5 Customer Retention Marketing Tips with an Artificial Intelligence Twist

customer retention

Building a great product and making it easy to use seems like the recipe for happy, loyal customers. Sadly, that isn’t always the case. Apart from these two essential factors, you need to delight customers, monitor their issues and be aware of problems before they appear.

Raising your customer retention rate is one of the best things you can do. In fact, according to Bain and Company, a 5% increase in customer retention can lead to an increase in profits of between 25-95% for your business. As artificial intelligence solutions start to change how we do digital marketing today, these solutions can also be used to change how we do customer retention marketing today. Here are some of the best ways to use artificial intelligence in your customer retention marketing game.


The Right Metrics

Big data is a powerful resource to measure and get insights about customers. The problem is, a lot of this data is in silos, uncategorized or disconnected from the marketing and customer  success teams that need them the most. Artificial intelligence coupled with predictive analytics could unlock this data, This means you can go beyond metrics like daily active users, monthly active users, users active 7 days after sign up and so on and view an even larger pools of metrics to understand where you need to make intervention.

customer retention marketing data gap

This gap needs to go!
Image: Practical Analytics

Create Revolutionary Customized Experiences

To retain customers, you need to create an experience that is simple, yet revolutionary for customers. Delighting customers and setting new standards for the industry you work in is a great customer retention marketing strategy. This way, your customers aren’t just sticking around because what you offer is the cheapest option or because they already invested, but because they simply cannot find anything as unique or awesome anywhere else.

houzz predictions ai

Image: Houzz / Techcrunch

Houzz’ deep learning solution uses computer vision to help you find and buy products that are available in its photos This eliminates the research you need to do to find a similar product, and takes you directly to the point of sale – a good customer retention marketing tactic to make the experience better, while at the same encouraging conversions.

The Preemptive Fix

The preemptive fix involves using customer data, product and service usage information to understand customer patterns better and use that data to plan ahead. Gilt’s pre-emptive shipping experiment using data science looks like it may just the start to a revolution in pre-emptive delivery. While this has always been a part of the retail stocking process at brick and mortar stores as well as for online businesses, Amazon and Gilt just took the process one step further. A proactive solution with the idea of customer retention marketing at its core.

The Right Channel

You know that feeling when you read an email on your laptop and respond to someone and then you look at your phone and it looks like you never sent anything at all? Isn’t that lack of sync a little disturbing? Well that is also how a customer feels when you reach them with the same message on different channels, but none of the channels are in sync. Artificial Intelligence is poised as a solution to provide a better, more seameless omnichannel experience.

customer retention marketing botImage: Flow.ai

Tools like Flow.ai and Boomtrain use AI to let you reach customers on their preferred channel of communication for customer retention marketing.

Smart Support

One sure-shot way to get customers to stay loyal is to offer great support. Artificial Intelligence technology may just be the key to avoiding long IVR phone calls, or atleast making them way more bearable by using customer data to optimize the process and respond to customers who need urgent help on priority. AI bots like those built by Digital Genius are also touted to remove the need for tickets and support calls, getting things done more casually, over a chat window instead.

Do you have Customer Retention Marketing Tips that worked you that you would like to share with us?
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