Peeling Away the CRM Layers
To truly gain an understanding of your customers and to talk to them on a much more personal level, you need to ask the right questions of your data. Like an onion, once you peel away the first layer, there are many other layers or deeper questions to be asked. Let’s look at few examples and attempt to peel away our CRM onion without shedding any tears:
What are our top performing customer acquisition journeys?
When asking this, we care about more than just contact acquisition. We need to understand the sources and tactics that lead to multi-purchase, revenue generating customers.
Layers of insight – Acquisition Analysis by Source:
- What sources result in acquiring customers with a higher LTV?
- How long does it take between initial signup and a first purchase?
- What messaging resonates with newly acquired customers?
- Audience Analysis –
- What brands, categories and products are they purchasing by acquisition source?
- How engaged is the audience?
- What is the percentage of one-time buyers vs. multi-purchasers?
- Where are they located geographically?
Several actionable insights can come from this analysis: Your marketing acquisition budget could be adjusted to generate a better return on overall customer value; adjustments could be made on the time between touches during the acquisition journey; and acquisition strategies and messaging tactics could be adjusted based on identified audience interests and purchase patterns.
How do we identify our best customers? How do we migrate new customers to become
Segmenting our customers by spend and understanding the customer journey of our best customers can help to determine strategies to move other similar customers along in their own customer journey.
Layers of insight – Customer Decile Analysis:
- How are our customers segmented based on revenue and who are our top decile, best customers?
- Top Decile Audience Analysis:
- Who are our one-time vs. repeat buyers?
- What brands, categories and products are our top customers purchasing?
- Where were these customers acquired?
- What did a typical customer journey look like?
- Are there patterns in their orders over time?
A client who recently performed this analysis was able to find patterns in what categories and products led to their best customers. Using those insights, they created unique campaigns for both their best performing customers and identified lower decile customers that buy specific products to encourage additional purchases based on their potential value. This analysis lead to identifying several other unique audiences that could be targeted with specific messaging based on their shared interests.
What products lead to a first-time purchase? Of those products, which lead to multi-purchasers or our best customers?
Understanding the initial categories, brands and products purchased that lead to repeat revenue- generating customers can help inform acquisition tactics and early customer journey strategies.
Layers of insight – Gateway Product Analysis:
- What are the categories, brands and products popular as a first purchase?
- What are the differences in those products between new customers vs. multi-purchase customers vs. top decile best customers?
- Of those categories and products, which lead to a higher lifetime value customer?
- Can you identify patterns in specific high-value segments of customers where the customer journey begins with a specific category, brand or product?
Using these insights, you could promote gateway items that produce a high LTV in welcome series and early customer journey campaigns. You may find that there are specific items that have a pattern of many one-time purchasers, but do not lead to quality multi-purchase customers. This data could influence your acquisition messaging and spend.
What questions do you want to ask of your customer data?
These are just a few examples of the types of insights available when your data is stored in a centralized location. There are many more high-level questions that could be asked and deeper layers to be explored. It’s all about knowing your customers and answering your questions with data… then making that data actionable with truly targeted, relevant and personal messages that your customers want to see and hear! Warning - Bad CRM Dad joke incoming:
Your Customers WHO?
Exactly! With Listrak CRM, you will know your customers!