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Loyalty Programs: What is the Return on Investment (ROI)?

Here's how to calculate the return on investment of your loyalty program. Calculate the expected ROI of your loyalty program, or your past ROI.

Francesca Nicasio

Content Strategy Manager

Every business owner understands it’s easier to retain an existing customer than to acquire a new one. That’s why many merchants use loyalty programs to incentivize customers to come back and spend more with them. When done right, loyalty rewards, discounts, special early access, etc. can help to drive incremental revenue and maximize your customer lifetime value (CLV).

All that being said, it’s important to remember that loyalty or reward programs are long-term undertakings. Yes, they’re super beneficial to your company, but to reap those advantages, you need to periodically evaluate your loyalty program performance. Some consider loyalty programs to be money pits — and they can be if you don’t keep track of your loyalty program ROI.

So, let’s back up a bit: return on investment (ROI) is a financial metric that evaluates how profitable an investment is. To calculate the ROI, you need to divide the net profit by the cost of the investment, and express it as a percentage. The greater the ROI, the more profitable the investment.

To get a handle on your loyalty program’s success, you need to measure its ROI. The results will help you decide if your loyalty strategy is working or not. If it’s working, you can continue what you’re doing and double-down on your initiatives. On the flip side, you can rejuvenate poorly performing loyalty programs by optimizing offers, running referral programs, or getting customer feedback.

Listen to this post instead:

 


 

How do I calculate ROI for my loyalty program?

As with any business initiative, the success of a loyalty program can be measured by its ROI. The formula to calculate it is pretty straightforward.

Return on Investment = (Total Revenue - Total Cost of Running the Loyalty Program) / Total Cost

download free loyalty program roi calculator

Loyalty program ROI calculation: A real-life example


Here's an example from a merchant we have been working closely with. I'm not going to share their name, but I can share their anonymized results so you can see how we assess the impact of their loyalty program.

Real life example (1)

Challenges in measuring loyalty program ROI

The formula for calculating your loyalty program ROI is simple enough to understand. However, there are a few challenges that can make it more difficult to accurately measure your ROI.

Attributing revenue to the right sources

One of the biggest challenges lies in capturing key metrics and pulling the necessary data from various sources — such as your marketing, sales, finance, tech teams, etc. You need to make sure that you’re attributing your revenue gains to the right sources.

For example, your regular customers are your most valuable ones, with or without a rewards program. How can you be sure their value is attributed to your loyalty program?

It can also be tricky to figure out if a purchase was triggered by loyalty program benefits or if it’s just a customer’s normal buying behavior. You need to have the right tracking mechanisms in place to be able to accurately calculate a loyalty program’s ROI. 

Some of the ways to do this include using robust loyalty apps (like Marsello), discount codes, coupons, etc. to track customer behavior that can only be attributed to loyalty programs.

With Marsello, you can track the metrics like change in repeat purchase rate and increase in turnover from loyalty members, as we've done above. This will get you a much more accurate picture of your return.

It takes time to see results

Not only will you need considerable time to gather the data required to calculate the ROI, but it may also take time for your points programs to show results. Customers must first be aware of such programs, engage with them, and rack up enough points on their loyalty cards. It may take months (or more) for your loyalty program to start paying off, so you won’t know your true ROI right away. 

💡 Pro tip: Rather than committing to a 3 month trial across all your sites, commit to one site for at least 1 year (expanding to other sites if you see results earlier). Starting with fewer sites but allowing for a longer time period will give you a much better indication of the impact of the program for your business.

Metrics to consider when measuring the impact of your loyalty programs

Beyond the ROI calculation above, there are many ways you can measure the impact of loyalty programs. You can look at how they affect your revenue, customer base growth, and engagement, among other things.  

You could choose to measure success purely based on financial returns or through KPIs such as engagement rate, brand awareness, etc. Here are some of the data points you may need to track.

  • Transaction volume
  • Average order value
  • Total revenue
  • Cost of loyalty program memberships
  • Marketing cost
  • Purchase frequency of members and non-members

The key is to track these over time. Remember, it takes time to build loyalty, so running a successful rewards program is a marathon, not a sprint. 

And before you calculate the ROI of your loyalty program, make sure you’re clear about your business objectives. What are your specific goals? Do you want to increase revenue by a certain percentage? Reduce your marketing expenditure while boosting sales? Grow your repeat customer base?

This will be essential for setting targets for your loyalty program and understanding its impact on your bottom line.

download free loyalty program roi calculator

Direct ROI of loyalty programs

Direct loyalty program ROI can come in several forms, including:

Increased sales and revenue from repeat purchases

A loyalty program can significantly contribute to a business' goal of increasing revenue and profit. According to a 2023 report by Gitnux, the likelihood of selling to a new customer is less than 20%. Conversely, this probability rises to nearly 70% for an existing customer.

By enhancing customer satisfaction, fostering brand loyalty, attracting new customers, and gathering important customer data, your loyalty program can lead to tangible financial gains. You can also make informed decisions about product development and marketing strategies, further amplifying revenue.

Ultimately, loyalty programs serve as strategic tools for driving sales, revenue growth, and long-term profitability in any business endeavor.

Just ask Scotty’s Makeup & Beauty, which was looking for an email marketing solutions provider when it came across Marsello. Very quickly, the business realized the full potential of Marsello’s tools and decided to also set up loyalty programs. This resulted in Scotty’s Makeup & Beauty unlocking new audiences, increasing its customer engagement, and doubling its revenue.

scottys-makeup-and-beauty-discount

Reduced marketing costs through targeted promotions

Acquiring new customers through marketing efforts and sales outreach can be resource-intensive, consuming both time and funds. Customer acquisition costs pile up especially when leads opt for competitors.

Since loyalty programs help drive sales from existing customers, they enable your brand to mitigate the expenses linked with customer acquisition.You spend less to drive sales, which leads to a higher bottom line.

Indirect ROI of loyalty programs

Now that we’ve covered the direct ways to measure ROI, here’s a look at the indirect metrics that you may want to track.

Improved customer retention

When customers feel valued and content, they are more inclined to remain loyal and make repeat purchases. Implementing a loyalty program can significantly contribute to this effect.

For instance, imagine being a long-term participant in a supermarket’s loyalty program, accumulating rewards for discounts or free items. Such incentives foster loyalty, encouraging folks to continue supporting your brand despite alternative options.

Enhanced brand loyalty and customer satisfaction

Loyalty programs enhance customer appreciation by rewarding purchases with discounts or complimentary items, fostering a sense of value. Tailoring rewards based on individual preferences demonstrates care and enhances the shopping experience.

This helps to elevate customer satisfaction levels. Satisfied customers are more likely to return, which just goes to show the role of customer loyalty programs in enhancing overall satisfaction and fostering repeat business.

Positive word-of-mouth and referrals

Referral marketing, aka word-of-mouth marketing is a highly effective and sought-after strategy for customer acquisition. Recommendations from friends and family, along with good reviews on social media carry more weight than brand messages.

This is one of the most significant gains from loyalty programs — devoted customers become brand advocates, sharing their positive experiences and benefits received from your business. Through their advocacy, your company can gain new customers organically, without incurring any additional costs.

Data collection and insights for better business decisions

Understanding customers is crucial for business success. Rewards programs offer valuable insights into loyal customers, including their personal details and preferences. This enables businesses to enhance customer experiences and satisfaction by tailoring their services to meet individual preferences.

Bonus points if your loyalty program works across multiple channels. Going omnichannel with your loyalty efforts means you can collect data from all customer touchpoints, while providing a seamless experience no matter where or how they’re shopping.

Fashion label ALPHA60 was looking to improve its customer-first marketing efforts by providing all its customers with the same great experience. ALPHA60 brought in in-store and online sales data into Klaviyo, allowing the brand to display points balances, segment customers, and send personalized emails, no matter how customers shop.

Alpha60 earn options

By using Marsello for loyalty and marketing, ALPHA60 was able to attain a repeat purchase rate of 70%, wildly surpassing what is considered to be a good repeat purchase rate in the industry (between 20% and 40%).

Tools to track your metrics

Loyalty program solutions like Marsello give you a whole host of tools required to track metrics related to loyalty programs. 

The platform's built in marketing analytics capabilities can shed light on which channels and strategies yield the best results. Plus, you can track your loyalty program performance overtime, so you can improve both in the short- and long-term. 

Final words

Loyalty programs can offer substantial returns on investment for your business. The right program can enhance customer satisfaction, drive repeat purchases, and boost retention rates. It also provides valuable data and insights for informed decision-making and optimized marketing strategies. 

That’s why it’s so important to invest in the right solution AND track your return on that investment. Measuring your loyalty program ROI helps you improve, so you can continue to delight customers and keep them coming back.

Need help doing just that? Check out our ROI Calculator to see how your loyalty programs are performing or talk to an expert to discuss opportunities for revenue growth.

Frame 6 (4)download free loyalty program roi calculator


 

Get advice from a loyalty expert and start driving repeat sales.

Book a demo

 


 

Read more: 7 Steps To Building A Profitable Loyalty & Rewards Program

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    Marsello is officially a certified Shopify Plus App Partner

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    Marsello has been selected to join the Shopify Plus Certified App Partner Program. What does this new partnership mean for Marsello retailers?

    Woman using at IPad from behind a shop counter with purple and blue marsello brand colours bordering the image.

     

    The retail environment has changed rapidly in the last 18 months. The demand for responsive, powerful software has grown almost as rapidly as the eCommerce and retail industries themselves – and as a result, software providers also needed to evolve to ensure they meet the requirements of growing brands and enterprise retailers. 

     

    To meet the needs of these retailers, Shopify created Shopify Plus and its coveted Shopify Plus Certified App Partner program. Shopify Plus’ partner program is open to apps that are shoulder tapped because they have proven that they can meet the complex needs of larger retailers. To be specific, Shopify Plus Certified App Partners must offer retailers the highest “performance, security, privacy, and support” – in fact, of the 6000 or so apps on the Shopify Marketplace, only 60 are Shopify Plus certified. 


    We’re proud to announce that Marsello has been selected to join the Shopify Plus Certified App Partner Program and is the only certified marketing app that integrates both in-store and online whether a retailer uses Lightspeed POS, Shopify POS, or Window-based legacy software.

     

    Quicklinks:

    What sets Shopify Plus apart

     

    While Shopify has been a household name in the retail sphere for quite some time, Shopify Plus is home to the eCommerce and POS provider’s largest retailers. And it’s a non-negotiable that these enterprise-level businesses have confident access to apps that are proven to support their continued growth. 


    Shopify Plus provides high-growth retailers with solutions that help them develop and scale with confidence and ease. From (vastly) improved online traffic management and full eCommerce store customization capabilities, to multichannel integration, emphasis on user experience and site speed, and an approved app program (the Shopify Plus Certified App Program), Shopify Plus retailers are equipped with all the tools to see rapid and continued success.

     

     

    What is the Shopify Plus Certified Apps Program

     

    Shopify’s marketplace is bursting with apps that are all vying for retailers’ attention. While having plenty of options is a powerful position to be in, retailers don’t often have time to test all the available options and make a well-researched decision. This is especially true for big retailers who are beyond the stage of experimenting. As they cater to some of the biggest and best retailers, Shopify Plus needs to be able to provide these retailers with app recommendations that meet certain standards. This is where the Certified App Program comes into play.

    The Certified App Program essentially vets their best-performing Shopify partner apps within certain categories. We are proud to say Marsello has met Shopify Plus’ partnership requirements, offering Shopify Plus retailers the only true omnichannel marketing app.

     

     

    Marsello: the only retail marketing Shopify Plus App Partner that integrates in-store and online for retailers using Windows POS

     

    So what does Marsello offer Shopify Plus retailers? That’s easy! Marsello’s ability to integrate in-store and online means that Shopify Plus retailers can attribute each and every customer interaction to their marketing efforts, no matter where that interaction occurs.

