Top 7 Tactics for Customer Reactivation

Oftentimes our sales strategy is so focused on closing the deal with new clients, that we forget one of our largest potential revenue sources: our existing customers. 

Past or current customers are already familiar with your brand, products, and sales process, and have built up a significant amount of trust. That’s why it’s up to six times cheaper to sell to a previous customer than a new one. Even more impressive, Harvard Business School found that increasing customer retention rates by just 5% can increase profits between 25 and 95%. 

There’s obvious value in winning back former customers. But what’s the best way to go about it? These 7 customer reactivation strategies will help you reengage past clients and convince them to stick around long-term.

1. Create a reactivation email campaign

No matter which customer reactivation strategies you choose to implement, first you’ll need to identify which clients have become dormant. Use an email marketing platform to segment your list by activity and purchase history. Then, follow up with those people in a reactivation campaign.

You might simply check in with the client, or offer a special promotion or gift to incentivize them to respond. The exact nature of your reactivation campaign will depend on your sales cycle and how long the client has been inactive. Some businesses will find long delays effective, while others may choose to follow up at the first sign of disengagement. 

2. Boost your visibility with content marketing

The goal of any customer reactivation strategy is to remind the client you exist, which means being in front of them as often as possible. One way to do this is to create content your customer will find helpful (whether through blog posts, social media, podcasts, etc.) and send it to them. 

If you have a surplus of content already created, you can simply pick and choose based on what each customer needs and send it off with a personalized note. Again, segmentation is key here, so ensure you’re only sending content that will resonate with each customer. 

3. Offer a special promotion to past clients

All customers want to feel appreciated, which is why sending out a special offer is one of the most effective reactivation strategies. Try offering a free gift, referral bonus, or discount for your product or services. This is a great way to show customer appreciation and tap into a new stream of revenue.

You could also use this method to upsell to existing customers, drawing them back for repeat purchases. Each investment with your company makes it more likely they’ll return in the future.

4. Targeted ads

If you’ve created a special offer as one of your reactivation strategies, you can use social media ads to drive traffic to the offer. Be sure to tailor your messaging to speak directly to your previous customers. 

You’ll also want to ensure that the ad doesn’t end up shown to active customers, or people who have never heard of your brand at all. Facebook offers an option to import an email list and target inactive subscribers which should take care of this issue. You can also change the ad settings to target past customers who haven’t visited your company website recently. 

Regardless of whether or not the ad results in a sale, it will keep your company top of mind the next time the client is searching for a solution to their problems.

5. Loyalty programs

The best customer reactivation strategies focus on your existing customers and prevent them from becoming inactive in the first place.

Consider what your client experience looks like after the deal is closed. How often are you following up with past clients? Can you offer them special rewards, discounts, or referral deals? For example, a SaaS cloud storage company could offer additional storage space for each referral. 

Zsuzsa Kecsmar, Co-Founder and CMO of Antavo, stresses the often-overlooked emotional element of loyalty programs: 

“To put it simply, in an age where customers have access to a huge selection of web shops and retailers, a brand has to catch customers by the heart, and not the wallet, because discounts are now less effective than rewards that have an emotional component to them.” 

In a recent article in Forbes, Zsuzsa shared her prediction that in the future, the most successful brands will be those that focus on generating emotional loyalty.

Consider non-monetary rewards such as members-only events, access to additional support, and partnerships with companies that provide a complimentary service. Look for ways to reward your client’s loyalty that include an emotional component, and you’ll gain a customer for life.

6. Try SMS

SMS marketing is becoming increasingly common, as consumers spend more time on their phones than ever. This makes SMS the perfect re-engagement platform.

According to 99Firms, ​​58% of consumers believe that SMS is the most effective way to receive brand communication, and a whopping 34% read their messages within five minutes of receiving them. Just be sure that your website and any other client-facing platforms are fully optimized for mobile–a poor experience won’t win any customers back.

7. Just ask

One of the most overlooked customer reactivation strategies is to simply ask your clients what it would take for them to come back. In addition to the standard unsubscribe survey, try reaching out via SMS or a phone call. Calls can be particularly effective since they provide a human element that email lacks.

If you choose to go the survey route, make sure you offer some kind of incentive. A well-placed discount may be enough to entice some customers to return.

Making the most of your customer reactivation strategies

Inactive clients are some of your most valuable leads. They’re pre-qualified, less expensive to acquire, and have an existing relationship with your brand. And with the right customer reactivation strategies, they can become a great source of revenue.

Need help winning back former customers or gaining new ones? Our coaches can help identify and implement the best reactivation strategies for your business so you get more out of your outbound efforts. Click here to book a free discovery call!