The probability of selling to an existing customer is 60 percent to 70 percent, compared with the 5 percent to 20 percent chance of selling to a new customer, according to the White House Office of Consumer Affairs.
PPC advertising, display ads, affiliate marketing programs and other tactics that focus on new customer acquisition are variable costs that move lock-step with each acquired site visitor or new customer. Marketing to post-purchase customers and your existing customer base is far less expensive. For example, email and online offers on the order tracking page have a near $0 variable cost.
These tactics also increase customer lifetime value (CLTV), which nearly all retailers agree is good for business. With that in mind, we recently shared important marketing tips on how to engage post-purchase customers to drive higher sales and CLTV.
In an article recently published in TotalRetail, the CEO of Pulse Commerce broaches this topic in detail. Manish Chowdhary’s posting, “Online Retailers’ New Best Prospect? The Post-Purchase Customer”, details 7 strategies and tactics to proactively market to post-purchase customers as if they were prospects. These include initiatives that increase engagement, customer satisfaction, and marketing ROI.