    With last-touch attribution, industry-leading marketing tools (from email and SMS campaigns to loyalty marketing and automated flows), Marsello is built to help retailers big and small achieve great things with their marketing. In fact, Marsello retailers see an average of 98x return on investment!

     

     

    "The Shopify Plus Certified App program is designed to meet the advanced requirements of the world's fastest-growing brands," said Mark Bergen, VP Revenue. "We're happy to welcome Marsello to the program, bringing their insight and experience in Marketing Automation as well as Loyalty & Rewards to the Plus merchant community."

    How Marsello became a Shopify Plus certified partner

     

    Shopify Plus requires that any partner app that wishes to become certified must meet a baseline of the following requirements:

    • Support: 24/7 access to app partner support
    • Security and privacy: Trusted and secure information and data handling
    • Performance: Advanced app performance and integration standards.

    At the end of the day, Shopify Plus Certified App Partners must have a proven successful history of working with Shopify Plus retailers, while also ensuring the ability to continue this success with any other Shopify Plus merchants who may wish to use the app in the future. Marsello’s mission has always been to empower retailers to create stand-out marketing that supports their business at every step of the way, on every sales channel. Becoming a Shopify Plus Certified App Partner allows us to ensure we’re offering the highest quality product and experience while supporting all of our retailers to grow, scale, succeed and sell more!

     

     

    "The Shopify Plus Certified App program is designed to meet the advanced requirements of the world's fastest-growing brands," said Mark Bergen, VP Revenue. "Marsello's accreditation in becoming a Shopify Plus Certified App Partner is a testament to the hard work we've put into the partnership over the years. As the first New Zealand-based app to become a Shopify Plus partner, we are excited to play a part in helping omnichannel retailers scale their businesses." – Brent Spicer, CEO at Marsello

     

     

    Marsello x Shopify Plus retailers making the most of their marketing

     

    Let’s take a look at how some Shopify Plus retailers are already using Marsello to make the most of their marketing. 

     

     

    International swimwear sensation, Triangl, sees 5182x ROI with Marsello

    An email marketing campaign from Triangl overlaid on a photo of turquoise blue oceans.

     

     

    Triangl found international success selling a color-blocked neoprene bikini that took beaches worldwide by storm. From celebrity endorsements and rapid growth to scaling beyond eCommerce and staying ahead of the fast-paced fashion world, Triangl needs total confidence in any tool they add to their kit, and consistency in their email marketing is no different.

     

    "The increase in our results was also driven by improving our Welcome Email Series where the content seeks to build community, encourage user-generated content, showcase new arrivals, engage customers in upcoming releases, and get involved in our Travels via the Blog."

     

     

    Triangl’s focus on consistency and customer experience has helped them to curate a loyal following of customers that love to engage with their content. And by integrating their email marketing with both their eCommerce and brick-and-mortar stores, the stand-out swimwear brand are making the most of every customer interaction. In fact, Triangl aren’t just seeing results, they’re seeing remarkable growth – 5182x return on investment with Marsello to be exact.

    Learn how Triangl uses Marsello to power email marketing that compliments their brand and delights their customers.

     

     

    Cosmetics & Fragrance Direct’s omnichannel marketing creates a consistent customer experience

     

    Marsello-Loyalty-Cosmetics-and-fragrance-direct-banner

     

    Cosmetics & Fragrance Direct, an Australian beauty stockist, are experts in curating ‘flow’ between their in-store experience and online stores. Recognizable branding and consistent messaging go a long way in customer experience. Cosmetics & Fragrance Direct knows this and has been careful to ensure that the customer experience of transitioning from in-store to online to engaging with marketing efforts feels seamless, effortless, and recognizable. 

     

    With Marsello, they can rest easy knowing that every customer interaction is accurately tracked and organized within their marketing funnel thanks to last-touch attribution reporting and seamless omnichannel integrating with their Shopify Plus eCommerce site and their Lightspeed POS sites. The TL;DR? Cosmetics & Fragrance Direct knows that their marketing goes out to the right customer, with the right message, at the right time because they have ensured that their marketing integrates with all their sales channels. And with 17x ROI just from their one-off email marketing campaigns alone, the team behind Cosmetics & Fragrance direct also knows that their marketing efforts are reaping the benefits.

     

    Read about Cosmetics & Fragrance Direct’s omnichannel marketing success.

     

     

    Final words 

     

    Marsello’s approval as a Shopify Plus Certified App Partner cements our continued commitment to retailer growth and development, as well as our dedication to our partnership with Shopify Plus. We continue to push the envelope for what retailers can expect from their marketing applications and we’re excited for what this certification means for our work with current Marsello retailers as well as future users. 

     

    Retail marketing is a fast-growing, fast-paced environment and we thrive on challenging ourselves to continually provide a platform that meets retailers’ primary marketing needs while also going above and beyond with customer service, experience, product development, and integration possibilities. We excitedly welcome the future of true omnichannel retail.

    How to Implement SMS Marketing

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    SMS Marketing receives some of the highest engagement rates. Make the most of text message marketing within your marketing strategy with our top tips.

    Getting customers to pay attention to your brand is becoming more and more of an uphill battle.
    Email inboxes are overflowing. Social media is saturated. Even with the right messaging and the right tools, there is sometimes too much noise to be able to stand out.

    So, how can you make people actually see your marketing efforts?

    Enter SMS Marketing; the marketing channel that receives some of the highest open rates and engagement.

    In this post, we’ll be giving you an in-depth look at SMS marketing. You’ll learn what it is, why it works, and the best practices for developing an SMS marketing strategy that's cost-effective and boosts your bottom line.

    Let's get started.

     

    What is SMS marketing

    Short Message Service (SMS) marketing is a strategy where businesses use SMS messaging to send timely and relevant short-form content directly to a customer's mobile device. 

    The uses of SMS marketing span from informative (i.e. letting someone know that their order is ready for pick up) to promotional messages, like alerting customers to your latest special offer.

    SMS marketing can be used for an even broader variety of purposes, such as:

    • Abandoned cart notifications
    • Giving out discount codes or coupons
    • New products arriving in-store
    • Order/shipping confirmations
    • Loyalty or VIP programs
    • and many more.

    Because it allows for such direct and personalized brand communications, text message marketing is a fantastic tool for building customer loyalty and driving repeat purchases. It enables customers to be better informed about your brand’s activities, while also giving them the tools they need to take action quickly and effectively.

    SMS Marketing: The Numbers 

     

    "48.7 million consumers have willingly opted to receive SMS, while 58% say they
    would be happy to hear from their favorite brands multiple
    times per week."

     

    Text messaging is hardly a new innovation. Mobile phones with full keyboards have been around since the late nineties. So, why is SMS marketing receiving so much hype from marketers?

    Many brands worry that SMS marketing messages might come across as intrusive – but this view is not supported by consumer surveys. By the end of 2020, it’s estimated that 48.7 million consumers have willingly opted to receive SMS, while 58% say they would be happy to hear from their favorite brands multiple times per week.

    Why? The answer is simple; internet-capable devices have given us unprecedented connectivity with businesses and brands. This gradual shift towards mobile eCommerce is a clear sign of our increasing desire to shop on the go; 56.7% of shoppers are now going “mobile-first”, while only 6.7% primarily use desktop for online shopping. 

    56.7% of shoppers are now going "mobile-first", while only 6.7% primarily use desktop for online shopping. 

    "56.7% of shoppers are now going "mobile-first", while only 6.7% primarily use
    desktop for online shopping. "

     

    As we become more reliant on cell phones to help organize our lives, our responsiveness to these devices only grows. A whopping 90% of customers will open a text message within the first three minutes of receiving it. 

    With this in mind, let’s look at a few more reasons why your business should consider SMS marketing.

     

    Why businesses should engage in SMS marketing

     

    1. It’s conversational

    When consumers are interacting with a brand, they want to feel as though they’re talking to a real person. But it’s easy for many B2C communication tools, such as email or even live chat, to feel stilted and lacking in personality.

    SMS is a winning communication channel because it presents a much more intimate touchpoint with consumers. It’s fun, free-flowing, and puts us more in the mind of talking with a trusted friend rather than a business.

    It also makes us far more receptive; over half of Americans say that a text with a coupon code is more effective than a targeted digital ad!

     

    "Over half of Americans say that a text with a coupon code is more effective than
    a target digital ad!"

     

    2. It can be used to amplify your other marketing efforts

    The secret to a good marketing strategy isn’t down to the number of marketing tools you use; it’s about whether you can make them work together to reinforce brand messaging and reach a bigger audience. 

    With its high engagement and low time investment, mobile marketing can be used to drive customers to much larger pieces of content via links and CTAs, such as blog posts, podcasts, and videos on your social media channels. 

     

    3. It’s cost-effective

    We all know that marketing can get expensive, especially when you’re balancing a lot of different strategies at once. And as eCommerce grows more competitive, customer acquisition costs will only rise. 

    After a slight knock with the onset of the pandemic, digital ad costs are increasing once again – yet struggling more than ever to reach the right target audiences. 

    SMS marketing campaigns offer businesses a far more affordable alternative because the associated costs are low. Unlike other forms of content, you don’t need to invest in graphic designers or content writers to create messaging that resonates with your audience. 

     

    An iPhone screen with an SMS campaign offering 15% off on a customer's birthday.

     
     

    How to develop an SMS marketing strategy

    Ready to craft your SMS marketing strategy? Consider the following steps.

    Decide on your objectives

    First things first: What are you hoping to achieve through SMS marketing, and how are going to measure it? The latter part of this question is particularly important; if you don't know whether you've hit your goal, it's very difficult to track whether your expenditure was worth it.

    Let's look at a few sample objectives, and how you can measure them:

      • Brand awareness. Brand awareness is a less tangible entity that can feel difficult to pin down. However, there are several metrics, such as SMS open rates and referral traffic to your website, which provide a good picture of whether customers are searching out your content.

      • Growing your subscriber base. This is important when you're starting out with SMS marketing. Metrics such as your list's growth per month/quarter and your subscriber drop-off rate can be used to gauge whether your messaging is striking a chord with your audience.

      • Boosting sales. If you plan on using SMS to inform customers of your latest specials in-store, it's a good idea to insert a trackable link within your message that directs people to a specific landing or product page. This makes it easy to see whether your SMS has helped to boost conversions.

     

    Develop a system for customers to opt-in

    Building a contact list isn't just about gathering phone numbers; by law, to use SMS, you also need to get permission to contact customers this way. 

    According to the TCPA (Telephone Consumer Protection Act), it's unlawful to send consumers promotional messages unless they have given their number voluntarily and also given their consent to receive communications. You also need to give them a straightforward opt-out method.

    There are two main ways to allow customers to opt-in; by getting customers to text a specific keyword to a short code set up by your brand, or by adding a tick-box option when your customer is accessing gated content or going through online checkout (in the same manner as asking permission for email communications).

    Have a strategy to grow your contact list

    Your customers aren't going to sign up for your SMS marketing if they don't know it exists. If you're going to grow your SMS contact list effectively, you need to put effort into marketing this communications channel through your other media outlets.


    You can do this through the following methods:

    • In-store signage
    • Verbal communication
    • Email
    • Digital marketing (i.e. social media or influencer marketing)
    • A banner on your website
    • Flyers containing QR codes

    Find the right SMS marketing platform

    SMS marketing automation software that allows you to send bulk SMS messages, so it’s a good investment for both emerging and established retailers. For starters, it simply isn't workable to have staff members laboriously sending out text after text. You'll also gain valuable data insights that will help to refine your SMS strategy.

    So, what should you be looking for in SMS marketing software? Here’s a quick checklist:

    • Intuitive workflows that require little training time
    • Ability to schedule SMS by date/time
    • Ability to integrate with other marketing/eCommerce tools
    • Extensive data relating to open rates and CTR (if relevant)
    • Ability to scale as your activity grows

    Check out Marsello’s marketing platform, which allows you to run targeted SMS campaigns to drive customer engagement and sales. With Marsello, you can easily schedule messages and measure your results to continuously improve performance. 

