With rising ad costs, increased user privacy regulations, and more easily-available distractions than ever (...not to mention a lil' recession thrown in there to spice things up 🙄), the ROI on ad spend is plummeting.
It's clear that, in 2023, marketers need to find ways to engage and upsell their current users to keep their businesses profitable.
But how we to this is quite another story...
When tasked with "awakening" or "re-activating" dormant customers, most marketers fall back on a few strategies:
✂ Cut audiences down further into more and more segments, which is quite a laborious process and, at some point, becomes futile and impossible to manage, or
💸 Discounts. (Which cut directly into your profits 🤦♂️)
....but there is another way:
You learn what worked for other, similar people, and apply the same things to help convert the individual in question.
💡Here's what we do at Aampe. 👇
1. We look at what your "Goal events" are
Add to cart? Add to wishlist? App visits? What, specifically, are you trying to get people to do?
2. We "cluster" users based on what traits they share with other users
...based on their *actions*, not pointless things like superficial demographics.
(This might include things like what times they interact with your app or the types of products they look at or have bought...It could even be as specific as which products they've added to a cart and then removed — whatever's the most relevant for your desired goal.
Note: our model does this at an individual user level, not a traditional "segment.")
3. Then, we look at what paths other similar users have followed to reach your desired goal
Maybe there's a product or offering that similar users have been really interested in, or perhaps it is a special incentive or feature of your app that has a reasonably high success rate.
4. Then, our model applies that treatment, presenting your "inactive" user with the options and incentives that have worked for your other users
...being mindful of your individual user's preferences for messaging timing, tone, frequency, etc.
5. We learn. We adjust.
🎮 A gaming app we work with had campaigns that de-prioritized users they defined as Lurking or Inactive.
We helped them set up several new message streams, specifically for those users, and using this approach, they saw a:
📈 31% increase in conversions and 69% increase in games played from lurking users
📈 81% increase in conversions and 63% increase in games played from Inactive users
With the way the market is going and the fact that the majority of app users are "freemium" or non-paying, 2023 is going to be the year of user reactivation.
So, how are you waking up your sleeping customers? 😴
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