The competition in the eCommerce industry is increasing every day. No matter what your store sells, there’s always at least ten others offering similar products – sometimes, at better deals than yours! These stores are targeting not just the same market as you, but also pulling your existing customers away with appealing deals and maybe even a wider product range. So how do you stop your customers from walking away to a competitor? By putting Shopify analytics to work.
Online shoppers loyal to your brand, usually known as VIP customers, account for 65% of your business. In fact, these customers spend between 12-18% more per year than one-time shoppers. But, this boost in spending is only possible with the right motivation at the right time.
But how do you identify these customers? And how do you know what makes them want to buy more from your Shopify store?
The answers lie in your data.
There’s no other way to know who your VIP customers are and how to engage them, except by digging deep into Shopify customer analytics.
Identifying your VIP customers with Shopify analytics
1. Analyze the different consumer purchase behavior
Some shoppers are continually seeking discounts and deals. Some look for exclusivity and then there are those who make purchases based on what is trending in the market. Simply put, no two shoppers are the same. So, the first step to identify your VIP customers is to analyze the customer purchase behavior on your store.
Take a look into your data to understand how many visits does it take for a shopper to turn into a customer. See how they have been interacting with your store and what kind of information have they shared with your brand – have they subscribed to your newsletter, are they actively browsing products often?
Look into every single detail that helps you pinpoint what it takes to nudge them to add a product to the cart and complete the purchase.
2. Create customer segments based on interactions
Once you identify a few patterns across different consumers, use that data to create customer segments. These customer segments basically categorize consumers displaying similar purchase behavior into one group.
Say, for instance, shoppers who are actively adding products to their cart but not completing the purchase, get categorized under ‘cart abandoners’.
Similarly, those that have been avoiding your sales and buying products only at their full price, get categorized under ‘full-price customers’. The same goes for first-purchase customers, big spenders, frequent refunders and more.
Now aggregating this data from Google Analytics, your store and marketing apps can be tedious. Trying to identify a pattern in that data on your own can be overwhelming. That’s where using Shopify analytics apps like RevTap comes into play.
The Shopify analytics app plugs into your marketing apps, store, and Google Analytics, pulling all the data onto one dashboard. It then analyzes this data to create customer segments based on purchase behavior analysis, along with in-depth individual customer reports.
With 24+ unique customer segments, you can identify who your VIP customers are. These are consumers who:
- Made repeat purchases
- Buy products on full-price
- Have a high average order value
- Are big-ticket spenders
These consumers clearly see value in what your Shopify store has to offer. All you need to do is keep them engaged and continually improve the shopping experience your brand offers to them.
So how do you do that?
Engaging your VIP customers using Shopify analytics
Now that you know who your VIP customers are, what motivates them to make purchases and how they choose to interact with your store, the next step is to use this information to keep them engaged with your brand.
Your Shopify store’s analytics is an untapped opportunity to grow your sales. Make your data work for you. Give RevTap a spin!
Here are a few tactics that you can use to engage the VIP customer segments, increasing customer engagement and driving more repeat purchases:
1. Personalize your weekly newsletters to match their interests
Most Shopify stores send out a standard email to all their shoppers, highlighting new products or promoting the latest deals. We’re not saying that the strategy does not work. But, how does it make your VIP customer feel any special?
Using customer segments, you can create personalized weekly newsletters for these shoppers. These newsletters will be personalized to what the customer likes and has shown interest in, rather than just generic product promotion.
For instance, if they’re big spenders, use the space to promote your exclusive range of products. If they’ve had a higher average order value over time, offer them an exclusive discount on the next purchase. You can also use cross-sell to show complementary products to shoppers who bought from a specific collection.
2. Promote your loyalty program to them
VIP customers are those that already trust your brand. They have been choosing to purchase from your store instead of getting distracted by deals offered by others. So why not use their trust to create a community that gives them benefits for being loyal to your Shopify brand?
Promote your customer loyalty program to VIP customer segments. Let them know what rewards they get every time they purchase from your store. Be it the store credits they earn or in-store cash that can redeem in the next purchases, make sure you’re offering a win-win deal to them.