    Marsello also integrates with leading POS systems and eCommerce solutions, so you can connect all your retail platforms and offer a seamless experience across multiple channels.

     

    Man in a white shirt scrolls on his cellphone

     

    Best practices for SMS marketing

    Let's take a quick look at some of the suggested best practices for SMS marketing.

    Know who your customers are

    Before you start sending any messages, you should build a picture of what's going to resonate with your subscriber list. Where is your audience located, and how will this affect what time you need to send messages? Which products are your best sellers, and most likely to produce the highest conversion rates from promotions? 

    As a retailer, you have a lot of data at your fingertips to help answer these questions, such as your sales history and Google Web Analytics. If you use a CRM, this is a fantastic way to track your customers' journeys and tailor SMS touchpoints to what is most informative at each stage.

     

    Keep your communications to the point

    A single SMS message can only contain a maximum of 160 characters, so you need to keep your communications short and sweet.

    You can do this in two ways. Firstly, make sure that you limit the use of complex wording that could confuse customers. 

    Secondly, make sure that you have a reason for messaging your customer. If you're running a promotional deal you think they'd be interested in, limit your SMS to only the important details, such as the discount i.e. 20% off, and the date it finishes to help drive urgency to purchase.  

     

    Choose the right time of day

    When it comes to marketing, timing can be everything. This is certainly true for text message marketing. For example, waking your customer up at an ungodly hour is likely to result in some resentful feelings towards your brand. 

    Not to mention, texting your customers outside of “waking” hours — i.e., between 8 am and 9 pm in their local time — is a violation of the TCPA (Telephone Consumer Protection Act). Non-compliance can land your company in legal hot water, so be sure to schedule your messages accordingly.

    Based on our data, the right sending times will depend on your industry. For example, we’ve found that fashion retailers see the best results when they schedule their SMS campaigns between 9:00 am and 1:00 pm.  

    So the best scheduling best practice is to test different time slots and see what works best for your audience.

    The right sending time varies from industry to industry. Fashion retailers see best
    results when scheduling their SMS marketing between 9 am and 1 pm,
    meanwhile, specialty stores see best engagement results from1 pm to 4 pm.

     

    Personalize your messaging

    If your SMS marketing only involves mass texts and promotional messages, you're going to see customers unsubscribe in huge numbers. 

    Because unless communications feel tailored to them, they have little reason to feel excited when they receive a message.

    Making sure that you use your customer's name is an easy way to make an SMS feel more personal. To really improve your interactions, consider allowing your customers to set preferences when they sign up. This could include asking them how often they'd like to hear from you, and what kinds of content they're interested in (i.e. specific product categories or order/delivery notifications).

     

    Focus on adding value

    This is the golden rule of any marketing campaign; if you're going to boost sales or brand engagement, your starting point needs to be what you can offer your customer - not what they can offer you.

    For example, if you want to boost engagement on social media, simply running Facebook ads isn't going to create any meaningful change on its own. Instead, consider running some form of sweepstakes that you can promote via SMS message. Because it offers your customers a clear incentive, they're far more likely to get involved.

     

    Brands that are doing SMS marketing right

    Federation +

    New Zealand streetwear brand, Federation +, knows first-hand the power of an SMS campaign when paired with their marketing efforts. 

    In December 2020, they sent a Boxing day-themed SMS campaign that encouraged customers to shop with a 20% discount both in-store and online. With a 95% delivery rate and 8% click rate, Federation +’s last SMS Campaign for 2020 saw an impressive 11% conversion rate! 

    Read about Federation +'s marketing.

    Federations SMS campaign overlaid on branded imagery

     

    Parker Panache

    Marsello customer Parker Panache intelligently used one-off SMS campaigns to build a buzz around their annual Black Friday sale, one of the biggest events in the retail calendar. In conjunction with other marketing tools, they used SMS message blasts to spread the word by taking advantage of the medium's high open rates. It certainly paid off, with their total ROI reaching 240x over the two months leading up to Black Friday.

    Parker Panache sends Seasons Greetings SMS to promote 20% off in-store and online sale.

     

    American Eagle Outfitters

    American Eagle was an early adopter of SMS marketing, and this strategy has clearly paid off.In the 2015 holiday season, their "legendary gifts" campaign gave consumers the chance to win $10,000. The 12-day campaign took place across SMS, email, and social media and required customers to 'opt-in' to receive personalized URLS that directed them to their daily gift. As well as winning the grand prize, customers were also in to win exclusive discounts and perks.

    These creative efforts helped American Eagle to reach more than 8 million email and SMS subscribers within the 12-day period, with a 60% SMS click-through rate.

     

    Final words

    Ambitious marketing campaigns can be challenging to coordinate for some businesses, especially due to time and budget constraints. SMS marketing is a highly engaging strategy that takes advantage of our attachment to mobile devices to deliver exciting updates in real-time. As retail grows more mobile-based, this marketing tool is only going to grow more effective at driving sales and brand awareness. Our take? The sooner you get started, the better.

    8 omnichannel marketing strategy tips that will boost your ROI

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    True omnichannel experience leads to revenue increases and improved customer experience. Master your omnichannel marketing strategy with these 8 tips.

    When creating an effective marketing strategy for your business, consider all of the different customer touchpoints. Focus on learning how shoppers like to move between different engagement channels (for example, browsing on social media to shopping online) and what information they are looking for while interacting with your store and similar stores. 

    Building all of this into an omnichannel marketing strategy allows you to ensure that you’re providing your customers with a consistent customer experience. This is true for both retail and eCommerce businesses, as well as those omnichannel retailers.

    Some businesses get overwhelmed when planning and creating a cohesive marketing strategy, especially as they begin considering every single touchpoint and every single customer. Instead, use these tips to design a realistic strategy that will engage most customers, while ensuring your marketing is doing the hard work for your long-term and you’re not likely to become overwhelmed.

     

    Why should your business use omnichannel marketing?


    Consider the whole customer journey from awareness to consideration to purchase; your customers are likely to have multiple different touchpoints and interactions with your business. Research shows that more than half of customers engage with three to five channels during each journey, highlighting the importance of consistency across all of these channels.

    Omnichannel marketing enhances the customer experience you’re providing by creating consistency, which, in turn, increases sales and improves loyalty. Customers want fast, efficient transactions and solutions. Providing this can help reduce acquisition costs and grow your business faster. This means better value for your customers and you.

    A young woman uses a cellphone while sat at a table in front of a tablet.

    8 Omnichannel marketing strategy tips to boost ROI


    Below, we’re going to dive into the eight tips that will help you begin creating, rolling out, and analyzing your omnichannel marketing strategy. The primary goal is to increase your return on investment, so bringing all the data into one place allows you to compare tactics to ensure you’re creating the best strategy possible. Not sure if omnichannel marketing is right for you? Learn how omnichannel strategy is quickly becoming the future of retail.

    1) Identify the channels that your audience is interested in

    Working out who your customer is, beyond just demographics like age and gender, can help you better define which channels you need to prioritize. Omnichannel experiences don’t have to combine all potential touchpoints. Instead, knowing which channels your ideal customers spend the most time on will help you narrow your focus.

    Once you know which channels, understanding the device they use and what content they want is essential to a successful strategy. Some people watch videos on Facebook, others on YouTube. Are they watching television on a tablet or a TV? What device do they use to check their emails? Are your emails and website optimized for various screen sizes? And does all of this marketing clearly represent your brand and your product offering, and how you expect your customers to engage with them?

    A book titled 'Brand Identity' sits on a desk next to a keyboard

    2) Keep the brand consistent across platforms

    Building consistent branding across platforms ensures that your customers aren’t confused, and they can immediately know that it’s your brand they’ve scrolled across. When designing your omnichannel strategy, you need to find a balance between creating consistency and channel-specific content.

    One of the best ways to do this is to leverage existing content into other platform-specific pieces. For example, taking an infographic from a webinar to create a social media post or turning a blog post into quotes for Twitter. This not only builds consistency but also provides better returns from each content piece you create as you can use it more.

    3) Leverage new marketing channels and marketing automation

    Rather than being stuck in the past, look at how you can embrace new marketing channels and automation to improve the customer experience you’re providing. New omnichannel marketing solutions can help streamline your processes, save you money and increase sales. Marketing automation can help reach your customers at the right time, and also improve revenue.

    There can also be increased returns when using technology like augmented or virtual reality that allows customers to try before they buy. This can be for furniture, clothing, or make-up, where customers can see products in real situations or on themselves. In fact, we wrote about this over on Shopify’s blog when sharing our predictions for the future of retail post-COVID-19.

    MacbookPro with an insights and data dashboard displaying results on the screen.

    4) Use data to gain business advantage

    An omnichannel marketing strategy provides you with data that allows you to understand your customers better. The data and insights you gather from digital channels need to be analyzed to see where your customers are coming from, how they’re engaging with your brand, and what it takes to turn them into paying customers. 

    For example, you might see high numbers of followers on Instagram, but working with the data can help show what content drives customers through to conversion and what content results in likes but no action. Or you could learn how retargeting ads work for your customers that have abandoned their carts and whether you can convert them.

    5) Listen and respond to your audience through your marketing channels

    Creating an omnichannel approach to your marketing allows you to create consistent engagement with your customers in a variety of places. This includes in-store, online, and through multiple different channels (like social media). You can also craft refined, personalized messaging that’s relevant to each customer. While it goes without saying that social media is a wonderful tool for retailer-to-customer (and vice versa) engagement, one of the biggest complaints customers have about a brands' behavior on social media, is their lack of response when messaged. Consistency is essential and it’s times like these that automation becomes a powerful addition to any marketing strategy. 

    Let’s create a scenario. 

    A customer, let’s call them John, has contacted your brand through Facebook messenger to let you know that they really enjoy shopping in-store but their most recent product wasn’t what they expected and they are dissatisfied with the service they’ve received. It’s one thing to respond directly to John with an apology and an offer of (for example) a free replacement – but what else could you be doing? What if you were to create a ‘nurture’ flow for a specific segment of at-risk customers who’ve left negative or dissatisfied feedback? By collecting customer data at the POS, you’ll be able to find John’s purchase (and therefore contact details) and add him to your segment. From here, John first receives his personalized apology and offer. He’ll also get curated communications that nurture him towards making another purchase and once again become a loyal customer with your brand. Once he has made that purchase, John simply exits the segment and the automated flow.

    Automated email flows allow you to create extra communication touchpoints with maximum impact and minimum effort. By setting up procedures, automations and ensuring you have the right people on board to engage with your audience (no matter where they chose to contact you). This will ensure customers like John feel appreciated and loyal to your brand. It’s simple engagement like this that enhances the customer experience and increases the likelihood of both purchase and repeat purchase.


    3 women laugh and socialise while sat at a table working from laptops.

    6) Make use of offline opportunities

    Your customers’ world exists both online and offline. Whether you have a physical presence with retail stores or not, there are still plenty of ways to utilize offline opportunities in your omnichannel campaigns. With a strong understanding of your customer, you can look to show up in other channels like radio, branded merchandise, magazine ads, event sponsorships, or direct mail. In fact, one of the strongest approaches is to simply ensure your branding and your customer journey are consistent at every touchpoint and this means that when they’re in-store with you, they feel it’s just as easy to explore, browse and engage as it is online.

    Ensure that you continue to maintain a consistent brand voice by selecting the right channels. Also, make sure you leverage this content for other uses as well. Photographers, videographers, writers, and influencers can all create online content from your offline experiences.

    7) Personalize the customer journey

    One of the benefits of using omnichannel marketing software is the ability to create personalized interactions which result in an exceptional customer experience. Technology that allows you to send SMS, email, and push notifications that are relevant, timely, and useful can help to drive sales. 

