Orchestrating Reactivation Campaigns To Engage Churning Customers

Reactivation campaigns are all about reigniting a past connection with your churning customers.

Acquiring new customers can help replace any churn, but industry studies show that acquiring a new customer can be five to 25 times more costly than retaining an existing one.

Your existing customer database is a valuable resource that is both cost-effective and readily available, offering you the opportunity to achieve a significantly higher return on investment. To spark that initial interest again, customer data can transport you back in time and recreate the experiences that originally attracted them to your brand.

In this blog, you’ll discover how to construct a reactivation campaign with inspiring examples. So, let’s get started!

WHAT ARE REACTIVATION CAMPAIGNS?

Reactivation campaigns are like a series of thoughtful invitations to win back customers who have become inactive or disengaged. By understanding why these customers are drifting away, finding ways to pique their interest, and showcasing what they’re missing, reactivation campaigns aim to reignite the relationship.

HOW TO RUN A REACTIVATION CAMPAIGN

First, you need to unify and analyze your customer data using a CDP to get insights into which customers appear to be churning. Building on that foundation, you can target even more strategically using advanced RFM models and AI predictions. To visualize how to build a reactivation campaign for churning customers using marketing automation, here are three core steps.

1. CUSTOMER SEGMENTATION

We’ve previously explored how customer segmentation can help you place the right customers in the right campaign groups to tailor your marketing for each customer. But for this churn prevention campaign, you can segment using:

MANUAL SEGMENTATION

Analyze customer data manually to identify patterns and characteristics that define each segment. Often based on specific criteria such as demographics, buying behavior, or interests, without the use of automated tools.

RFM MODELS

Recency, Frequency, and Monetary (RFM) models enable you to easily see how your customers are divided based on their purchase behavior, e.g., inactive customers, customers at risk, and valuable churning customers. Pair this with automation, and you can create your automated reactivation journeys with these identified groups.

AI SEGMENTS

As an example, Mapp’s AI Assistant acts as a smart notification system that helps you identify the best audiences for smarter targeting, e.g. new high performing segment.

2. CRAFT YOUR REACTIVATION CAMPAIGN PROGRAM 

You’ve identified the customer segments you want to target, but now’s the time to earn their attention. Whether through email or SMS, the goal is to capture their attention and bring them back using your marketing automation software.

If your software incorporates a CDP, automation, analytics, and AI (like Mapp Marketing Cloud), it can easily fuel an AI Reactivation Program. This means predicting and proactively interacting with customers who are showing signs of fading interest. This automated approach not only saves time but also ensures that your efforts yield high results with minimal input.

Here’s how email reactivation campaigns can look in Mapp Cloud:

3. CREATE COMPELLING CONTENT

Your workflows only work with compelling content within your emails. Marketing automation is crucial here, as dynamic content blocks can be integrated into your emails or web banners. These automated blocks take data based on certain user activities (e.g., previously purchased) and populate the email with the relevant product information and incentive for a truly personalized experience.

Mapp Marketing Cloud offers an exciting ChatGPT integration that empowers you to enhance your messages for a more enjoyable user experience. Crafting a captivating subject line or using the perfect message content can truly transform your campaign. That’s why AI suggestions are here to save you time and amplify the impact of your marketing activities.

This article was first published by Mapp. Permission to use has been granted by the publisher.