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5 Proven Strategies for Ecommerce Brands to Reduce Customer Acquisition Costs

Nov 1, 2024

A well-planned cart abandonment strategy is one of the best ways to increase the retention of your customers and cut down on the costs associated with customer acquisition. Conversion rates of emails for cart abandonment is 10% higher than traditional marketing emails.

The fact that a buyer goes through the effort of adding items to their shopping cart, that means at some point they considered buying. All they require is a gentle push to convince them to consider purchasing.

It is vital to send relevant and personalized cart abandonment emails that highlight the products waiting in the cart, the discounts and items that are being replenished. It’s an excellent method to engage customers and encourage them to make purchases.

The right email sent at the right moment can improve retention and decrease the rate of abandonment from carts.

Improve Average Order Value (AOV) using Cross-Selling

Cross-selling is a great method to increase sales, boost revenue and meet set objectives. By using contextual prompts, you can show products that potential customers might like, ensuring they stay on the page and eventually make necessary purchases to boost average order value.

You can use a wide range of products offered at your store and cross-sell them depending on the customer's requirements, transactional data and the location of their residence.

You can also find your most profitable customers by analyzing customer lifetime value and revenue data, so you can cross-sell related products to boost AOV. Cross-selling can also help increase customer lifetime value, which reduces cost of customer acquisition.

Customer retention is far cheaper than acquiring customers. It's also easier to keep an engaged customer rather than acquire new ones.

Make Necessary Decisions to Reduce Your CAC - Use Bloom Analytics to Reduce Decision Making Time

Customer acquisition costs can be a significant challenge for eCommerce brands. However, through thorough optimization of your customer acquisition strategies, you can reduce those costs and increase revenue.

Concentrating on interactive processes for onboarding, personalization of communications, a responsible cross-selling strategy, prevention of user churn and rewarding loyal customers will reduce the cost of customer acquisition and boost customer retention.

You can use applications such as bloom analytics to make data-backed decisions to help improve your customer retention and reduce customer acquisition costs.