What Is Lifecycle Marketing?
Lifecycle marketing is the process of engaging customers at every stage of their journey. On mobile, the customer journey includes onboarding, engagement, conversion, reactivation, and loyalty.
How Does Lifecycle Marketing Work?
Lifecycle marketing involves different strategies applicable to various stages in the customer journey to ensure that customers are not only acquired, but also converting frequently and re-engaging with the app over a long period of time. To get real lifetime value from each and every customer, marketers should treat users individually from the point of app download.
For example, during the onboarding process, app teams can take customers through a concise tutorial to explain app features. Once they have signed up, you can begin delivering personalized content. This can be as simple as addressing users by their first name with push notifications. Studies have shown that new visitor conversions can increase by 18 percent in just two weeks when marketers engage in personalization.
After acquiring a sufficient amount of data, like a user’s age, gender, location, behavioral habits, and more, marketers can then set up mobile marketing automation. Leanplum’s integrated analytics platform creates segments from user profiles based on the above-mentioned data. For example, a segment might consist of people who convert in the early mornings. This enables marketers to program their app to send out messages, such as push notifications or emails, which are specifically designed for a certain user profile. This helps save time and increase conversion rates.
Later on in the lifecycle journey, data may show that some users have not engaged or converted in a long time, whether from deleting the app or simply not opening it again after downloading. This stage is known as re-engagement. Marketers can, once again, set up automated notifications to target these users and capture their attention. For example, a notification from a flight finder app may alert a dormant user to sales on a popular route which they previously browsed. This unpauses the customer journey and ensures the person returns to carry on converting.
What Does Lifecycle Marketing Mean For Marketers?
For marketers, the value of customer retention is fast outpacing the value of customer acquisition. As the app marketplace continues to grow more competitive, customer acquisition becomes more expensive. Marketers are beginning to learn that it is a far better return on investment to acquire one lifetime customer than 10 dormant users.
Furthermore, marketers can use the data they have acquired from their active users to make future improvements to their mobile apps. Strategies such as A/B testing offer marketers the chance to give users two different versions of the same content, which in turn demonstrates what their audiences prefer and helps them edit the app accordingly. By engaging customers, marketers can save time, acquire more active users, and reap the benefits of increased return on investment.
To make the most of every customer moment from onboarding to re-engaging users, check out Leanplum’s Definitive Guide to Mobile Lifecycle Marketing.