Understanding how the customers you acquire over Black Friday and Cyber Monday weekend go on to use your product and spend with you as a customer is crucial for two main reasons:
- To help you optimize your next BFCM (or other) campaigns
- To help you better retain the customers you acquired during the campaign
Look firstly at how your sales and marketing channels performed across the days you had your discount(s) running. Ask yourself:
- Which channels performed most effectively?
- Which deal saw the most conversions?
- How did your BFCM conversion rate compare to your average conversion rate?
Then, track this cohort and look at their journey with you over the next few months (and beyond):
- How often are they using your product?
- Do they stay users long-term or do they churn?
- If they churn, when is that? Is there a pattern? (For example, when the discount period ends).
If you have the data, you can do this for last year’s customers too and then compare as you go.
If you don’t keep an eye on what happens to these customers, you could miss the chance to address any issues before they impact your KPIs (and ultimately, your revenue growth).
For example, a successful promotion over Black Friday weekend might have your November revenue and cash flow metrics looking healthy but losing these customers after the discount period can see other KPIs, like customer lifetime value (CLV), churn and renewal rate, taking a hit. Check out this article from Baremetrics for more on this, and how to conduct a cohort analysis you can learn from .
So, how can you make sure your BFCM acquisitions become long-lasting customers?