My prior post talked about the value of customer data. Your next question will naturally be, “so how do I leverage what I know about my customers to my advantage?” There are many ways to transform insights into increased market share. The lists below are examples but by no means the only things you can do. However, I would suggest that you see your customer data and its application as a source of intellectual property, something to be guarded and leveraged wisely.
It can enable you to increase revenue by:
- Identifying those likely to buy in the near term
- Separating those customers who need an offer to get them to buy versus those who would buy regardless
- Determining the right accessories or ancillary purchases to promote based on a customer’s purchase
- Highlighting the “next best” products based on your customers’ purchase patterns
It will also help you retain your customers by:
- Understanding the customer journey and the experiences that matter
- Identifying those likely to defect
- Ranking your customers by their lifetime value so you can reward your best customers
Lastly, it can also help you reduce your costs by:
- Enabling you to conquest smartly, targeting those that look like your best customers
- Determining the best conquest sources and communications
Are you leveraging your customers’ data to increase your market share?