How to understand and leverage customer lifetime value to retain more customers

customer lifetime value

Maintaining long-term customer relationships needs to expand customer lifetime value and increase customer retention. Various factors can affect customer journey, so eCommerce merchants should identify what is required to improve and take appropriate action. Therefore, we are here to tell you the strategies to leverage customer lifetime value and enhance retention. Strategies To Strengthen Customer Lifetime Value And Customer Retention Enhance Shopping Experience The first factor that decides the length of a customer’s lifetime is the shopping experience. The customers shop at your store repeatedly if you can bring them a positive, expected, and smooth shopping experience. The eCommerce businesses should research customer pain points when shopping on their online store, and the following actions. The customers will focus on the products’ main features and functions, so you need to list all the product features that the customers usually look for, then they can easily find out the expected items in minutes.  Keep Customer Engaged Constantly communicating with customers is essential to keeping customers engaged and maintaining customer relationships. For instance, personalized email marketing is a practical approach to bring them the necessary information about your selling, products, etc. Suppose you are running eCommerce businesses on BigCommerce and Shopify platforms. You can utilize Atom8 to form customer segments based on shopping behaviors, and personalized emails to suitable recipients.  Customers usually spend a significant amount of time on social media, so eCommerce merchants can take advantage of this further marketing. It is also related to ad campaigns and product recommendations, requiring high personalization. Wholehearted Customer Service During customer journeys, they may face difficulties in the buying process, payment process, return policy, etc. Customer service should support them wholeheartedly to increase customer lifetime value and retention. Because your customer service staff can not be online 24/7, you may need to equip a chatbot with the pre-set answers for frequent questions. Then, when the customers have concerns about popular issues, they can receive instant helpful responses. Moreover, at the corner of your site, you can add the contact information of the customer service department or hotline to help customers ask for help when they need it. Utilize CRM systems Customer relationship management may need a supportive intervention of CRM systems. The CRM systems can provide information on customers’ behaviors and preferences and group them into suitable segments. Moreover, some CRM systems can give you an in-depth picture of customer health, and then you can know the at-risk ones to take appropriate action and retain them. Award Loyal Customers One of the most effective approaches to encourage customers to order more and keep the relationship with your business is to reward them. Based on the information from CRM systems, you can evaluate the level of membership based on customers’ lifetime and spending amount. The rewards can be discounts, freeship orders, unique gifts on special occasions, etc. Conclusion We hope you can apply our suggested methods to your customer management strategies to make customer lifetime value climb up. Furthermore, Atom8 could be the ideal choice for your businesses as it can retain your customers by automatical email marketing, and discounts applied. As a result, the customer journey can only end up in check out cart.

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