Replenishment campaigns, also know as reorder or reminder emails, are one of the most effective and profitable types of marketing campaigns, yet many retailers aren’t sending these key campaigns to their customers. Numerous products have a natural lifecycle that require replenishment for continued usage. Capitalize on your products or services that have a regular replacement cycle by triggering emails to automatically remind your customers to repurchase just as the product supply is decreasing.
Using segmented customer data powered by our email marketing automation software, eCommerce retailers are able to understand the buying pattern of repeat customers and then have the ability to tailor re-marketing campaigns to each individual customer, automatically. Data-driven email marketing is proven to generate additional revenue and strengthen your customers’ lifecycles.
Our email marketing automation software provides retailers with predictive analytics, customer, product, and purchase data allowing them to leverage up to 70 custom email fields such as WC_Purchased_ReplenishDate to send automated replenishment email campaigns. With access to this data, retailers can send automatic product recommendations and replenishment campaigns using the following custom fields, WC_Predicted_OrderDate, WC_HotCombo_Title, and WC_RelatedItems, directly through any Email Service Provider (ESP).
Replenishment e-mails are a natural fit for eCommerce retailers offering consumable products to customers. Using custom email fields that our software provides a retailer, replenishment emails are triggered based on customer order history and the product cycle. On top of being great for repeat purchases and your customer LTV, product lifecycle replenishment campaigns are very helpful as reminders.
Step one: Identify Products
Using our Purchased_Category email field a retailer can determine which products benefit from replenishment email campaigns such as:
Consumable product categories include but are not limited to: Beauty, Cleaning, Vitamins, Office Supplies, Pet food, and Contact lenses. Triggered emails also work to encourage customers to shop for big-ticket items such as electronics, jewelry, designer apparel, furniture, and luggage. Consumable products will have a shorter cycle than big-ticket or highly seasonal items. Even though big-ticket items have different replenishment cycles, these buyers are still your customers regardless if a buying cycle is a week long or only occurs every 6 months. By tracking the rate of purchase for each customer, you can send a personally timed replenishment reminder to increase repeat sales.
Step two: Customers Buying Cycle
Successful email marketing campaigns send the right message to the right subscriber at the right time. Replenishment email campaigns powered by our automated customer retention software, are triggered by your customer’s buying cycle based on past purchase behavior.
When setting up automatic replenishment campaigns, retailers have two options: static order date and predicted order date. The static order date is based on the median number of days it normally takes customers to re-order a replenishable product (this field should be used if a customer has only purchased once). Predicted order date is a custom field, provided by Windsor Circle, based on the purchase behavior of each individual customer (any customer who has purchased 2 or more times will have a predicted order date for replenishable products).
One of our clients, CoffeeForLess.com, runs replenishment campaigns with open rates of 35%. The chart to the right shows the lifecycle for one of CoffeeForLess.com's customers.
As shown, after the second purchase, a static replenishment campaign is sent 7 days later (based on the median number of days for re-order for this product). If the customer does not make a purchase after this first email, they are sent a re-mail two days later. Once this customer makes their third purchase they start receiving emails based on their predicted order date, which shows this particular customer tends to buy coffee every 45 days.
The predicted order date is calculated using an algorithm that determines each individual customer's buying trends.
Step three: Identify a remarketing strategy
Using our customer retention analytic dashboard, retailers can measure the success of all running replenishment email campaigns, such as the one seen to the right, which can be easily formatted, tested, and scheduled within a retailer's existing ESP.
The key to continued success for an eCommerce business is to retain your current customers and build loyalty with the purchase as the foundation. Driving repeat sales is a key factor in determining the Customer Lifetime Value (CLV). The more customers come back, the higher their CTV. It's crucial for eCommerce retailers to include every opportunity to send data-driven emails that drive sales and retention.
Give confidence to the idea that you're not the only one benefiting from the B2C relationship with a data-driven replenishment campaign and get started with our automated email marketing campaign software today.