    Before you begin, ensure you spend time crafting the right messaging for each channel, especially if customers will be receiving more than one. You also want to ensure you’re only using the channels that are going to provide value to your customers so that you’re generating a return on investment.

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    8) Analyze and retarget your customers

    Most customers need to see or hear about a product more than once. Or they need time to compare alternatives. Or they may simply have forgotten to complete a purchase. Omnichannel advertising tracks your customers to gently remind them about your products after an initial interaction. This is where retargeting can help increase your sales. 

    Using data from across social, web traffic, and email can help you track people through their customer journey. Integrated platforms automatically collate data from across your various touchpoints to know who to interact with and what advertising to serve them to improve conversion.

     

    Final words

    Creating an omnichannel marketing strategy can help increase revenue, enhance customer experience and help you better understand your customers. Learning which channels your audience uses, how to best show up on them, and new ones as they launch gives you the data to understand, listen to and respond to your customers. 

    Using Marsello allows you to do this on a single platform, creating efficient systems that pull all your data in one place. This means you can personalize the experience for your customers which drives customer loyalty and retention.

    Customer Loyalty vs Customer Retention – What should you focus on?

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    We know any good store is customer-centric, but how do you know which is most important: Customer Loyalty or Retention? And which should you focus on?

    Customer loyalty and retention often get used together or interchangeably without a clear definition of what the difference is. Or, more importantly, which you should be focused on to build a successful retail or eCommerce business. While both are important, one is more likely to build long-lasting financial success.


    To better understand these two topics, we’ll break down their definitions, the metrics for tracking them and show you which is going to increase your revenue over time. Whether you’re running a small, online shop or a multi-site retailer, understanding these topics will take your business to the next level.

     

    Quick links:

        1. What is customer loyalty
        2. What is customer retention
        3. Customer Loyalty vs Customer Retention: What is the difference
        4. What are the customer retention metrics that matter
        5. Should retail and eCommerce businesses focus on customer loyalty or customer retention?
        6. How to turn shoppers into loyal customers
        7. Why is it important to track customer data to understand loyalty and retention

    What is customer loyalty


    Building strong relationships with your customers helps to establish a positive view of your business. This in turn helps to create loyal customers. Building these bridges with your customers requires a proactive approach to ensure that their needs are being met, their interactions are smooth, and that they feel valued.

    The major benefit of customer loyalty is that they’re more likely to stay with you, buy more from you as well as recommending your business to their friends and family. This means more than just spending more. Becoming a loyal brand advocate means that these customers are out there vouching for your business.

     

    What is customer retention


    Customer retention is the set of practices and procedures you put in place to help keep your customers engaged with your business. This leads to increased recurring revenue as they continue to spend. It is often tracked through churn, the number of customers that stop purchasing or never become repeat purchasers. 

    It also helps to keep customer acquisition costs down, as you build a group of customers providing reliable, regular revenue. Keeping customers is generally cheaper than acquiring new ones, so keeping your existing base happy and spending can reduce your overall business costs whilst increasing earnings.

     

    Customer Loyalty vs Customer Retention: What is the difference


    So how do you define customer retention vs customer loyalty? They are closely aligned, and there is often an overlap of actions that drive the two.

    Loyalty measures a customer’s predisposition to select a business entity as a preference and indicates a certain resistance to competitors. Retention is a measure of whether an existing customer continues to do business with you and the acts to make this happen.

    Loyal customers have a certain stickiness to your business which can make them easier to keep and more valuable rather than just focusing on keeping them through mechanisms that make brand switching hard. 

     

    And over-shoulder shot of someone looking at their marketing data and results

    What are the customer retention metrics that matter


    There are several customer retention metrics that you should be tracking to better understand your customer lifecycle. The first and most common is customer churn. You can calculate this on a scale that is relevant for your business, but the basic measurement is: 

    • Annual Churn Rate = (Number of Customers at Start of Year - Number of Customers at End of Year) / Number of Customers at Start of Year

    A certain amount of churn is natural, but if this reaches between 5-7% it can be an early warning sign that you are not retaining customers and something isn’t right.

    Repeat Purchase Ratio (RPR) is a great indicator of customer loyalty. To calculate:

    • Repeat Purchase Ratio = Number of Returning Customers / Number of Total Customers

    This shows the number of customers that are staying loyal and sticking with your business.

    Should retail and eCommerce businesses focus on customer loyalty or customer retention


    For all businesses, you should be focused on both customer retention and loyalty.

    If you’re a retail business, building customer loyalty often comes through individual interactions. But how do you know if you’re succeeding? Setting up loyalty program systems will allow you to track individual customers’ spending over time. This data will help you better understand their habits and if they are staying with you.

    If you’re an eCommerce business, tracking customer retention is usually quite straightforward. You can see your customers' most recent purchase, purchase history, and overall spend. You can easily benchmark this against your other customers to better understand individual behavior and what areas you need to improve. Understanding the loyalty of your customers can take a bit more work, but should not be forgotten. You might need to send surveys like Net Promoter Score to better understand what your customers think about your business.

    How to turn shoppers into loyal customers

    So how do you build a base of loyal customers? By tracking data like purchase frequency and average order value, you can better understand which of your customers are loyal to your business. To encourage loyalty, you can employ a variety of customer retention strategies. 

    Improving customer service will help to enhance the customer experience you’re providing and help turn retention into loyalty. Experience is one of the easiest ways to differentiate your business from your competition. Using customer accounts and loyalty programs is another way to increase your repeat customer rate, especially if you can provide discounts or special offers as rewards.

    A computer screen showing purchase history for an online store.

    Why is it important to track customer data to understand loyalty and retention


    The best way to understand your customer retention and loyalty is through tracking customer data, including the customer journey. Customer retention technology will help you understand how long your customers are sticking with your business, at what points they drop off, and areas where you have an opportunity to build stronger relationships.

    Metrics that show you customer retention are a great starting point and it can be tempting to focus purely on this. But customer loyalty is going to bring you longer-term success and financial stability. So make sure you’re also looking at metrics like Net Promoter Score (NPS) or Customer Satisfaction Score (CSAT).

    Final words


    It can be tempting to zero in on customer retention alone, but these customers aren’t necessarily going to stay with you for the long term. They’re likely to switch brands for a better offer. Instead, putting your energy into building loyal customers will set your business up for long-term success.

    Using a product like Marsello’s all-in-one marketing platform can help you better understand your customers and the customer experience you’re providing. This will help build customer loyalty for your business, leading to better financial outcomes for you and improved interactions for your customers.

    6 ways to attract new customers with a multi-platform marketing strategy

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    Strengthen your multi-platform marketing strategy with these 6 actionable steps for developing customer buy-in with each marketing channel in your toolkit.

    When you’re building your marketing strategy, you need to consider multi-platform marketing as a method of achieving strong customer loyalty and retention. Omnichannel marketing allows you to provide a consistent customer journey through various touchpoints with your business, both in-store and online.

    Increasingly, shoppers are engaging with their favorite stores through multiple mediums, from email and SMS to websites, social media, and direct advertising. Creating a strategy that incorporates all of these platforms will ensure that you are not only staying front of mind by recapturing your customers’ attention, but you’re also improving their experience with your store at every step of the funnel. 


    In this blog, we focus on the multi-platform aspects of omnichannel marketing, giving you actionable steps to create a multi-platform strategy that you can ensure stretches across all facets of your business. By the end of this blog, you’ll have the tools to start putting together your own cross-channel to omnichannel marketing strategy.


     

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    What are multi-platform and cross-platform marketing

     

    You may be asking yourself, what is cross-platform marketing? Sometimes called multi-platform or cross-channel marketing, both simply refer to a strategy of marketing to your customers and potential customers across all possible touchpoints, thereby optimizing customers; engagement throughout every point of their journey. It allows you to engage with your audience wherever they are, such as email inboxes, websites using targeted advertising, and more.


    By being in multiple places, your audience can interact and shop with you on their terms. Whether they like to shop from their Instagram feed or prefer in-store experiences after they’ve done their online research, you can support shoppers to engage with your store in the way that they prefer. Just look at how Federation + incorporates email, SMS, and loyalty marketing into their online and in-store marketing strategy.

    So when does cross-platform marketing become omnichannel?

    Short answer: omnichannel doesn’t just stop at multiple touchpoints, it also encourages the customer to shop across all sales channels. Omnichannel broadens the customers’ engagement with your brand at every level and at every touchpoint.

     

     

    What are the benefits of using multi-platform marketing?

     

    Multi-platform marketing creates an improved, seamless experience for your customers as they interact with your store through different marketing channels and sales channels. By ensuring your marketing strategy is geared towards capturing the customer at every stage of the funnel, you help to drive customer loyalty and can even increase the overall customer lifetime value as shoppers feel more connected to your business.

     

    Using a cross-channel marketing platform will help you achieve all this, without any added stress. By gathering the necessary data and insights (such as previous purchases and abandoned carts), you ensure that your marketing is showing up in the right places, in the right way, at the right time. And timing is everything! It’s the difference between the store that bombards customers with inconsistent, impersonal messages, and the retailer that knows their customers and sends targeted, personalized marketing that captures the shopper’s attention because it resonates with their current movements. Brandini Toffee has achieved astounding results with personalized messaging by sending an automated abandoned cart email that lets customers know they’ve still got items left to purchase. The email is triggered to send a short time after a customer abandons an online shopping cart and the Brandini Toffee team has seen as much as a 583% increase in attributable sales with Marsello from this email alone!

     

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    6 ways to bring in new customers through a multi-platform marketing strategy

     

    So what are the ways you can take action to build a multi-platform marketing strategy? Firstly, begin with your customers. Knowing who and where they are, how they are behaving and what they’re looking for will help you reach them with the right content at the right time. The final step is to analyze and ensure you’re getting the results you need. Here are the six steps to action today:

     

    1. Focus your marketing strategy around your customers


    Begin your marketing strategy by understanding where your customers are, what they need from you, and what resonates with them. Integrating your point-of-sale and eCommerce platforms allows you to gain insights into customer behavior. You can track your customers' transactions and interactions across email, in-store and online to build out customer profiles.


    You can then begin building out a marketing strategy that is relevant. Instead of generic campaigns, create tailored messaging around promotions, abandoned carts, or loyalty campaigns to cut through the marketing messages bombarding your customers.

     

    2. Create a consistent and integrated experience for your customers


    Customers want to seamlessly move between platforms. From an email or text message, they should be able to switch to a website, loyalty platform, or instore to purchase. Having to re-enter information or hunt down discount codes puts up additional barriers that can prevent your customers from completing their transactions.


    The level of customer service they receive across platforms should also be consistent. Receiving quick responses to questions via chat but a lack of communication on email creates confusion and frustration for customers. Instead, a consistent customer experience increases customer satisfaction.

     

    3. Understand the demographics and how they interact on each platform


    To take the next step in demographic marketing, once you’ve defined your overall audience, you need to further segment your customers. You can then begin to understand how different market segments engage with each platform. This will define the activities for each platform.

     

    When building your marketing strategy, think about how each platform can be best utilized while still staying true to the campaign and strategy. Are text messages relevant and how can location triggers best be utilized? You can then leverage your content efficiently across platforms.

     

    4. Create unique content on each social media platform


    Getting specific about your social media channel strategy ensures that you are sharing relevant information. 41% of people will unfollow a brand that doesn’t. If your audience finds your content boring, repetitive or they’re embarrassed to be seen to be following you, they will unfollow.


    Although your audience members will most likely follow you on multiple platforms, they won’t necessarily interact the same on each. Scrolling through Instagram they are looking for short videos or beautiful images, whereas YouTube gives you the chance to create longer, more informative videos. Use platform appropriate storytelling to build an emotional connection with your followers.

     

    5. Analyze the results of your marketing efforts and make adjustments accordingly


    It’s important to analyze the results of each marketing tactic and compare across platforms. This will highlight where you’re performing well and where you can improve. Key indicators you want to look for are engagement rates like open rates of emails and tracking through to purchase. You can then look to optimize your cross-platform marketing.


