Vice president of e-commerce at Hugo Boss, Anthony Milano shares unmissable information on how you should differentiate customers and what they are expecting from you based on the data you’re already collecting from them.
The cost of acquiring a new customer can be up to five to 25 times more expensive than retaining an existing one. To keep your competitive edge, you’ll need to correctly interpret the data you’ve already collected from your consumers.
If you don’t sift the data for insights, you could end up alienating or pushing customers away from your e-commerce retail business and straight towards your competitors. Anthony Milano, vice president of e-commerce for Hugo Boss, offers some advice on how to interpret your customer data sets to ensure you keep meeting their expectations.
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AgilOne founder Omer Artun says: “The basic concept of what we’re doing is not new. People have been talking about customer relationship management and one-to-one marketing for many, many years.” However, there is now more information available, which allows you to use it in a more focused strategy.
Here are three strategies from Hugo Boss’ Anthony Milano on how to enhance your high-engagement, personalised promotional campaigns:
Strategy 1: Create a genuine (Cloud-powered) connection
The more retailers create customised content, the more customers will continue to expect it. On the other hand, customers now expect a deeper relationship with their brands of choice, as customisation has become commonplace in most product categories. Customer relationship management systems enable your e-commerce retail business to develop genuine, personalised content, with real-time hype targeting their preferred channels like Facebook or Twitter – and even Instagram.
“If you want to process the data in real-time and if you want to make it available in ways your mobile application provider can use, this thing needs to live in a live, superfast environment in the Cloud. There’s no way to bring all this data into your own data centre and process it overnight,” explains Milano.
If you’re still using on-site data storage infrastructure solutions, since the start-up days, it might be time to consider moving into the ‘sky’. Cloud is considered to be more cost-effective than opting for hardware upgrades, and as Milano says, it can enable your services providers to have secure access to all your data – in real-time – no matter where in the world it needs to be accessed from.
Strategy 2: Capture high-quality clients that spend
Milano says: “We get the newest entrants to the database, people who make the first purchase and become a customer, during high-traffic sale periods, whether online or in the stores. But, [through data] we learned that our higher-lifetime-value customer joins the database during a full-price period. Rather than focusing our acquisition efforts on capturing the most clients [during sales], we can focus on capturing more high-quality clients.”
You want customers who buy from you even when you aren’t having sales. These are your higher-quality repeat customers and you should give them focused attention to ensure you keep them happy and engaged with your e-commerce store. If you glean through your data carefully, and identify those customers that keep coming back whether there’s a sale or not, you can target them – win their cash and grow your revenue.
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Strategy 3: Ensure your campaigns are causing ‘lift’
“We all have these campaigns we want to produce, and now that we have better data I would say, to anyone, prove that what you’re doing is important, and that it actually provides some kind of lift. Once you’re really looking at the data, you’d be surprised to see how many resources are put toward things that don’t have the lift they are assumed to have,” explains Milano.
You need to ensure your resources have an impact on your customers. You can test this by analysing the data before and after you’ve implemented any campaigns. Data-driven marketing technology has become a necessity for retailers. Your customers are expecting contextual and emotionally intelligent correspondences that take their preferences, wants and needs into account. So, start using data to your advantage today.
- Develop genuine, personalised content, with real-time hype targeting your customers preferred channels.
- Higher-lifetime-value customers join the database during a full-price period. Rather than focusing acquisition efforts on capturing the most clients, you can focus on capturing more high-quality clients.
- “Ensure your resources are put toward things that give your business lift” – Hugo Boss e-commerce VP says.