We all talk about putting our customer first. But, when it comes to measuring performance, we act more like customer-later.
Most digital marketing KPIs are focused on campaign performance. In email, opens, clicks and conversion are the default metrics... and each represents a fleeting moment or session -- a point in time. This campaign-centric approach is in conflict with our self-professed customer obsession and makes it hard to really commit to creating a better customer experience and deepening the customer relationship. At times, it seems like customer value is ‘that which must not be measured’ a secret that we dare not utter.
Well, it is time to let the customer value secret out.
The Customer Lifecycle Benchmark assists brands in getting to know their customers and observe how their customer relationships measure up. The Benchmark considers the shopping activity of more than 600 million shoppers to share the true story of customer engagement and customer value.
The Benchmark is teeming with the most important measurements that you oughta know in order to know your customer, grow your customer, deepen your customer relationship with relevance. Here’s a quick look at the Benchmark findings:
Brands achieved massive digital growth of 43%, driven by a 38% spike in active customers in Q4 year-over-year.
Your brand value is simply the sum of your customer relationships. The Benchmark quantifies these customer relationships by connecting customer activity and customer value. Taken together, the change in customer value multiplied by the increase in active customers creates brand growth.
[Growth of Number of Active Customer x Growth of Active Customer Value = Revenue Growth]
And notice: customer activity means more than just your engagement with buyers, but rather, includes those customers who are visiting your site and engaging with your owned marketing channels. Your ability to foster and grow customer relationships for non-buyers is critical in cultivating your next buyers.
Know Your Customer
Repeat-Visit Anonymous Shoppers represent 11% of your shoppers, though consume 33% of your product pageviews.
Across all of your shoppers, who’s loyal? Who’s lurking? Who’s likely to buy? The Customer Lifecycle Benchmark reveals that one of the most overlooked groups of shoppers — anonymous shoppers — represents one of the biggest opportunities. These next buyers are waiting to be recognized. Brands that leverage their digital footprints to create a personalized experience will get to know these anonymous shoppers.
Behavioral campaigns accounted for only 6% of email volume, but an astounding 37% of all revenue.
Yes, the Benchmark includes some of those aforementioned – and overly emphasized – campaign metrics. Why? Because the campaigns that are customer-centric far outpace those that are brand-centric. When marketers apply timing relevance, they take a step towards personalizing the experience. But shoppers have matured their digital savvy and expect brands to respond to the basic abandonment events and post-purchase greetings. Winning brands go beyond the basics to find more relevant moments of engagement, and disengagement.
The Customer Lifecycle Benchmark provides directional guidance to brands that assist in creating and sustaining customer relationships. Ready to get to know customer value? The secret is out. Get the Benchmark here.