Powering Customer Experience with Predictive Analytics – Loyalty

The customer experience is arguably the most important part of your business. Without customers, you aren’t able to meet any of your business goals. Without a solid customer experience, you will have a hard time attracting and keeping new business.

How do we even start to tackle the customer experience and understand what our audience wants? One piece at a time. During this series, we’ll explore each step of the customer journey and how you can use predictive analytics to create more effective marketing plans for your customer experience.

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Your customers are well supported, so let’s figure out how to keep them long term. This is the loyalty phase of the owner’s journey.

customer experience


Building Brand Loyalists

You best customers are the ones that bring in the most revenue for the longest amount of time. The chart below is an example of driver analysis. As you’ll recall, driver analysis takes the variables related to your customer (or whatever you’re analyzing) to determine which variables matter the most.



In this example, the variables that matter the most to you are high value and repeat customers. The cluster graph shows your customers broken up into four quadrants, with your high value, frequent customers in the top right corner.  Each quadrant has its own set of opportunities.

High Value; Frequent Customers

This is your most important segment of customers and the ones that need the least convincing to become loyalists. These are the folks that you want to be sure to check in on and keep happy so that they stick around longterm. This is the segment that should be getting the “insider information” and special VIP deals.

High Value; One-time Customers

This segment has made a large purchase and has not returned. They might need some nudging from your marketing efforts. Keep this segment informed of special deals, new products, and features, and make sure they don’t have any complaints for your customer support team. The goal is to turn this segment of your audience into repeat customers.

Low Value; Frequent Customers

Frequency is important because it means predictable revenue. This segment is making a lot of low-value purchases, which is a good thing. They are loyal but without the budget. Your strategy with this group is to make sure they are shown products and features that match their price points, with the occasional nudge to higher value services.

Low Value; One-time Customers

This will by far be your toughest group to convert into loyalists. You would want to start by asking them what brought them to your company in the first place and try to build a relationship before doing any hard sells of new things. They might need more information before making any additional purchases so be sure that it’s easy to find and understand.

Next up, the last phase of the customer experience, evangelism. We’ll talk about what it takes for your customers to spread the good word about you.

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