– Do you know, what is the biggest problem of e-commerce store owners is? Hi, this is Andriy, the founder of Flowium email marketing agency, as well as this YouTube channel. Today, I would like to talk about the biggest problem online and offline retailers have. So let’s talk about online first and actually only about online, so e-commerce. The problem is you working hard attracting that customer and they buy from you, first time, and then they do not buy again. This is biggest problem of all retailers, again, online or offline. How can you tackle this problem and what you can do. Before we continue with the video, I have a short announcement to make. We are growing and we have a few spots available for new clients. And I would like to tell you about our partner program, Give $1,000, Get $1,000. How does this work? If you know anybody in your network who are e-commerce brand online retailers, please refer them to us and easily sign up with us. You will get $1,000 and they will get $1,000 discount toward their credit, or if you are an e-commerce brand and you would like to work with us, we’ll give you $2,000 towards your first month of the retainer. Just visit flowium.com/partner and see the details of our partner program and we have a template there, email templates, which you can send it to your friend or somebody you know in e-commerce space. And recently I was shopping with my wife. And we went to a mall and our kids need some jamas are closing. So we want to kids, Gap Kids. And we were purchase clothes for like hundred something dollars. And the cashier gave us the coupon, which says Gap Cash $50. Does not give me any discount, any promotions. They’re giving you $50 cash, but not like real cash was like in terms of dollars, but they’re like Gap Cash, which is very cool. And it caught my attention as a customer, as well as a marketer. So I start to study what they do here. And as you can see, it says, “Just spent $125 or more.” And they specify when to use this. So there’s like one week to use it. So what does it do? This strategy calls, Bounce-Back. You can read more about Bounce-Back strategy, in greater detail on Klaviyo website. They have like cool description of why and how does it work. So how does it work and why do you need it? The first time buyer and their first purchase might not be profitable for you. Maybe you lose money or you break even because you spent a lot on attracting that client. Plus you have overhead, cost of goods and so forth. So that client let’s assume it’s at zero. So at the end of the day, you break even and you’re at zero. This probably is the best case scenario because many, many everyday alerts are negative on the first purchase. What they did do, they do Bounce-Back strategies. They’re giving me $50 and telling me, “Hey, you have to come back between this and that day, spend $125.” So, first of all, I’m becoming second time buyer. Second, my customer lifetime value increases and they incentivize me with this $50. So like, oh, I need to spend $125 to get 50. So theoretically I will spend only $75. And that second purchase is a hundred percent profitable for them. And $50 it’s a lot of money. It’s not $5 or $10. So it’s just not like you can just like, ah, I don’t care. But $50 is a lot of money. So they use this strategy and I bet it effective. I’m not able to get Gap’s data, like how effective it is, but we use this in email marketing as well, the flow call Bounce-Back and we implement it. And it’s very, very profitable for customers. Online, the strategy is a little bit different, little bit different by, in terms of time. So instead of waiting while we go two weeks and telling them like, “Hey, here’s $50 off to spend.” We send them like 15 minutes later after their first purchase. I know, I know, I know you think is like, are you crazy as they just purchase from us? Do you want to offer them something else? Yes, we do. If we follow the strategies that I just mentioned, Bounce-Back email campaign strategy and timing. And we tested 15 minutes, we tested 30 minutes. Like so far, 15 minutes is the best. What worked for us. And we giving them that offer only for 60 minutes. And it works like a charm. Like first of all, it converts one time buyer to two time buyers. It add extra revenue to the order. Everybody’s happy and the study shows that customer is more likely to buy from you second time, at the first day of their purchase. I know it sounds crazy, but it is a fact. Even remember yourself when you buy something. Your first time from specific brand or company, how excited are you with the purchase? Let’s say like, just give you an example for myself. I’m customer of Magic Spoon, is like cereal. They have a lot of protein. I start taking care of my body, so I care about how much protein I eat, but I like sweets as well. So that’s why I order Magic Spoon cereal because they have high protein and they sweet. When I purchase it and it’s like, oh, I’m like excited. Like I want to know how it tastes and so forth. And they send me another offer like, “Hey, for an additional $19 add two more boxes.” I’m like, it’s not a lot. It’s much cheaper. Like, so why I don’t want to like additional two boxes and it was different kind of flavor. And I did. I’m marketer, we’d use this strategy for others and I know they use on me, but it’s works. It’s works, even like when I realized that it’s not a trick. So this is one of those strategy, how you can convert one time buyers to two time buyers and how you can increase customer lifetime value. In case you have any additional questions, please leave them below under this video. And also, if you are new to this channel, please subscribe. It helps us tremendously. And also if you have any other ideas, how to convert one time buyers to two time buyers, please leave those comments below under this video, so I would like to learn from you as well. So see you next Thursday. Thank you, bye.
In this video, Andriy is going to be discussing the biggest problem e-commerce sellers face. It is so hard to attract customers and especially your target audience. It is so important to get returning buyers and keep them. Big businesses and brands always have returning buyers because they have a huge budget for marketing and especially email marketing, with lots of offers and exclusives. It is important that you are offering incentives for them to return, this could be a loyalty card or a discount code. Another great way is referrals to their friends and families. You will learn about the bounce back strategy in this video and how you can start implementing this for your business. When is the right time to send the first email and offer discounts? All of that and more answered in this video, stayed tuned till the end 🙂