Do you want to know how to increase user retention? Are you losing customers you already won? You have invested in ads, optimized your store, and crafted irresistible offers.
But here’s the real question: how to increase user retention? Studies show it costs five times more to acquire a new customer than to retain an existing one. Yet, many merchants focus solely on acquisition.
Overlooking customer retention means missing out on the opportunity to boost ROI as retained customers cost less to engage, deliver higher lifetime value, and drive repeat sales while increasing word-of-mouth referrals.
If your customers aren’t coming back, it’s a red flag for your business growth. Maybe your store’s navigation feels clunky, or your checkout process isn’t as smooth as it should be. Perhaps your emails and notifications don’t resonate, or your content feels irrelevant.
The following are major reasons that could have made your customer go away and not come back.
Inactive users are a common problem for many online businesses, but the good news is, that you can bring them back to your store and encourage them for repeat purchases.
Personalization is key to making customers feel valued. Customers are more likely to stay loyal to a brand that makes them feel special. They feel a personal bond with the brand, which reduces the chances of them visiting a competitor’s store.
A customer browses a jacket in your store but doesn’t purchase it. A few days later, you send a personalized push notification offering 10% off their first purchase, reminding them of the jacket they liked. This gently nudges them to complete their purchase, creating a higher likelihood of conversion.
Gamifying the shopping experience is a proven strategy to boost customer engagement and retention. Integrating features like badges, rewards, and challenges within your app transforms shopping into a dynamic and rewarding activity.
For instance, offering loyalty points for specific actions such as completing a purchase or sharing products on social media creates a sense of achievement and motivates users to interact with your app more frequently. By transforming shopping into an engaging and goal-driven experience, gamification fosters deeper customer loyalty and ensures they return to your app repeatedly.
Imagine a customer browses your app and adds a few items to their wish list but doesn’t make a purchase. A gamified pop-up appears, offering them 50 loyalty points if they complete their first purchase within 24 hours. After the purchase, they unlock a Starter Badge and receive a challenge to earn double points by reviewing the product or referring a friend. This interactive experience not only incentivizes immediate action but also nurtures ongoing engagement, creating a habit of returning to the app for more rewards.
It’s a universal truth that every shopper loves a good deal. Free shipping, loyalty points, and exclusive deals are your best strategies for calling back inactive users and driving revenue. These incentives are highly effective because they make customers feel genuinely valued, which directly impacts their loyalty and engagement. Research shows that 76% of consumers are more likely to do business with brands that offer personalized rewards and experiences.
When customers feel appreciated, they’re not just satisfied—they’re emotionally invested in your brand. This sense of connection increases their likelihood of returning, engaging with your app, and becoming long-term advocates for your business.
A customer who hasn’t made a purchase from your beauty store in over three months receives a push notification offering free shipping on any order placed within the next week.
The message highlights the new CeraVe Daily Moisturizing Lotion they browsed previously but didn’t purchase. It also includes a personalized recommendation for the latest Vitamin C serum that has received awesome reviews.
By offering free shipping and reminding the customer of the products they showed interest in, the notification encourages them to come back and complete their purchase, increasing the chances of re-engagement and a sale.
When a customer hasn’t visited your store in a while, they might miss out on exciting updates, new products, or features you’ve introduced. Customers love new features because they add value and keep their experience fresh.
By sending timely notifications or prominently displaying these updates in your app, you not only capture their attention but also remind them your store has new offerings for them. This approach keeps your brand top-of-mind and encourages customers to return.
A customer who hasn’t engaged with your store in over a month receives a notification from your app about the latest LuxeFit Athleisure Collection.
The message highlights the new Virtual Try-On feature that allows customers to see how products will look on them virtually, along with the addition of a new Pay Later option.
The notification also offers a 10% discount on their next purchase, valid for a limited time. This personalized reminder of exciting updates, along with the exclusive offer, encourages the customer to check out what’s new, increasing the likelihood of them returning and making a purchase.
Want to turn casual shoppers into loyal customers? Try a premium subscription.
A premium subscription model is the right answer for how to increase user retention. By giving customers early access to sales, new products, and additional discounts, you create an environment that encourages repeat visits.
Moreover, it helps them feel like they’re getting exclusive benefits, building their loyalty to your brand. Over time, this not only keeps them coming back, but it encourages them to invest more in what you have to offer.
Emily, a loyal customer who regularly shops at a boutique is offered a “Style Insider” Premium Membership for $29.99/year. The membership provides her with early access to sales, exclusive discounts, and personalized outfit recommendations.
When notified early about the Fall Capsule Collection and a 20% pre-order discount, Emily upgraded to the membership, enjoying the perks and shopping more frequently.
This not only enhances her experience but also deepens her loyalty to Bloom & Luxe.
How to increase user retention users requires personalized strategies that add value and ignite curiosity. Use personalized messages, gamification, and incentives like free shipping or loyalty points to bring them back.
Highlight new features or products and offer premium subscription perks to keep your app exciting and engaging. These strategies don’t just bring inactive users back, they help create loyal customers who stick with your brand and support long term success.
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