According to a study by Invesp, 83% of consumers said that loyalty programs make them more likely to continue doing business with the same brand. Apps like Smile.io and LoyaltyLion allow you to set up tiered rewards for customer activity.
3. Offer exclusive or early access to products
The one way to keep your VIP customers hooked to your brand, is to make them feel special and you don’t need to do much.
If you’re launching a new product line, offer these customers a sneak peek into the range. Give them the option to pre-book orders before others see the products and get them delivered faster.
Similarly, if you have an exclusive range of products, you could promote them first to the VIP customer segments – they’re more likely to convert on them based on their previous purchase behavior.
4. Ask your VIP customers for feedback and review
Another way to make your customers feel important is to ask them about their experience. Be it via a post-purchase email, web push notification or a Messenger follow-up, remember to request feedback on the product they have purchased. This will help you identify the negative experiences that the customer may have faced and find solutions that promise them a better experience next time.
A simple email template like this one goes a long way:
You should also take this opportunity to encourage these customers to drop product reviews and ratings. This helps you build social proof to display across your store and turn more online shoppers into customers.
But remember, if you’re asking for feedback, make sure you’re doing your best to also resolve any issues that they may be stated. Your consumer is sure to check back and you should deliver satisfaction!
5. Request customer referrals
The best way to advertise or promote your Shopify store in a competitive market is with word of mouth promotions, and it’s easier than you thought!
One happy customer is likely to send out an average of nine referrals for a brand. Your VIP customer segments are shoppers who are clearly happy with what your brand has to offer, the products, the deals, and the overall experience.
But instead of waiting on them to refer your brand to others on their own, nudge the referral out of them. First, ask them for feedback and if that’s positive, follow it up with a referral request asking them to recommend your brand in their network.
To get maximum participation, set up a referral program. Let them know what they get in terms of value when they recommend your brand to another shopper. The more value you add, the more likely they are to participate actively. This can be a $20 discount on their next order or loyalty points which can be added up and redeemed later.
You could even combine your feedback request email with your referral request like Casper does here in their email marketing campaign:
6. Tailor your retargeting and remarketing campaigns
Take a look at who your VIP customers are and what motivates them to make purchases. Now deep dive into the retargeting and remarketing campaigns that you have set up across social media to bring these shoppers back.
Most stores simply remind the shopper of the products they browsed or left behind in the cart. But you know the shoppers you’re retargeting have a higher probability of conversion. Why not tailor your campaign messaging as well?
Use the customer segments derived from Shopify analytics to personalize your retargeting and remarketing campaigns. Instead of just using the channels to send reminders, add a messaging that speaks to each of your VIP customer segments. Test out different messaging and look into your analytics to see which copy resonates better and brings higher purchases.
For instance, let’s look at a retargeting campaign for big-ticket shoppers. Make sure your retargeting and remarketing campaigns highlight how the product they showed interest in is exclusive or limited-edition. This will help you create FOMO in the customer segment, leading to higher conversions and an increase in sales. Test this strategy out with another campaign for the same customer segment that talks about a new product and its features. Compare and see which strategy yields better results.
Is engaging your VIP customer segment really important?
Think about it this way.
You see a shopper step into your brick and mortar store. You do possibly everything to ensure they find the product they’re looking for. In fact, you even turn them into a customer at their first visit.
The experience leads this shopper back to your store a second time. At this point, the shopper knows about your brand, what it offers and what they can expect from it. So anything less than that will lead them to a competing store next to you.
Now would you just stand there and let this shopper who already loves your brand walk away, just because you’re too focused on trying to appeal to a new customer who might not even make a purchase? The answer is no.
That’s why it is important for stores to focus on using Shopify analytics to identify their VIP customers in a timely manner.
Knowing what makes them choose your brand and what motivates them to make a purchase from your store is your chance to ensure a great shopping experience every time – one that they cannot walk away from!
Ready to increase your repeat sales and revenue?
Identify who your VIP customers are with RevTap Shopify analytics.