10 Strategies for Nurturing Customer Engagement in the New Year

As the New Year unfolds, many consumers are reevaluating their spending habits and tightening their belts in an effort to curb expenses. For eCommerce brands, this poses a challenge – how to keep customers engaged and maintain brand loyalty in the face of frugality. eCommerce brands might, however, also view it as an opportunity to build deeper and more meaningful relationships with customers through authentic brand communications.

During times of financial constraints, consumers are looking for more than just deals. They shop selectively, prioritizing overall experience over quick bargains. By actively engaging with them beyond the sales season, an eCommerce business can create connections, not just transactions.?

Customers are more likely to remain engaged with a brand that communicates openly and honestly, so perhaps it’s a chance to be open about any changes in pricing, policies, or product availability, or share behind-the-scenes glimpses of your business, introduce the faces behind the brand, and demonstrate a commitment to ethical practices and social responsibility.?

In this article, we explore 10 effective strategies to not only retain your existing customer base but also foster long-term relationships, ensuring that your brand thrives even during times of financial restraint.

Focus on an Amazing Returns Process

You've sold a lot of products, and it stands to reason some will be returned. According to a report from the National Retail Federation and Appriss, retailers saw an average return rate of 14.5% of all retail sales (17.5% for online sales). While this is certainly sobering data, how you manage those returns can have a lasting impact on your brand, your customer experience, and your lifetime sales values. Treat this as an opportunity for your customers to have an amazing experience that reinforces the value of your brand so that they will return - not just at the next holiday season. For more about returns programs, see our recent article “Can a better ecommerce customer journey / product customization reduce volume of returns?”

Get Very Clear on Your Core Customers and Products

What drives your business? Which products, which customers, which channels? Long tail can be important, but during the leaner months, it will be your core offerings that drive the majority of your business.

Understand the Customer Mindset

Recognize that consumers are likely to be more discerning and value-conscious after the Holidays, so empathy is key. Acknowledge the economic challenges and position your brand as a partner in helping your customers make wise and budget-friendly choices. Tailor your messaging to resonate with their concerns and offer solutions that align with their financial goals. Shift your content marketing strategy to focus on providing value to your audience. Create informative blog posts, how-to guides, or video tutorials that help customers maximize the use of your products. Position your brand as an authority in your industry and a source of valuable information, creating a deeper connection with your audience beyond just transactional interactions.

Personalize Your Communications

Use customer data and analytics to segment your audience and create personalized communication strategies. Understanding customer preferences and past purchasing patterns allows for targeted promotions and personalized offerings, turning off-peak times into opportunities for strategic engagement and sales. Send targeted emails, or app notifications with relevant product recommendations, exclusive offers, or personalized discounts based on their preferences and purchase history. Personalization not only captures attention but also enhances the overall customer experience, fostering a sense of connection with your brand.

Ask Customers for Reviews of Purchases and Shopping Experience

Requesting reviews encourages customer engagement. It fosters a sense of community and loyalty and shows that you value their opinions. Reviews can provide valuable feedback on your customer’s experience and help you understand what aspects of the customer journey are working well and what areas may need improvement. Positive reviews, in particular, can also have a beneficial impact on search engine optimization (SEO) and build trust among both existing and potential customers. A higher number of positive reviews can give your business a competitive edge - in a crowded market, positive customer feedback helps set a brand apart from its competitors.

Loyalty Programs and Rewards

Implement or enhance your loyalty program to incentivize repeat purchases. Offer exclusive discounts, early access to sales, or special promotions for loyal customers. Customers are more likely to stick with brands that provide tangible benefits and acknowledge their loyalty, especially when they're trying not to spend. Consider tiered loyalty programs that encourage customers to climb levels, unlocking more significant rewards as they engage more with your brand. If you already have a rewards program, consider providing an annual summary or some interesting data about your rewards program, such as “Our rewards customers saved over $30,000 last year!” or “These were the top products purchased by our loyal customers.” This kind of information lends validity and credibility to your program.

Build a Seamless and Personalized Customer Experience

A seamless, personalized and user-friendly online shopping experience is your best sales opportunity at any time of the year and is an oft-neglected area of any business. A frustrating user experience can drive customers away, especially during periods of financial constraint when every aspect of the purchasing journey matters. Prioritize building your systems to support your customers at each stage of the customer journey with seamless and personalized approaches. From enquiries about your products, purchasing your products, tracking and receiving your order, providing reviews, processing returns, reaching out to customer service. Tools include automated chat / live chat, personalized promotions, seamless purchasing with a variety of payment options, an intuitive and encouraging reviews interface, an easy returns process, and customer service with full insight into the customer they are speaking with..?

Social Media Engagement

Leverage social media platforms to engage with your audience on a personal level. Encourage user-generated content by running contests or campaigns that involve your customers. Share user testimonials and success stories, showcasing the positive experiences others have had with your products. Social media can be a powerful tool for building a community around your brand and creating a sense of belonging, even when physical distancing is prevalent. Establish forums, social media groups, or other online spaces where your customers can connect with each other. Encourage discussions, share exclusive content, and actively participate in the community. A strong brand community fosters a sense of belonging, turning one-time buyers into long-term advocates for your brand. If you can't do it all (most can't and most shouldn't), pick the channel where you find your customers are the most and focus focus focus.

Flexible Payment Options

In times of financial uncertainty, offering flexible payment options can be a game-changer. Implement installment plans, buy now, pay later (BNPL) options, or subscription-based models that allow customers to spread the cost of their purchases. This flexibility can make your products more accessible and appealing, particularly to customers who are watching their budgets closely.

Continuous Innovation

Stay ahead of the curve by continuously innovating and adapting to changing consumer needs. Keep an eye on industry trends, technological advancements, and customer feedback. Introduce new products or features that align with evolving preferences and showcase your commitment to staying relevant in the market. Innovation not only attracts new customers but also keeps existing ones excited about what your brand has to offer.

While this is not an exhaustive list of what you can do to maintain and improve your off-peak customer experience and sales, focus in these areas will help insulate you from the slower months, and will also provide a substantial foundation for an even better holiday season next year!

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