    You may find that some platforms are performing better for you than others. Customers may respond well to email reminders but have a low engagement when it comes to text messaging. Investigating which tactics are driving the traffic that is actually converting to purchases allows you to better allocate time and resources.

     

    6. Cross-promote your brand


    To gain the best response to your marketing activities, you’ll need to set up cross-media marketing strategies. It gives you the greatest reach and maximizes your engagement. Your audience will often need to hear from you 2-4 times before they will decide to purchase. Engaging them on multiple platforms can help you achieve this level of reach.


    Some simple strategies to help you cross-promote your brand include providing incentives for customers to provide you with additional information. This could be an email address to send a receipt to or a phone number to use to follow-up.

     

    Multi-platform marketing needs to be included in all marketing strategies to ensure you are meeting your audience where they are, with relevant content at the right time. Begin by understanding where your customers are and how they are using different platforms, before strategizing how to create channel-specific content. Finally don’t forget to analyze the results to ensure you’re seeing a return for your investment.

     

     

    Final words


    To help you manage this whole process, a multi-channel marketing platform like Marsello can crunch the data, capture customer information, and motivate them to shop. All while building strong relationships that establish customer loyalty.

    How to Collect and Manage Customer Feedback

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    Learn which methods of customer feedback collection could work best for your business and discover why you should consider this essential growth data.

    A Guide to Navigating Shopper Input

    A women leaves feedback on a wall-mounted tablet which prompts 'how was your experience'.

     

    Did you know that poor customer experiences result in an estimated $83 billion loss by U.S. businesses every year? 

     

    Gathering, managing, and analyzing customer feedback is a vital part of your customer success strategy, but is often neglected by businesses. In fact, a recent study by Hubspot found that 42% of businesses don't collect customer feedback at all. 

     

    If you don't know what your customers think or want, it's impossible to put them at the center of your growth plan. That's why a robust customer feedback management strategy is the key to fostering lasting relationships with your customers.

     

    In this post, we're going to:

    • Discuss why customer feedback matters
    • Identify key types of customer feedback
    • Talk about how to collect, manage, and analyze customer feedback

    Let’s dive in!

     

    Why is it important to collect customer feedback? 

    Let’s kick things off by discussing the benefits of having good customer feedback management practices in place. 

     

    It helps to refine your product/service

    Making the effort to collect customer feedback helps you to identify pain points, as well as gather suggestions that you can communicate to your customer success and product teams. In turn, this helps to enhance your product/service and promote a better user experience.

     

    Essentially, any omnichannel retailer should be making the customer the focal point of their business, and collecting customer feedback will enable this process. 

     

    It improves customer satisfaction and retention

    No matter what business you run, your customers want to feel as though their experiences matter. When customer service representatives take a long time to respond to concerns – or worse, don't respond at all – this can seriously damage the customer relationship. 

     

    On the flip side, when you make the effort to implement changes or updates on the back of feedback surveys, it showcases a customer-centric approach that aims to meet the expectations of loyal customers. And when customers are satisfied, your retention rates will soar.

     

    It strengthens your WOM (Word of Mouth) marketing efforts

    Here's a fact about marketing: We're far more likely to trust other people's perception of a business than what that business says about itself. In fact, 88% of consumers say that they trust online reviews just as much as personal recommendations.

     

    With the rise of social media and community forums, we're no longer passive consumers of advertising. By making customer feedback a core functionality of your business model, you have a powerful customer acquisition strategy.

     

    Types of customer feedback 

    Customer feedback can be divided into two main types: Direct/solicited customer feedback, and indirect/unsolicited customer feedback.

     

    Direct/solicited customer feedback

    This refers to feedback processes that rely on the business reaching out to their customers for feedback. The advantage of this approach is that businesses can either tailor their surveys to specific topics, such as the usability of certain features, or they can ask about the customer journey as a whole. However, invitations for direct feedback often struggle with low uptake.

     

    Direct/solicited customer feedback methods include the following:

    • Customer surveys
    • Customer reviews
    • Focus groups
    Indirect/unsolicited customer feedback

    Conversely, indirect/unsolicited feedback is when a customer reaches out to a business with queries or concerns. It's within a business's interest to encourage this behavior, as unsolicited feedback can often bring up issues or opportunities they wouldn't have identified on their own. 

     

    The following can be considered types of indirect/unsolicited feedback:

    • Social media
    • Customer support centers
    • Live chat

    Note: It's a good idea to use a combination of methods to ensure that your business is getting impartial feedback data. In this next section, we're going to dive into some of these methods in more depth.

     

    How to collect customer feedback

    Now let’s look at the different ways that you can gather feedback from shoppers.

     

    Customer surveys

    Customer surveys are one of the most common methods for feedback collection. You can completely customize a survey depending on what your needs are, making it one of the best options for collecting feedback on a large scale.

     

    However, putting together a good feedback survey is a lot of work. Once you've chosen the area that you want feedback on, you need to decide what survey format is most appropriate.

     

    While a qualitative survey using free text fields is one of the easiest to put together, it can be a discouraging time investment for customers, and setting it up effectively could be time-consuming for you too.

     

    Instead, you could consider using some qualitative forms of customer satisfaction survey, such as:

     

    Customer Satisfaction Score (CSAT)

    CSAT is a metric for determining how satisfied your customers are with different touchpoints in the customer journey. It captures customer sentiment when they're interacting with that stage of your offering i.e. "How would you rate your recent order or experience?"

     

    KiwiCo asks subscribers to rate their experience of using a specific product with 5 stars.

    CSATs usually give customers the choice of choosing a number between 1 and 5, with 5 being “very satisfied” and 1 being “highly dissatisfied”. CSATs can be single questions or use several back-to-back questions depending on how broad you want your survey to be.

     

    Net Promoter Score (NPS)

    NPS is another qualitative survey measure but it differs from CSAT. NPS measures long-term customer loyalty. It helps to benchmark a customer's willingness to recommend/promote your brand to others, which indicates their commitment to repeat purchases. So, if your NPS is low, this means your churn rate is likely to be high.

     

    Most NPS surveys use a 10-point scale, as shown in this template by Le Tote:

     

    Le Tote asks customers how likely they are to recommend the store with a 1-10 scale.

    2-choice questions

    In some cases, you want to make it as simple as possible for customers to provide feedback. This is why 2-choice surveys can be extremely useful when you want to gather a quick pulse from your customers. 

     

    The following example from Katie Waltman, which lets people indicate their feedback by simply tapping a happy or sad face is an example of quick and easy feedback collection.

     

    And in case customers would like to share additional details, Katie Waltman asks a quick follow-up question based on the shoppers’ initial response. Katie Waltman has a 97% customer feedback rating. Their customers have particularly positive feedback for KW’s product quality, customer service, and the value of their products. Keeping in mind that customers are most inclined to leave feedback when they are passionate, this makes praise that Katie Waltman has received all the more impressive.

     

    Marsello-Case-Study-Katie-Waltman

    Social media monitoring

    Did you know that 1 in 3 consumers would rather post service or product feedback on social media than contact a business directly? Quick and appropriate follow-ups to comments and mentions by your customers are vital on an open forum, and also presents opportunities to ask for feedback via polls and surveys:

     

    PlayStation uses Twitter to run a poll asking follower if theyll be buying a game this week.

    Qualitative customer interviews

    If you're wanting more in-depth customer insights, organizing a series of interviews with customers is a great tool for adding more context to NPS and CSAT surveys. Getting direct information straight from shoppers can help to highlight and create understanding around areas that are working well, versus areas of your business that could do with attention.

     

    This technique is best suited for interviewing long-term customers who can answer more in-depth questions about your product/service. It's a good idea to use your CRM to pick out loyal customers who can offer you the most valuable insights.

     

    How to manage customer feedback 

    Once you’ve collected a good amount of feedback, it’s best to set up processes for managing all that information so you can act on it. 

     

    Use the right CFM tools

    Feedback management tools are vital to getting the most out of your feedback collection. CFM (customer feedback management) software allows you to sort and analyze customer data effectively, rather than having your customer success team spend days or even weeks sorting through it manually.

     

    The right tools depend on how your business plans on gathering customer feedback. For example, if you plan on doing customer surveys on a regular basis, a survey tool like SurveyMonkey or Typeform is a good investment. Likewise, you're a brand with a large social media presence, consider a social listening tool such as Brand24 that uses AI to monitor brand reputation in real-time, a popular technique with SaaS companies. 

     

    On the other hand, if you want to grab quick feedback on the product or shopping experience of your customers, then an eCommerce CRM like Marsello is a great option. Marsello’s feedback tool makes it easy to attach quick surveys to your transactional emails so customers can let you know how they feel.

     

    From there, you can get detailed reporting on customer satisfaction and find ways to improve. 

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    Learn moreStart collecting feedback

     

     

    Implement a Voice of the Customer (VoC) program

    The Voice of the Customer (VoC) is a broad term referring to all of the data and metrics you've gathered from feedback management tools and unsolicited customer feedback. A VoC program collates all this data from across channels to identify emerging themes that indicate specific pain points, then develops a roadmap to address them.

     

    For a VoC program to work effectively, it can't be siloed just to your customer success division. It requires active collaboration with the product development, marketing, and sales teams to identify trends within their own workflows. For example, if the sales team keeps coming across a particular feature request, this can be passed onto the product team far more seamlessly.

     

    Close the feedback loop

    Once you've identified issues or opportunities and taken action in response, it's important not to miss out on informing customers what you've accomplished. This is known as “closing the feedback loop.”

    Unless customers receive a follow-up, they have no idea whether their concerns have been listened to. This leaves the feedback loop wide open and could affect your retention efforts.

     

    So, once you've decided to introduce a change in response to feedback, you need to think about the best way to communicate this. The appropriate channel will depend on the demographics of the respondents. For example, if your survey was hosted on social media, it makes sense to inform customers using the same medium. If it was an on-site survey, you could consider producing a webinar that discusses your initiatives.

     

    How to analyze your customer feedback 

    The best way to get the most out of customer feedback is to analyze it. Here are some tips to help you organize what you’ve collected and ensured that you gain actionable insights from them.

     

    Categorize your feedback types

    Once your data is in one place, assigning it to a specific group will help you get a broad overview of what areas are receiving the most attention from your customers. For example, you could use categories like:

    • Onboarding
    • Pricing/billing
    • Feature requests
    • Product/user experience
    • Technical support.

    You can also break these down further into sub-categories i.e. whether the feedback is negative or positive.

     

    This exercise will help you to highlight any overarching trends and “hidden” issues that your business might not have identified, such as confusing pricing structures or difficulty finding support documentation.

     

    Start feedback analysis

    While it's possible to analyze your feedback manually, this is a very time-consuming process and requires someone with strong expertise in coding and data analysis. Moreover, there's always the potential for personal bias to get in the way of finding actionable insights from your customers.

    Instead, consider using a tool such as Marsello, which can organize feedback data into graphs and tables that make it easy to analyze the information.

    Marsello-Feedback-ReportAs patterns start emerging, it's important to ask yourself some key questions:

    • Are these new or established customers?
    • Where are they located?
    • Who has been assigned to manage their account?

    This helps to add context to the results of your analysis – and may also establish some underlying causes for recurring issues.

     

    Present your results

    Once you have the results of your customer feedback campaign, you need to think about the best way to present them to your teams. This will depend on whether you're doing a relatively focused feedback survey or a landmark study on your product/service as a whole.

     

    If it's a small feedback project, you can likely present the results on a one-page that summarizes the key takeaways via bullet points or tables. In the case of large, multi-question studies, you will need to break this down in a lot more detail.

     

    Large-scale data visualization using line or bar graphs are a great way to communicate to your staff the changes to customer sentiment over time and provide answers to key questions. Check out this visualization by Thematic investigating the reasons behind a drop in NPS:

     

    Thematic uses a graph visualization to represent how a customer rating has dropped.

