BUILDING UP CUSTOMER RELATIONSHIPS
As marketers, we are surrounded by data. From in-house customer information to third-party data that rounds out customers’ demographic and behavioral profiles, we have more data at our fingertips than ever. According to InvestPro, brands that use data-driven marketing deliver between 5x and 8x return on their marketing spend.
How do you become one of them (if you aren’t already)? You may be personalizing your direct mail and email with people’s names, tailored offers, and even customized images and text, but not getting those kinds of numbers. What’s the secret? Think long-term.
Marketers are often focused on immediate results. Indeed, knowing the ROI on that direct mailing, email campaign, or in-house event is important. However, marketers who get outstanding results take a longer-term view. They know that keeping and building relationships with customers yields higher profits over time than quick-hit campaigns.
To get the kinds of numbers reported by InvestPro, don’t market to demographics. Market to people
Say your data shows that a high percentage of your customers are stay-at-home or work-from-home parents with school-aged children. To get them to make a purchase, you could offer them a 10% discount on relevant products such as school clothing or school supplies. However, that just reinforces a transactional relationship based on having the right discount at the right time. Instead, step back and think about what that data tells you in terms of their priorities and needs. Then act on what you learn.
For example, with so many school children learning virtually right now, how do parents keep their students focused on their schoolwork instead of the dog running through the kitchen? How do they balance their work and home responsibilities when they are constantly having to stop and help with assignments? Craft messaging that shows that you understand. Present your home décor products as a way to create in-home study spaces that keep kids focused or your at-home meal preparation kits as a way to help parents cook healthy meals faster so they have less to juggle.
Salesforce has found that 70% of buyers say that a company’s understanding of their personal needs influences their loyalty. So use your data, not to match products to buyers, but to understand your buyers instead. Use what you learn to communicate that you genuinely care about their struggles and that you’re there to help. Once buyers feel that you “get” them, your relationship will move from transactional to engaged—and your ROI will soar.
