CONTEXT
WhatsApp is the most used communication channel for sending messages in LATAM. We all (yes, we all) use this platform as part of our daily lives when communicating with family and friends, but what happens when a brand wants to enter this universe? As a marketing channel, it assures us results as long as we develop an intelligent strategy. Otherwise, we will not only lose opportunities but we will also be blocked by Meta.
In today's success story, we tell you how a well-known clothing brand managed to make WhatsApp the perfect communication channel for commercial dates.
Why WhatsApp?
- Personalized immediacy in the brand-customer interaction
- Very high conversion and open rates
- Perfect for customer retention and development
To begin with, something we must know is that brands must carefully choose the audience for a communication by this medium. The customer must expect or at least value the offer received, and this strategy must focus on recurring customers. Therefore, customers of whom you already have information about their behavior and you can develop a valuable communication.
It iskey to differentiate and personalize campaigns based on:
- Whether they are an active or inactive customer
- How many times they bought in your business
- What is their average ticket
- Where they live
- What they bought
- What is their Lifetime Value
- What payment method they prefer
- What type of delivery they use
- Whether or not they use discounts
For example, if you have to communicate about free shipping in Buenos Aires, it does not make sense for that message to reach people who are not from the area, or people who do not use this type of delivery. Having an analysis and accurate segmentation is essential.
Luciano Panetta is the protagonist of this story. He is the Head of Digital Channels at FORUS Uruguay. In this role he is in charge of planning, directing and managing the company's online sales strategy. The company seeks to contribute to people's happiness, inspiring them to live in a healthier, more active and sustainable way, in every moment of their lives. For years the company has defined itself as Consumer Fanatic, a banner to which today they do justice.
CYBER MONDAY 2023
73% of the orders were from one-timers (first-time buyers)
27% of the orders were from recurring customers.
When Data4Sales analyzed last year's CIBER numbers, we detected the opportunity to invest more money in recurring customers, with the objective of increasing their participation and having them represent more in the company's turnover.
- They spend more - They trust the brand - We already have information - We can offer them what they need - On the other hand, we must lower the number of one-timers, saving money on acquiring customers. They spend more
- They trust the brand
- We already have information
- We can offer them what they need
On the other hand, we need to lower the number of one-timers, saving money on acquiring customers who may not buy again.
What percentage of recurring customers do we need to engage more?
The best 5% of customers will reach 75% of the expected revenue . When we talk about "the best 5%" we mean people with a high Lifetime Value. Customers who buy and spend more than the average.
That's when you need to think about a winning strategy:
From this analysis, the team realized the need to leverage the current customer portfolio to achieve better profitability and reduce costs. WhatsApp was the channel chosen to develop the customer base.
With WhatsApp, I have to:
- Really segment
- Choose who are the best customers for a message to work
Unlike other media it is very invasive, so I have to work with a very attractive message, precise offer and hyper-personalization. At some point, it forces you to get things right. This is when WhatsApp is better than mailing. At Forus, a mailing to 1000 people does not bring the necessary results. However, WhatsApp does. In small and very specific audiences, this is when this platform breaks all the schemes with very high opening and conversion rates.
CYBER MONDAY STRATEGY
Strategies via WhatsApp can be modified during an event, since, for example in a flash sale, with the right information, you can quickly put together an attractive message for the right group of customers.
Complementing the email marketing strategy, we work together with FORUS:
- Abandoned carts
For a specific group of customers, we developed a message for the recovery of abandoned carts. This type of actions have a high conversion rate, by knowing in detail the preferences of customers, we can send the perfect offer with an attractive message.
- Repurchase during the event
We are looking for the same customer to buy more than once at the same event. This implies customer development and monetization of the acquisition cost. Messages were sent with the objective of achieving repurchase and having that customer activated. In previous months, we were testing with customers who had already purchased products, sending complementary offers that sought repurchase. It was at that moment when we understood that during commercial dates, we could not miss this action, changing the message and focusing on discounts and the needs of each type of customer.
- Specific discounts by type of customer
This action was based on the personalization of the offer. It is not enough to send the same offer to many people, it is necessary to segment it so that it converts more and better. Those who have already bought shoes from me will not buy the same thing again, but we must move the complementary items with unmissable discounts.the important thing about messages via WhatsApp is NOT to send a loaded message, but something simple, typical of a WhatsApp communication, where the offer and the value for the recipient is clear.
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RESULTS
The micro objective of increasing the recurring customer base was certainly achieved, in fact it doubled. In addition, we achieved an increase in turnover compared to last year.
The targeted ratio of recurring customers above 40% was also achieved and the weight of new customers with a high probability of not buying again was also lowered.
TO NOTE ABOUT WHATSAPP MARKETING
WhatsApp is a very sensitive channel, you have to work it intelligently and you have to know your customer.
- Problems with Meta due to SPAM
The customer who does not want to receive anything, you should not send him anything. For example, in Data4Sales, you can build your list of customers who made OPT OUT to leave them out of the messages.
- Understand when, what and how to communicate
- Cost varies by country
- Cannot be applied to large customer bases
Many businesses want to apply messages that seem attractive to large groups of customers, this is a bad idea, since each group has its own needs and that is where WhatsApp comes in to be a good channel, in intelligent personalization. For example, if you want to send a message to recover inactive customers, your oldest inactive customers are the least likely to receive such a message, this is not the channel to go looking for it. Play strategically!
- The ideal is to use it with valuable customers
Who are these valuable customers? Once I develop my ideal customer, a question to ask is "How do I make the rest of my base look like this group?" How do I go out to look for customers with their characteristics?
- You have to be precise with offers and messages
- Personalization is necessary
- It is forbidden not to have analyzed the audience and their preferences
- It is forbidden to send messages to customers who do not want them.