     

    Thematic not only displays the drop-in NPS rating over time but also offers the user detailed information that highlights why their performance could be taking a downward turn. 

     

    Final words

    Customer feedback has traditionally been one of the most neglected elements in customer success. It's easy for businesses to tell themselves that gathering customer feedback is too time-consuming or difficult to analyze to be worth the effort. 

     

    But at the end of the day, customer satisfaction is the key to long-term success as a business. If your customers are unhappy with your service or product offering, your churn rate is going to skyrocket. But by implementing a strong customer feedback program, you're in a much better position to foster retention and loyalty.

     

    Need to collect and analyze customer feedback? Marsello has powerful tools to help retailers gather input from shoppers and turn them into actionable insights. 

     

     

    Learn more about Marsello's featuresGET MARSELLO



     

    What is Omnichannel Marketing?

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    Omnichannel – the 'in' phrase of the retail space. So what does omnichannel mean & how can you implement it into your business? Read on to learn more.

    A Guide to Marketing Across Multiple Channels

    It's one of the biggest buzzwords in retail and marketing, and one that all businesses should be paying attention to. 

    Omnichannel.

    Industry data shows that marketers using three or more channels in any one campaign earned a 287% higher purchase rate than those using a single-channel campaign.

    With numbers like this, retailers have few reasons not to embrace the power of omnichannel marketing. 

    In this post, we're going to define omnichannel marketing, why it matters, and how to implement your own omnichannel marketing strategy for better customer engagement and sales.

    What is omnichannel marketing? 


    Simply put, it’s a retail strategy that involves the complete integration of all offline and digital channels. It denotes a customer-centric approach by prioritizing seamless, high-touch shopping journeys that take place across multiple channels.

    With seamless channel integration, customers can easily complete actions like checking inventory levels online before turning up at their local store. And it's shopping experiences like these that positively influence customer loyalty and helps to create brand advocates. 

    Omnichannel marketing ensures that customers receive a cohesive shopping experience. All sales and marketing channels operate in sync with one another to build trust and brand engagement.

     

    The difference between multichannel and omnichannel marketing


    Don't confuse omnichannel marketing with multichannel marketing. 

    While both involve coordinating marketing strategies that span several channels (such as eCommerce, social media, SMS messaging, and mobile apps), the execution is very different.

    Multichannel puts the product, rather than the customer, at the center of marketing activities. So, while multichannel marketing allows consumers to engage a brand via several channels, they cannot transition seamlessly between them. This silos messaging and keeps it static, rather than adapting to the needs of each customer.

    In contrast, the channel integration of omnichannel marketing means that every message is relevant and tailored to your individual customer as they shop across multiple channels and devices.

    For example, if a customer puts an item in their cart with the intent of coming back for it later, they might receive a push notification or SMS alert to let them know when that product is low in stock. They might also get a tailored promotion to entice them to purchase. It's these personalized interactions with customers which make omnichannel marketing efforts much more successful than a generalized multichannel approach.

     

    A retailer and a customer using an in-store POS system while smiling and chatting.

    Why implement omnichannel marketing? 


    Here’s a quick rundown of the advantages you can unlock from omnichannel marketing.

    Providing a consistent experience across channels

    If we think about our most negative retail experiences, they're likely to involve scenarios where retailers have obstructed rather than aided our efforts to shop efficiently. 

    As consumers show a growing preference to use multiple channels to execute their shopping journeys, it's never been more important for retailers to meet these expectations. According to a study by Invespcro, the most in-demand services are: 

        • Checking product availability before arriving in-store (82%)
        • BOPIS (Buy Online, Pick-Up In-Store) (57%)
        • Having a customer profile stored across channels (50%)
        • Personalized shopping experiences (47%)

    By implementing advanced omnichannel experiences like these, your customers have the freedom to shop how they want without barriers. This makes them feel empowered during their shopping journey and helps to foster trust in your brand.

    Maximizing touchpoints with your customer

    In the past, we would walk into a brick-and-mortar store, browse for a bit, and then make a purchase – often within the same visit. 

    Today, consumer behavior is very different. People want as much information as possible before committing to a purchase, especially if they are new customers shopping with a brand for the first time. This involves utilizing multiple channels to research and compare options.

    Today, 82% of customers use their mobile devices to browse before purchasing at a physical store. By offering customers a unified experience across digital and offline channels, you can add a huge amount of value through engaging touchpoints that build brand awareness and customer loyalty.

    Valuable data-driven insights

    Seamless experiences across different channels mean more opportunities to gather customer data. Omnichannel integration allows you to follow the customer journey from beginning to end, meaning that you gain access to in-depth insights about who your customers are and what they're looking for. 

    It allows you to identify key buying patterns and personas within your target audience – including those you hadn't anticipated shopping with your brand. This makes it easier to deliver the appropriate messaging that coaxes prospective customers along the path to purchasing.

    When you understand your customers, you have a much better sense of how to encourage repeat purchases. This is why retailers who use an omnichannel approach see 90% higher customer retention can those who don't.

     

    How to start an omnichannel marketing strategy from scratch 


    Ready to kick off your omnichannel marketing strategy? Here are the steps you should take to set yourself up for success.

    1. Start thinking customer-centric

    Going omnichannel in your marketing is about more than just integrating your channels. For many retailers, it requires a fundamental shift in how your brand relates to its customers.

    Why? Because what's most convenient for your customers might not be what's easiest for business. To make this transition effectively, you need to have everybody on board inputting customer success at the center of the shopping experience.

    Making omnichannel campaigns run effectively is a lot of work, and requires serious consideration of every touchpoint within the buyer's journey. 

    For example, when your customer enters your website, does it have a responsive design that easily adjusts to mobile? Are your social media posts optimized to drive prospective customers to the appropriate product pages?

    By having your operations, sales, and marketing teams evaluate your marketing approach step by step, you can ensure a positive omnichannel customer experience.

    2. Know who your customer is

    You might be surprised by how many businesses don't have an in-depth understanding of who their customers are. A study by HubSpot found that 42% of businesses don't run customer engagement surveys or collect feedback.

    This is a problem because if you don't touch base with customers and get their feedback, you won't get insights into what they want and need. Collecting feedback also helps you determine the right demographics, so you can create more effective personas for your campaigns.

    To  put your customer first, you need to invest in gathering data that gives you the full picture of their activities and preferences, such as: 

        • What problems does your business help customers to solve? 
        • Through what channels do they like interacting with your brand most, and why? 
        • Which kinds of content do they find the most useful/valuable?

    You can accomplish this by using data from your CRM, or by running surveys across channels and asking for feedback at multiple points during the shopping journey. 

    3.  Invest in the proper toolkit

    Example of Marsello's POS integration working with Loyalty.

    When it comes to omnichannel marketing, your strategy is only going to be as strong as the tools supporting it. 

    As well as helping you to generate and nurture more leads, marketing automation allows you to build personalized experiences for your customers by sending them targeted content that supports their needs. Best of all, the data captured from these workflows in the form of CTRs and engagement rates will tell you whether your efforts are hitting the mark.

    This is where a solution like Marsello comes in handy. Our software serves as an all-in-one omnichannel marketing platform that combines email, SMS, and loyalty programs. Since everything is accessible on a single platform, data flows smoothly from one channel to the next, and it's easier to provide a seamless shopping experience no matter where your customers are. 

    Marsello also integrates with leading point-of-sale systems and eCommerce platforms, so you can easily sync your physical and digital stores as one.

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    4. Content, content, content


    No matter how advanced your marketing software is, the content remains the backbone of omnichannel marketing. This involves everything from your social media content down to in-store signage

    For example, let's say that your business is running a promotion that gives your customers 20% off storewide both offline and online. Your online store has a big banner on the home page publicizing the discount, and a promotional email has been sent out to your mailing list to spread the word. 

    But when customers walk into one of your physical store locations, there's no signage greeting them at the door to make them aware of the discount. 

    A lack of cohesion between your offline and digital marketing efforts can result in a lot of missed sales opportunities; if in-store customers don't know about the promotion until checkout, they're a lot less likely to maximize spending to get a better deal. This makes informative touchpoints essential for successful omnichannel retailing.

    Want to see an omnichannel content strategy done right? Check out Federation, a streetwear brand that runs a powerful omnichannel loyalty program. Federation allows customers to earn and redeem points in-store and online, so shoppers are rewarded regardless of where and how they're shopping. 

    Plus, the program’s content and messaging are consistent on all channels, so the customer experience always feels seamless and on-brand. 

     

    Federations SMS campaign overlaid on branded imagery

     

    Another excellent example comes from the jewelry brand and clothing stockist, Katie Waltman. The store runs a comprehensive marketing initiative that covers loyalty, feedback collection, and email marketing. In doing so, Katie Waltman is able to connect with customers across multiple platforms. 

    Just like with Federation, the content and messages that Katie Waltman puts out there are consistent on all channels and devices. So whether people encounter the brand in-store, on their eCommerce site, or via email, customers are treated to the same look and feel. 

    Marsello-Loyalty-Katie-Waltman-Email-Campaign

     

    5. Segmenting your messaging

    As we mentioned above, what separates multichannel marketing from omnichannel is that customers are not treated as a one-size-fits-all group. 

    The valuable data insights that omnichannel retailing gathers from across the shopping journey give you the ability to segment customers according to demographic data, shopping behavior, and the “warmth” of leads. 

    According to Epsilon, 80% of consumers are more likely to purchase from a brand that offers personalized experiences. In short, you can deliver the right content at the right time to enhance customer lifetime value. 

    For example, with the aid of marketing automation, you can set up specific triggers to target customers who've purchased certain items (e.g. "you might also like..." emails) or those who've been “inactive” for a certain period of time by sending an SMS with a link that allows them to set their communications preferences. 

    We can see this in action in Brandini Toffee, which uses Marsello to send automated marketing emails based on user behavior. One notable example? The Brandini team sends a campaign automated email geared towards shoppers who have abandoned their cart. To entice this segment to complete their purchase, Brandini Toffee sends a reminder email with a built-in product recommendations section that is automatically populated with similar products and items which the customer is likely to enjoy (based on their previous shopping behaviors). 

    Since they first created automated campaigns, Brandini Toffee has seen as much as a 583% increase in attributable sales and this campaign alone has generated 95% of the total orders generated by Brandini’s automated campaigns.

     

    Brandini Toffees abandoned cart email campaign on a mustard yellow background

     

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    6. Track and analyze

    The power of your omnichannel marketing efforts becomes more evident the longer they're in play. The more you invest in gathering and utilizing data from customer journeys, the more you can refine your approach to target exactly what it is your customers want.

    This is why it's important to test and track different elements of your marketing strategy to find what appeals most to your customers. This includes A/B testing of different copy, subject lines, images, and CTAs to see which gets the best response. 

    It's also important to compare your content across channels to see what works for each medium – what works on email, for example, isn't necessarily going to resonate with your audience on Instagram.

     By regularly analyzing the results of your omnichannel marketing campaigns, you can ensure that your business is using the very best formula to inform and excite your customers.

     

    Final words


    Implementing a thoughtful omnichannel marketing strategy is a big step up for retailers who are used to more siloed multichannel strategies. But if you want consumers to choose your business over the likes of Amazon, it's essential that you can facilitate seamless shopping experiences that allow customers to move between channels with ease.

    At the center of successful omnichannel marketing is a core philosophy; it’s seeing your customer as the center of gravity that your brand revolves around. So long as you stick to this core idea, the rest will follow.

     

    Create new & look-a-like audiences with Facebook Audience Sync

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    Easily use social media ads to retarget current customers or acquire new customers using the Facebook Audience Sync feature from Marsello.
    The Marsello and Facebook Logos feature alongside a Facebook Ad carousel by NZ-based retailer, Madame Fancy Pants.

    Facebook advertising can feel like a minefield, particularly when it comes to creating perfected audiences. Now, you can automatically import your custom segments directly from Marsello with Facebook Audience Sync, saving you time and also ensuring your audience is always up to date!

