“Thanks for your purchase! Here’s how we’d style it…”
Maybe I’d fallen in love with a top so I had to buy it but it’s still hanging up in my wardrobe, tags still intact because I am struggling on how to wear it. Or, I’d bought it to go to a friend’s birthday and didn’t know how to repurpose it to get value for money.
This is exactly the type of email I’d like to receive.
Whilst creating an amazing experience for the customer, it also increases lifetime value (LTV) by prompting another purchase. LTV is an often neglected metric in the retail industry but an absolutely necessary one for retailers to have as one of their key KPI’s if they are to be transformational and leaders in the space.
Dressipi data shows that only 30-40% of 1st time buyers come back and buy again. This increases to 45-50% for 2nd time buyers and 55-60% for 3rd time buyers, highlighting just how important moving customers up the purchase ladder is to building a loyal customer base. What’s more, retention marketing is more cost effective for retailers than acquisition marketing so increasing the percentage of customers that come back and buy again is one of the cheapest ways to increase your revenue and profitability.
And the key to this? Sending relevant communications, with the right product at the right time.
An Incredibly Powerful Tool
There are many types of emails that exist for retailers currently from sign-ups and newsletters to abandoned basket and new product emails. The most powerful and underused being post-purchase emails.
By simply injecting Dressipi’s API’s into existing ESP’s, Dressipi’s Post-Purchase Emails show customers what to wear with items they recently bought in a way that works perfectly for them. Imagine this scenario:
1) A customer purchases a top. It is the right style and fit so the customer does not return this top.
2) Powered by AI, personalized outfits featuring different occasions are generated to go with the top.
3) The outfits are included in an email and sent to the customer, promoting another purchase.
4) The customer clicks through to buy a pair of trousers featured in the post-purchase email.
5) The process starts again, with personalized outfits generated to go with the trousers.
These emails can also be generated for in-store purchases with recommendations in emails being filtered by availability in their local store and what was available in their size at that moment.
Enticing the customer to move up the purchase ladder through outfit recommendations based on what we know the customer has already purchased from the retailer is a great way to increase retention and lifetime value.
The Results: No Excuse Not to Test
Showing Personalized Outfits in emails have delivered amazing results. Recent tests over a 4 week period show the following uplifts compared to BAU emails.
- Click Through Rates +89%
- Open Rate +155%
- Revenue / Email Sent +200%