Customer Lifecycle

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The starting point for a Customer Intelligence approach is the advance analysis of the transactional data that results from customer interactions and points of contact throughout the entire Customer Lifecycle.

The Lifecycle analysis of the Customers of a particular Brand, provides an in-depth knowledge and their segregation in terms of those that have a recent connection, a first experience with the Brand in the last few months, from those that are more loyal and have a relationship with the Brand for several years.

Monitoring the key metrics of the different types of consumers, throughout the lifecycle, will be an essential tool of business control and for making decisions regarding investment optimization in the acquisition of new Customers, retention of the less loyal ones and reactivation of those that in the meantime became inactive.

Customer Lifecycle

What are the stages of the Customer Lifecycle?

What are the stages of the Customer Lifecycle?

These are very different Customers in terms of metrics and behaviors, which require the Brands to use differentiated strategies. The detailed knowledge of the profile of a new, retained or reactivated Customer provides actionable insights to support the definition of improved omnichannel strategies in terms of Customer management.

Organizations want to know the profile of new Customers because these are the ones that drive the Brand’s success. On the other hand, retained Customers are the Brand’s essence: it is critical to know who are the best customers in terms of consumption, to know their purchase profile, what type of products they buy, if they have any behavior pattern, and what are the products they usually buy together or in sequence.

Benefits of knowing the Customer Lifecycle

With Customer Intelligence it is possible to activate several strategies within the scope of the Customer Lifecycle:

Qualify the sources and leads with more likely to convert to the Brand, leading to an optimization of the investment in new Customers and also releasing relevant information for negotiations with the media;

Fine tune the strategy for acquiring new Customers, defining the ideal profile, thus calibrating communication, window dressing, leaflet and website layout or in-store product display, outlining geographic areas of operation, etc.;

Identify the preferred stores of the most loyal Customers, in terms of metrics, preferences, consumption and behavior, providing insights that act as the model for the improved management of the remaining stores;

Support reactivation strategies of inactive Customers; identify inactive clusters with homogeneous behaviors and profiles, showing a higher likelihood of reactivation; and exclude segments that were never engaged with the Brand increasing the ROI of this type of actions.

Benefits of knowing the Customer Lifecycle

Customer Migration

Customer Migration

As soon as Brands manage to identify their new, retained and reactivated customers, they will be able to generate more value for the organization, provided that they monitor and track Customer Migration dynamics, i.e., the movements that take place between the different segments.

To learn which New Customers have become loyal and what their profile and behavior is, allows to increase conversion; to anticipate when a customer is turning from active to inactive, knowing the drivers of such lesser engagement, and acting in the active segments of higher risk, will boost retention.

Managing the dynamics of Customer Migration and of churn, as well as preventing it, is a critical business management tools, allowing to retain those that matter most for revenue purposes.

We make an advance analysis of the Lifecycle; Metrics per Customer;
Monitoring and tracking of Customer Migration dynamics.
To define the best strategies for your Company, talk to us.