    The Facebook Audience Sync feature allows you to easily carry over your custom segments to your Facebook Ads Manager account where you can start creating compelling ads that convert customers. You don’t have to load a new audience every time you want to create ads; in fact, the Facebook Audience Sync is designed to update every hour, so it’s always up to date, ensuring that your marketing reaches all your desired customers. 

     

    The world of social media marketing might feel a little overwhelming when you first get started, but by automatically loading your customer segments to your Facebook Ads Manager account, it’s easy to create promotional marketing campaigns that target both new and existing customers – this is where Facebook Audience Sync changes the game. The hard work is done for you as you easily sync custom segments to Facebook with just a few clicks! 

     

    There are some things you’ll need to ensure you’ve done before you can use the Facebook Audience Sync feature. Let’s delve a little deeper.

     

    Getting started with Facebook Audience Sync

    First thing’s first, you’ll need to ensure your Facebook Ads Manager account is set up and ready to go before you can sync your Marsello custom segments.

     

    Once your Facebook Ads Manager account is all ready to go, you can navigate to the Add-ons page in your Marsello admin and easily find the Facebook Audience Sync feature. Here you can connect your Facebook Ads Manager account to your Marsello account by completing the required Facebook permissions and following the set-up steps.

     

    And when you’ve completed the set-up process, you’ll be able to start syncing your selected Marsello custom segments to your Facebook Ads Manager account. Connecting your Marsello account to Facebook opens up a wide range of marketing possibilities to various customer groups and not just those who you’ve added with the Facebook Audience Sync feature. 

     

    One important note: as we’ve touched on, the Facebook Audience Sync tool allows you to create Facebook ad audiences directly from your Marsello custom segments – emphasis on the “custom segments”. By this, we mean that you can only sync segments that you’ve created yourself. If you haven’t created any yet, you can learn more about custom segments in our help center

     

    One question you may have is, “How can I sync my RFM segments, i.e. Loyal Customers?” And it’s actually very easy! All you need to do is create a copy of your desired RFM segment (these are your ‘Loyal’, ‘Best’, ‘At-risk’ segments, etc.). From here, you can easily sync this new custom segment across to Facebook Ads Manager (make sure you name your new segment so that it’s easily distinguishable). Your segment will appear in your selectable Ads audiences as “Marsello: ” so if you named a copy of an RFM segment as Facebook-Audience-Loyal-Customers, it would be easily distinguishable in both Marsello and Facebook Ads Manager.

    Now that we’ve got the need-to-know feature information out of the way let’s explore how you can get creative with your custom audiences and Facebook campaigns.

     

    How to create Facebook ads that convert customers

    There are a few different ways to break down social media ads, usually based on your goals. For the sake of keeping things simple, we’ll look at ads as tools for either retargeting or acquisition – meaning you’re using ads to either engage your current customers or attract new customers. 

    Let’s break down these two advertising goals while showcasing how you can use Facebook Audience Sync to create innovative yet straightforward ad campaigns.

     

    Retargeting Existing Customers with Facebook Ads

    According to Niel Patel, 72% of customers are inclined to abandon their carts while shopping. That’s huge! Creating retargeting campaigns might be old news at this stage; however, it isn’t always easy to know how much retargeting is too much. Here’s a hint: your campaigns don’t have to be restricted to powerful tools like email marketing and dynamic retargeting tactics (such as AI-driven product recommendations). Integrating your retargeting efforts into your social media marketing campaigns can be a powerful way to re-engage shoppers in new and exciting ways.

     

    With Facebook Audience Sync, you can easily create audiences from your Marsello custom segments. Your RFM Segments can also be a starting point as they help you to target specific groups of customers who are already organised by data-driven AI. For example, the Lost and At-Risk segments could be fantastic audiences for a win-back retargeting campaign that aims to re-capture those less active customers. 

     

    Note: Remember what we stated earlier – you’ll need to create custom segments that are duplicates of your RFM segments if you’d like to market to these.

     

    Let’s look at a few stats that really break down the effectiveness of retention marketing:

    Infographic with stats about the success rates of retention marketing and acquisition marketing.

    Now, these stats aren’t to say that one form of marketing is better than the other; they’re included here to remind you of the power of marketing to current customers. There are huge gains to be made from marketing to both new and existing customers – you just have to be clever about how you approach your marketing tactics.

     

    With Facebook Audience Sync, once you’ve synced the segments that you’d like to advertise to, you can easily add these segments as the audience for your campaigns. All you need to do is ensure you know what your goal for each campaign is, who your audience is, and what actions you want your customers to take. A common CTA for retargeting customers is ‘Shop Now’, as your marketing to customers who already know your brand, have shopped with you before, and maybe need a wee nudge to shop with you again.

     

    We briefly touched on marketing to RFM segments like At-Risk or Lost customers. Consider the following examples of how you could use retargeting to engage some different customer groups:

    • An example of how you could create innovative campaigns to engage your At-Risk or Lost segments is to design a win-back campaign that retargets these customers after they’ve abandoned their cart. Whether you’re offering shoppers a discount or simply reminding them of your most popular products, remember that your ad should be compelling, concise, and inviting to that particular customer group.

    • You could create a targeted campaign that actively re-engages your ‘Window Shopper’ RFM segment (which is customers who’ve visited your online store but not shopped with you). This campaign could offer this audience anything from a sneak peek to an exclusive collection, to a one-day sale. 

    Acquiring New Customers with Lookalike Audiences

    Customer acquisition can feel like a big task – how can you possibly market to someone who has never heard of your store and whose contact details you don’t have? 

     

    This is why the Facebook Audience Sync feature is so exciting – acquisition marketing is perhaps one of the most effective ways that you can put the Facebook Audience Sync feature to use!

    When you sync your selected custom segment, you can then use this customer list and as the base for a Facebook lookalike audience; this will allow you to target Facebook users who ‘look like’ your customers, be that age, location, gender etc. The more specific you make your lookalike audience settings, the smaller the audience will get, but this will also increase your likelihood of generating traffic. 

     

    So here’s an example of this in action:

    • Stage 1 – You want to create an ad that reaches a wide range of people who have similar interests to your customers, but you don’t want to include any current customers in that list.

    • Stage 2 – You create a custom segment in Marsello that includes all your customers and title it ‘All Customers’.

    • Stage 3 – You sync that list using the Facebook Audience Sync feature.

    • Stage 4 – You use Facebook Ads Manager to create a ‘Lookalike Audience’.

    Creating a lookalike audience will help you to reach Facebook users who are similar to your current customers. When you consider that 2.60 Billion People use Facebook worldwide, that’s a tremendous amount of potential for reaching customers that you otherwise may not have had a way to contact.

     

    But smart marketing includes knowing how to get the best results from a very specific audience. You don’t want to create an audience that consists of a huge number of people only to lose money because most of these people will either ignore your ad (as it doesn’t apply to them) or click on your ad but won’t engage in a way that helps you meet your goal.

     

    Did you know you can go one step further and exclude your existing customers from your Facebook ads? 

    Acquiring New Customers While Excluding Existing Customers

    To exclude your synced Marsello custom segment from your ad audience, you simply need to create a ‘Custom Exclusion’ in your Facebook ad settings. By excluding your current customers, you’ll have a super-refined audience which is based on your current customers (who are proven to like your brand), you’re also avoiding paying for engagement from your already loyal customers.

     

    From here, you’re free to design robust, captivating ads that encourage Facebook users who may not know anything about your brand to click on your ads and shop with you. Remember this as you create your ad: you want to excite, entice, and engage your new audience. Niel Patel has you covered when it comes to social acquisition communication, so don’t be afraid to dig around and look at what the pros are doing to master their social media marketing.

     

    Ready to combine all these tactics together?

     

    Remember those retargeting ads we mentioned? Why not get really creative and make a retargeting campaign that captures those customers from your lookalike audience who clicked on your ad and visited your store but did not make a purchase, turning your acquisition campaign into a brilliant retargeting campaign, all while excluding any current customers from your audience.

     

    Our final piece of advice: no matter what kinds of social media campaigns you create, make sure you’re keeping track of the results, and your ad spend. Set yourself a budget and don’t be afraid to experiment, but don’t let yourself put money into campaigns that feel like they could do with a refresh or an overhaul. Tracking is the best way to ensure your ads are seeing the results you expect. Just make sure you’re tracking the metrics that apply to your marketing.

    Madame Fancy Pants uses a Facebook ad carousel to marketing a 15% off discount featuring leopard print Birkenstocks over a swimming pool.

    Omnichannel retailer, Madame Fancy Pants, is a prime example of retailers using Facebook ads to engage a wide range of customers. Recently, MFP created the Facebook campaign shown in the image above. The campaign targeted a lookalike audience based on their current customers, but they went a step further (as suggested in the section above) and excluded the following audiences:

    • any user who is an existing MFP customer and accepts marketing

    • recent shoppers as they made a purchase.

    MFP saw a 3.2x Return on Ad Spend (ROAS) and an almost even mix of in-store and online spend over the month that the ad campaign ran. 

     

    Final words

    As we’ve broken down, your Facebook advertising strategy can be a powerful tool to accompany any of your promotional marketing. However, you have to ensure your Social Media marketing is done right, and that starts with ensuring that you’re marketing to the right audiences.

     

    With Facebook Audience Sync, it’s easy to create custom audiences and then develop targeted ad campaigns that work specifically for those customer groups. Whether you’re excluding that customer group while creating a lookalike campaign, or marketing directly to a specific segment, all your Marsello custom segments can be synced to Facebook Ads Manager in just a few clicks.

     

    Start syncing

    Email Marketing Best Practices Guide for BFCM 2021

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    Halloween, Hanukkah, or BFCM – picking your marketable holidays is just the first step. Send undeniable emails this season with our email marketing guide.

    It’s common knowledge that holiday email marketing is both essential and fiercely competitive. Not only do you have to ensure you’re standing out to customers by creating beautifully crafted emails that meet the following best practice guidelines, but you also have to schedule those emails to send at the perfect time to land in front of your customers – the right message to the right customers, at the right time!

    Get on top of your holiday marketing by mastering it early! We've designed the following infographic to help you confidently create campaigns for BFCM, and all the holidays surrounding it.

     

    Email Marketing Best Practices Infographic:

     

    Alt tag: An in-depth infographic that gives retailers a step-by-step set of instructions on how to create email campaigns that appeal to customers and stay out of spam filters. The advice includes giving customers the option to unsubscribe, adding calls-to-action, including product images and clear branding/logos, suggested email sending times and including a holiday offer to entice customers in.

     

    Whether it’s Halloween, Thanksgiving, Black Friday, Cyber Monday, or even President’s Day, picking your marketable holidays is just the first step.

    As you can see, there are many components that go into creating a winning holiday marketing campaign. So what else can you do to ensure you’re capturing your customers’ attention? 

    We've put together a few simple steps and tools you can use to make sure you're prepared for Black Friday/Cyber Monday and any other holiday during the season! And all of this is easy to master with Marsello's features: 

     

      • Plan ahead with a marketing calendar – Prepare for the upcoming holidays with the help of the Marketing Calendar feature. Whether you need a reminder of the upcoming holidays’ dates, or you want to schedule a series of holiday-specific campaigns, the Marketing Calendar makes this easy. Learn more.

      • Make use of pre-made email templates – If you’re strapped for time, one of the most effective ways you can create a campaign that you know will capture customers’ attention and keep you out of their Spam folders is by using pre-designed email templates. Not only can you customize your campaign to ensure it fits your brand, but you can also schedule your campaign for the future, helping to save you time now and down the line. Learn more

      • Boost your email campaigns – Seeing lower than expected email open rates? Never fear; that’s a common complaint at this time of year! Automatically resend email campaigns with a different subject line to everyone who didn’t open it the first time around! Learn more.

