Tips for Online Retailers to Gain and Retain Customers Over the Holidays

E-commerce holiday season sales are projected to tally around $62 billion this year. There’s an enormous opportunity for online retailers big and small to capitalize on this prime shopping time, not only to generate sales now, but also to set up repeat business for the future. We offer the following tips to help retail marketers beat the competition and keep the new customers that they earn over the holiday season.

Offer free shipping – Consumers love free shipping and, according to new ecommerce research, they’re twice as likely to make a purchase if offered free shipping than if offered a percentage-off price. With Amazon raising its free-shipping minimum to $35 this year, there’s an opportunity for smaller retailers to compete with even better free shipping deals.

Read more: New Research Uncovers Which Email Promotions Generate the Most Revenue for Online Retailers

Don’t overlook the subject lines – Don’t underestimate the value of a good subject line in an email marketing campaign. It’s nearly as important as the offer itself. Pick a subject line that’s creative, yet professional. Don’t include an obvious sales pitch and stay away from words like ‘buy’ and ‘free.’ Make sure it doesn’t contain any words that would be considered spam. Do an A/B split campaign to test the effectiveness of a subject line before using it broadly.

Read more: The increasing use of emails as a marketing strategy

Give shoppers a sneak peek – Reward existing customers by giving them a sneak peek of a sale or promotion ahead of time. This will make them feel valued, while also planting a seed in their mind for future sales. Send a sneak peek three to seven days before the sale and consider including a promo code or special offer to move it over the goal line.

Include Gmail Promotions tab reminders – Gmail recently launched a new tabbed interface that funnels emails into various folders depending on their content. Marketing emails are automatically sent to a Promotions folder where they can be easily overlooked. Online retailers should remind customers to regularly check their Promotions tab to ensure they don’t miss any killer offers. It could mean the difference between a missed email and a sale.

Start with simple segmentation – One-size-fits-all offers are ineffective and usually wasteful. To drive sales, retailers must personalize, which calls for understanding their customers and behavior. Retailers lacking the resources to determine real-time purchasing intent can use less sophisticated measures to establish their offer strategy. Online retailers can segment customers simply by analyzing their past purchase history (amount spent, if they bought based on a certain offer, etc.), and use that data to identify the level of discount needed to convert.

Read more: How A/B Testing Different E-mail Offers Can Significantly Improve Your E-mail Marketing Campaigns

Gather the “right” data – Not all customer data is good data. Some just serves to clutter the process. Online retailers need to make sure they are culling the “right” data that helps them customize future messaging, deals and product promotions. Focus mainly on behavioral data like frequency of site visits, product page views and length of time on site. Google Analytics and Tag Manager are good inexpensive tools to gather data, and Retention Science can leverage the data to create personalized campaigns. Plan post-holiday campaigns – It costs less to retain than to acquire customers, and repeat customers tend to spend more. All too often, marketers fall short in their marketing plan and lose all of the customers they fought to gain over the holidays. Now is the time to start working on a post-holiday campaign strategy. Start creating campaigns early, leveraging the data collected over the holidays to personalize offers for new customers in January.

Read more: Identifying Time of Send Can Help Re-Engage Lost Shoppers

“Marketers invest a massive amount to acquire new customers in November and December, and then drop the ball in January when it comes to re-engaging the customers that they’ve earned,” said Jerry Jao, CEO of Retention Science. “Customer retention is king in the competitive retail industry and should be a part of every company’s strategic marketing planning process.”


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