It is common for customer acquisition to cost more than a customer spends on their first order. Often it can take 2 to 3 purchases to see a return on investment. Therefore, it’s vital to ensure repeat purchases through utilising retention mechanics in your marketing efforts.
These mechanics refer to the strategies and techniques used to keep customers engaged and coming back for more.
The YUMBI app and website offers attractive retention mechanics to keep customers returning. This article explores how you can make the most of YUMBI’s fast-food delivery app/website to improve customer loyalty and drive repeat business.
1. Prompt a second purchase (Onboarding)
Did you know that only 27% of new customers typically place a second order? Moreover, of customers who place a second order, as many as 50% of them will order at least 3.43 times within 90 days. This means that triggering a second purchase can lead to 2 to 4 more orders from the same customer in 90 days. Considering these numbers, it stands to reason that marketing to customers after their first order (to encourage a second order) can significantly affect annual customer value.
Therefore, your marketing efforts should not stop after the first order but continue with initiatives specifically aimed at new customers to increase the likelihood of a second purchase. This will unlock exponential growth by successfully increasing the number of customers that place second orders.
To increase the likelihood of triggering a second purchase, consider the following:
- Send both an SMS (web customers) and push notification (app customers) to ensure you cover all bases.
- Include a voucher equal to roughly one-quarter of your average order value.
- Send the message within 1–2 weeks of their first order so they can still remember the ordering process.
- Send the message just before peak ordering hours (when customers are most hungry).
How YUMBI supports voucher distribution
YUMBI’s dynamic messaging campaigns, coupled with a sophisticated proprietary vouchering engine, can facilitate the marketing and redemption of triggered incentives.
2. Trigger habitual behaviour (High-touch engagement)
Humans are creatures of habit. We all follow a pattern of behaviour in some way every day. These patterns are often determined by external forces that find their way into our existing routines and reshape them. In the same way, you can create a habit of repeatedly ordering among your customer base.
Identifying existing behavioural patterns among customers who regularly order without prompts is an important first step. Once you have a picture of your ideal customer, you can design trigger-based messaging campaigns that encourage new and existing customers to behave in the same way.
For example, an ideal customer may routinely order every week. To encourage the same behaviour in new and existing customers, we send a message precisely one week after their last purchase promoting a product they had in that previous order.
- Customer orders a Flame Grilled XL on a Friday.
- Exactly one week passes.
- Customer is sent a message to order a Flame Grilled XL again.
Suggesting that a customer repeats the previous order presents a low barrier to a successful order. It is the minimum effort required and is an excellent way to form a desirable behavioural pattern. This type of communication also keeps customers engaged and helps to build a stronger relationship with them.
How YUMBI supports high-touch engagement
Customer purchasing behaviour is available via the YUMBI dashboard. Speak to your YUMBI contact about customer analytics to gain insights into how often and when regular customers place an order.
3. Effective Email Campaigns
Email marketing is an effective way to retain customers by keeping them engaged with your business and its offerings. Regularly sending relevant and valuable content to your subscribers can build a strong relationship with them and keep them interested in your product offering. Email marketing can also be used to inform customers of special promotions, new products or services, and upcoming events. Additionally, email marketing allows you to segment your customer base and tailor your messaging to different groups, which can help increase the relevance and effectiveness of your campaigns. Overall, email marketing is a cost-effective and efficient way to retain and keep customers engaged with your business.
There are effectively three types of email to consider using:
- Lifecycle: Emails triggered when a user acts or fails to take action and encourages them to complete the next step in a customer journey.
- Once-off: Often themed around a specific campaign, these emails most often feature a compelling promotion or proposition.
- Automated and transactional: Emails used for receipts, customer support updates, password recovery, and similar.
How YUMBI supports email
The technology that powers YUMBI-built apps and websites support integration with many email platforms. In this way, all three types of email – lifecycle, once-off, and transactional – are effectively supported.
4. Customer Service
You can use YUMBI’s app/website to provide exceptional customer service by responding quickly to customer inquiries and feedback, resolving any issues promptly, and going above and beyond to ensure that customers are happy with their experience. This type of customer service improves customer loyalty and encourages customers to leave positive reviews and recommend the service to their friends and family.
In conclusion, retention mechanics are a crucial aspect of any business. Using techniques such as onboarding, high-touch engagement, email and exceptional customer service through the YUMBI app/website can help improve customer loyalty and drive repeat business. This can lead to increased revenue and customer satisfaction.
Not yet on the YUMBI app/website? Contact us at sales@yumbi.com.