      • Send SMS campaigns – Follow up your holiday email campaign by sending an SMS campaign to those customers in your chosen segment who have opted-in to your SMS marketing. Learn more.

      • Offer loyalty points promotions through campaigns – Offer a points promotion for the days of the holiday and then focus your holiday email marketing campaign around that points promotion. Use enticing deals like double points to ensure your brand is in front of customers’ minds before the holiday has even arrived. Learn more

      • Make the most of data-driven customer segmentation – All signs point to personalization! Market-specific emails to different customer groups and watch as your engagement rates increase. Read how Spanish shoe brand, Yuccs, did just this last year over BFCM and saw outstanding results! Learn more about Customer Segmentation

     

    Now you’ve got all the tools you need to get started, head across to your Marsello admin and start creating.

    Alternatively, sign up today or book a demo.

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    How to Use a Marketing Calendar to Manage Your Campaigns

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    Learn how to use the Marketing Calendar feature to organize your marketing campaigns, schedule future campaigns, track your campaign success, and more.
    Marsello's Marketing Calendar with a campaign scheduled for the future.

     

    Email marketing is still the most effective means of marketing and communication that you can do. In fact, research suggests that almost 70% of businesses use email marketing as part of their campaign strategy, which means you could be behind the curve if you’re not making the most out of email marketing. And when coupled with other campaign strategies like SMS marketing, points promotions, and carefully curated customer segments, you’re no longer part of the curve, you’re ahead of it. In fact, you’re leading the charge!

    And managing your marketing efforts is an essential part of both understanding the success of your campaigns, and planning for outgoing campaigns. Whether it’s a holiday marketing campaign (BFCM is just around the corner and the perfect time for a points promotion) or just keeping track of when campaigns are sent so you can better look back at what has caused an uplift in sales … and it all comes down to timing.

    Introducing a Marsello feature that will feel like you’ve just hired a marketing assistant: the Marketing Calendar. The Marketing Calendar feature is a month-by-month timeline representation of when and how you’re connecting with customers through campaigns, as well as making it easy for you to manage and create emails, SMS, and points campaigns through the calendar.

     

    How to use the Marketing Calendar

    Under ‘Campaigns’, on the right-hand side of your screen, you can toggle your Campaigns view to view the Marketing Calendar. As you can see in your Marsello admin, the Marketing Calendar displays a month-by-month format (which can be adjusted to a weekly or daily view too) and shows which campaigns have been sent within the current calendar month, and which campaigns are scheduled for the rest of the month. This means that you’ll see any SMS, email, or points campaigns within this timeframe, and easily identify gaps in your marketing.

    One of our favorite features of the calendar is that it makes it really easy for you to create and schedule new email, SMS, or points campaigns by clicking on the date that you’d like to send the campaign. This will bring up the usual campaign creation window which means it’s so easy to use!

    And the ease of use doesn’t stop there! 

    Usually, a points campaign will last a few consecutive days, just as The B Code did when they created a points campaign to promote their online loyalty program. Deciding the span of your points campaign and creating it is simple! Just click-and-drag from your preferred points campaign start date to the end date and the ‘create a points campaign’ window will automatically appear.

    Just remember, promoting your points campaigns with email and SMS campaigns will dramatically increase the success of your points campaign while also promoting your loyalty program. A powerful marketing tool during the holiday season when it helps to stand out to your customers with more than just the occasional holiday discount.

     

    Marsello marketing calendar with halloween promotions scheduled.
     

    Using email templates to quickly create eye-catching campaigns

    Creating a campaign with the Marketing Calendar feature takes a few clicks; and with the holiday season fast approaching, there’s plenty of campaign ideas and themes to keep you busy. Because of this, we’ve gone ahead and added several BFCM email campaigns to your templates library. These templates are designed to enable you to quickly get started with an email campaign without the added stress of wondering what to include in your email content or planning designs.

    So, how do you add a template to your campaign? 

    Once you’ve clicked on your desired campaign date within your Marketing Calendar, the rest is easy!

    1. Select ‘Email campaign’ as the campaign type that you’d like to create.

    2. Then opt to ‘start from template’. 

    3. Select the template you feel best represents your brand and the ‘feel’ of your promotion. 

    And from here, it’s just some simple customization steps to ensure your desired template fits your brand and your campaign goals:

    1. Add your store logo

    2. Update header image links to your store

    3. Add a discount and any terms

    4. Customize your copy/text

    5. Drag in product recommendations or showcase specific products

    6. Add your social media links at the bottom

    Let’s dig a little deeper and get into why the Marketing Calendar is useful to you. 

     

    Why is a Marketing Calendar useful?

    Not only does a Marketing Calendar make it simple for you to plan, create and send new campaigns, it is also an important tool for tracking the success of your past marketing campaigns, how often you’re communicating with customers, and what your scheduled marketing strategy is for the coming month(s) (and as the holiday season is fast-approaching, hopefully, it’s starting to look more and more planned). Let’s break each of these points down a little.

    • Tracking your marketing success:
      What are the goals of your campaigns? To increase your revenue and sales (conversion rates), to promote your store (open rates), or to push your loyalty program (engagement)? Maybe you’ve released a new collection of products or you’re announcing a sale. By combining your marketing calendar (with clear send dates) you can easily compare the success of each campaign to your insights over the days that follow from when you sent the campaign and deduce if that campaign had a remarkable impact on your revenue or other goals.
    • Frequency of communication:
      If you’re emailing your customers every day and seeing low open rates, low engagement rates, and, as would be expected, low conversion rates, then perhaps you could switch up the frequency and consistency of your messaging and try contacting customers every other day, or weekly. The Marketing Calendar gives you a visual overview of what you’re currently doing, making it easy for you to adjust your strategies. Whether you could contact customers a little more often, a little less often, adjust your campaign designs or content, or could possibly look at including more personalization, the Marketing Calendar will make it easier for you to make these decisions and monitor their results.
    • Scheduling marketing for the coming weeks:
      As we’ve covered, the calendar makes it easy for you to add whatever type of campaign suits your current and ongoing marketing strategy. With the holiday season approaching, this is the perfect time to look at your scheduled marketing campaigns and decide if you need to be contacting customers earlier, creating promotions, boosting campaigns, or even dialing your marketing efforts back so your customers know that when they hear from you, it’s going to be undeniably good.

     

    Final Words

    Whether you’re just getting started, or you’re running a well-oiled marketing machine, the Marketing Calendar is an easy and effective way for you to track your campaign marketing efforts, create new campaigns, and plan for events such as the holiday season. 

    With just a few clicks you can create new email, SMS, or points campaigns and track their success with ease. The month-by-month visualization of your marketing (which is also adjustable to a daily or weekly view) will help you to see how often you’re sending different campaign types and make it easy for you to plan future campaigns. Get a head start on your holiday marketing and start creating campaigns from the new Marketing Calendar.

     

    Learn more about campaigns

    How to Use Product Recommendations for Shopify POS!

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    Using Product Recommendations (by Marsello) with your Shopify POS is an easy way to master cross-selling, up-selling, and smart marketing.

    Personalized product recommendations are a powerful marketing tool that is capable of increasing sales conversions by 10-30%. With data-driven AI that compares the customer’s data to shoppers like them, Product Recommendations make it easy for your staff to cross-sell and up-sell products that your customers will love.

    In a recent study published by cmo.com, 66% of participants said that campaign content that didn’t have a personalized element (like personalized product recommendations) would discourage them from making a purchase. And the same goes for in-store! Being able to recommend products to your customers that they’re likely to enjoy is a valuable sales skill; combine that with the customers’ shopping data and you’ve got a winning recipe for increased sales both in-store and online. And with Marsello’s Product Recommendations feature built for Shopify POS, mastering the cross-sell is as personally accurate to each customer as it is simple to use. 

    Marsello's AI looks at the products added to the sale when a customer has come to purchase items. The AI instantly populates recommendations based on what similar customers have frequently bought in conjunction with the same products your customer is buying. Combined with Marsello's all-in-one marketing app, you'll be able to increase repeat purchase rates with a custom loyalty program that runs on auto-pilot on Shopify POS and eCommerce, as well as drive sales with product recommendations in POS, email marketing, and more.

    Curious how Product Recommendations can work in-store? Let’s take a look!

     

    How to Use Product Recommendations for Shopify POS


    So how does it work in-store? When a customer is ready to make a purchase, you simply need to add their products to your Shopify POS as you would normally. Once the items are added, you’re free to start recommending similar products. And it’s so easy! Just watch the short video below to learn how!

     

    A GIF that showcases Marsello’s Product Recommendations for Shopify POS in action. The window is of a Shopify POS tablet screen with the step-by-step process of using Marsello’s Product Recommendations once a sale is almost through check-out.


    As you can see, you simply need to select the tab titled “Marsello | Loyalty Marketing” and then you’ll see a list of recommended products that can easily be added to the sale if your customer is interested. For more information on getting Product Recommendations for Shopify POS set up in your store, check out our Help Centre article that breaks down all the necessary steps.

     

    Why Product Recommendations?


    Although we see them all the time with email marketing, Marsello’s Product Recommendations for Shopify POS is a groundbreaking feature that you’ll find nowhere else! It’s vital that retailers are able to give customers valuable intel into the products on offer that they may not otherwise know about, and Product Recommendations makes this simple while also being informed by real-time shopping data.

    We know from countless studies that adding personalization such as recommending stock and encouraging sales with promotional offers can not only increase sales conversions, but also increase click rates, open rates, customer referral rates, and order values! Now, let’s translate that to in-store behaviors!

    Look at click rates and open rates as an increase in the number of customers who are visiting your store time and time again, browsing your products, and maybe even bringing their friends with them. If your staff are able to up the customer-service-ante by effortlessly recommending products to customers that they’ll actually enjoy, your customers aren’t just going to feel like you’re pushing products on them, instead, they will feel seen, catered to, and appreciated. 

    As our friends at Shopify put it, “effective cross-selling techniques can improve revenue per customer by 65% or more, and 80% of buyers prefer to buy from brands that personalize the purchase experience”. Read more here.

     

    Final Words


    Whether you’re looking to up-sell or cross-sell your products, or you want to shift old stock and increase customer loyalty, Product Recommendations for Shopify POS will help you to not only meet your sales goals but also satisfy your customers and grow your business. And it’s so easy to use!

    With Marsello’s AI, Product recommendations are a powerful, data-driven tool that any brick-and-mortar or omnichannel retailer should add to their business. The best part? Marsello’s AI Product recommendations gets smarter and smarter with every purchase! If you’d like to get started, check out our Help Center article to learn how to add Product Recommendations to your Shopify POS.

    Check out our wide range of features and upgrade for complete access to Marsello’s features.

    If you’d like to learn more about the all-new Shopify POS, please sign up here.

     

    LEARN MOREGET MARSELLO

    Fellow NZ-Based Company, Goody, Joins the Marsello Family

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    We’re officially welcoming fellow New Zealand-based Goody to the Marsello family. Read on to learn what this acquisition means for Marsello.

    Marsello's logo alongside the Goody logo

     

    Today, we’re officially welcoming fellow New Zealand-based Goody to the Marsello family. Goody is a loyalty platform and CRM solution used by hundreds of businesses and over 1.2 million members.

     

    As teams, we both believe small-to-medium enterprise (SME) business owners deserve a loyalty and marketing solution that generates real, revenue-based results. Results that are accurately attributable to the marketing you run. The only way that’s possible is with quality integrations with POS and eCommerce that link the sale to the customer and the marketing they receive.  

     

    Combining Marsello with Goody puts us in a great position to bring everything we’ve learned to a broader New Zealand market and to new sectors, like hospitality. Together, we’ll be able to help more New Zealand and hospitality businesses get more sales and better results from their marketing.

    Read more on the acquisition in articles from the following publications:

    We’re excited about what lies ahead as we bring our teams and our products together.

     

    Marsello’s CEO’s stand with Goody’s CEO in front of a lead window and brick pillars.

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