillment and customer service, instead of new customer acquisition. All three messages in the series are returning significant conversion rates and revenue, the first, second and third messages are achieving 39%, 49%, and 33% conversion rates, respectively. The solution is returning $2 for every email sent. Not only is Housh realizing immediate impact to its bottom line revenue, it’s also increasing customer lifetime value and loyalty. Based on this success, Housh is continually adding products to the campaign, building customer segments, and testing various messages, cadence and offers to optimize performance and margins.
Listrak is an email marketing firm providing the solutions, software, and expertise to optimize the value of email. Listrak works with clients like Waterford, Wedgwood, Royal Doulton, Wolfgang Puck, and Movies Unlimited to develop engaging email marketing that goes beyond the inbox to the individual, to deliver the extra percent in effectiveness and ROI. Visit www.listrak.com to learn more.
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