Money can’t buy one of the most important things that you need to promote your business – Relationships. Powerful relationships don’t just happen from one-time meetings. It happens when it is planned suitably to make those connections grow and work for you. Transaction value is the most common measurement of a customer relationship and advocacy from a customer is marketing bullion. Opportunities can be created to lock connections with new prospects in your customers’ network when the engagement with the customers deepens and relationship strengths.
For example, a medical device manufacturer knows that the value of the first purchase by a hospital is huge for him. But, data proves him that if the second buy is made between 30 days and 60 days after the first, the increase in lifetime value of that customer is momentous. Such early second-purchase clients are 50 percent expected to be a customer after a year. So, this medical device manufacturer ensures that the customer is happy with the product after the first buy. It is a lifecycle!
Suspect – when the hoped-for customer is only a gleam in your eye
Prospect – when there’s interest and preliminary interaction
New Customer – with that first purchase
Repeat Customer – as loyalty is built
Advocate – where marketer and customer dance on indefinitely
A vigorously energetic fuel is needed to feed this lifecycle analysis and marketing program from start to finish. It is called DATA. Mentioned below is a series of steps for directing this marketing lifecycle process:
Step 1: Data capture
At each stage of the customer lifecycle, acquire and organize precious customer data! Data capture should start from the beginning and should continue throughout the term’s prospects. Also, search online to collect information about the products or brands in your category. To categorize and guide a customer or potential customer into a particular phase on the lifecycle gamut, glean new data at every successive step of the customer lifecycle.
Step 2: Data manipulation and analysis
Each organisation would follow its own financial reporting structure and tends to report on their customers in the same way. Customers don’t purchase or interact with your brand according to your reporting calendar; they do it as per their requirements. Therefore, it is important to organise your data according to their behaviour. Analyse the customer activities and create meaningful space to watch out later procures and communications.
Step 3: Triggers and metrics
A detailed analysis will determine the metrics and trigger the interactions that determine a continuing customer engagement and sequentially leads to higher customer value. Marketers need some analytical horsepower to force the data to talk-either on staff or brought in from the outside. Later, develop a strategy to take advantage of the insights that you have collected.
Step 4: Smart implementation
Efficient data management enables you to respond to your listeners based on their behaviour. You need to automate your process so that you can communicate with your customers at the precise moment in each stage of the lifecycle. Let the customer tell you their channel preference to improve engagement and increase loyalty. That way, you drive a savvy focus on the company’s best customers before spending money on other marketing programs.
Step 5: Lifecycle measurement and monitoring
Marketers love ROI. ROI can be improved by measuring “Return on Customer Engagement” through customer behaviour. As mentioned in the medical device manufacturer example, knowing the value of an interaction will allow you to focus your efforts wherever there are maximum returns. Identify and gather actionable information from each interaction with the customer just like your future with that customer depends on your talent to measure.