The desire to shift consumer behaviour has evolved from blast market tactics to campaign orchestras. The bass instruments the analysis of behaviour, the strings persona segmentation. Every campaign medium working together to accelerate buying behaviour, extend customer lifetime value and nail those sales targets.
1. Shift Consumer Behaviour By Creating Loyalty
An analysis of 2,000 businesses found loyal customers drove 80% of Revenue.²
Why? It’s because they trust the brand. In fact, Loyal customers spend 10x more!² Research has shown us it costs 5-7 times more to acquire new customers than to drive an additional visit from a loyal one¹. For many businesses these customers’ purchases can amount to about 20% of sales, but that those sales end up stacking up to around 80% of revenue!²
It means marketing teams like our’s are pursuing a healthy dose of analysis in the pursuit of building these loyal customer bases. We start with digesting anonymous data and segmenting purchase behaviour.
2. Use Data To Identify Behaviour Patterns
Pinpointing what drives the repeat purchases of your most loyal customers will help you recreate it.
Customers are quicker than ever to swap brands, yet the paradox is once a brand has won their trust, it’s easier for them to stick with it than brave the online smorgasbord of choice. So how have we won the trust of our loyal customers? Are there positive patterns we can apply to any identified segments that drop out? Consistent delivery times? Easy returns? Info-packed customer service? Are we as strong as our weakest link? We dig in, we find out.
3. Understand Consumer Personas and Make Your Brand Relatable
“We need to ‘get’ our target market, or risk brand scorn and end up with diced brand loyalty.”
Traditionally, so many marketing campaigns were based on blast tactics. But now, in an era where market saturation and social analytics has made personalisation an expectation, data teams working with marketers to knock out personable brand campaigns, works. We need to ‘get’ our target market, or risk brand scorn and end up with diced brand loyalty.
So we’re careful, we’re considered, we’re strategic.
4. Map The Customer Experience (CX)
What’s your CX average?
Hays recruitment released a report this May highlighting that one the biggest challenge for marketing directors is improving the customer experience.3A consistent experience supports the end goal of brand loyalty. And, there are easy ways to do it. My theory is Customer Experience is like a chocolate bar, it can taste good in the middle, you can feel guilty at the end, but whether the customer buys again will be based on the average between both points.
Customer Experience is like a chocolate bar, it can taste good in the middle, you can feel guilty at the end, but whether the customer buys again will be based on the average between both points.”
Making sure there’s more pleasure than pain throughout the customer journey is what we’re all about. Our clients use rewards to incentivise behaviour change. This can work particularly well if it’s to incentivise a change that could be viewed as a ‘pain in the butt’ like filling out forms. By using reward to encourage an action, suddenly it doesn’t seem so hard and the subconscious avoidance is shoved to the side.
Rewarding the behaviour we want is how we shift consumer behaviour.
5. Incentivise Purchase Behaviour
Cashback programs and reward cards integrate with Customer Experience.
Every marketer has seen the power of bait and wait. Every consumer has experienced it. Let’s say I’m surfing the net scouting out new washing machines… which let’s face it, I find to be quite a boring item to spend my money on. The Good Guys offer me cash-back incentive on a washer and dryer package. It makes me think I could spend that cash-back card on something I actually enjoy spending my money on, and the ‘freedom’ of choice sucks the pain out of my new investment. I feel like I’ve got a good deal and just the ‘feeling’ that I’ve found a good deal makes the products somehow, better.
6. Overcome Customer Pain Points
Use rewards to create a purchase experience worth repeating.
Behaviour marketing shifts consumer behaviour by changing perception at pain points. Give me something great at the point of purchase! Draw me in at the point of consideration! There, you got me. My money’s on the table. Your sales have gone up. Your boss sings your praise. You’re winning. I’m winning. The company’s winning.
7. Sweeten The Deal
Increasing revenue can be as simple as rewarding your customer for an action that leads to a sale.
Marketers spend so much time pursuing usability (UX), trying to streamline shopping carts, boost website conversion rates, create in-store upsells or evolving brand look n’ feel to make it more enticing. Sometimes, plugging in incentive to get over any purchase hoops is one of the simplest answers to secure the desired buying behaviour, speed up customer’s path-to-purchase and motivate repeat purchases.
Sweetening the customer experience boosts the average. The better the average of my engagement with the brand, the more I trust it. That trust is the loyalty that’s been found to deliver 80% of revenue for businesses.²
Pursuing loyalty shifts consumer behaviour and reduces attrition rates. It’s how we increase revenue for our clients and help solve one of the biggest problems for marketing directors – the improvement of customer experience.
Check out our case studies.
Our team designs behaviour marketing programs for clients like ANZ and Qantas.
Find out more about our Loyalty Programs.