Customer Lifecycle Management

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The concept of customer management, based on the customer life cycle, has long been one of the key concepts in marketing. CLM (Customer Lifecycle Management) is included in a more global CRM strategy for building a business, which is primarily focused on the customer (Customer Relationship Management – ​​CRM).

Sales of companies that start from merchant cash advance email marketing specific customer needs increase even in the absence of market growth. At the same time, the inevitable investments in advertising and marketing are justified and have an effect. The CLM method is a cycle that includes 4 stages. This cycle is constantly repeated.

Customer Life Cycle Analysis

The first step is to determine what stage of the life cycle the company's client is currently at. After that, you need to divide clients into groups depending on the stage. It is important to analyze how many people are at each stage of the life cycle, especially at the first and last. You also need to see how long it takes to go through all the stages. All this data is needed for subsequent analysis of the situation.

Customer Lifecycle Management

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Selecting ways to work with clients of each segment

Communication with the client should be completely different at each stage of his life cycle, as its goals will be different. So, what is the strategy for working at each individual stage:

Attraction

When a company is trying to attract a new customer, it is important to capture their attention on the products or services offered and keep them there for as long as possible.

Interest

If the consumer has shown interest in the product, it is necessary to arouse a strong desire to purchase it and create excitement around it.

Grade

The consumer is ready to make a purchase, but he is still evaluating whether the product suits him completely, whether the price is adequate, whether there are more interesting offers from competitors. Here it is important to demonstrate to the potential client all the advantages and benefits of the product and its purchase in a specific store.

Loyalty

The life cycle of customers with a high level of loyalty is usually quite long; they purchase the company's products over several months or years, speak positively about them and recommend them to their friends and acquaintances.

It is also extremely important to maintain contact with such clients: inform them about promotions and discounts, congratulate them on holidays, invite them to events, etc. It should be made clear that the company is actively working and remembers the client.

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Carrying out planned work

This stage involves implementing the chosen methods of working with clients of different categories within the framework of the global strategy. In addition, it is important to motivate the company's employees to be active in establishing communication with consumers.

Analysis of the work carried out, summing up, conclusions

Before taking action, marketers analyzed existing CLM metrics. After working with clients at each stage of their life cycle, company specialists should again evaluate their client base and compare initial and final metrics.

What are the key points in such an analysis? Of course, this is the sales volume, the level of expenses on attracting new customers, the percentage of customers who have moved from potential to real status. All these indicators clearly demonstrate how effective the work done was and whether there is a need to make any adjustments to the company's development strategy.