Post-purchase offers (PPOs) are the secret weapon for boosting business through personalization efforts.
Not only do they help to capture additional sales after your customer has already purchased, but their personalization helps build a real relationship with your customer. Unlocking the power of post-purchase offers and tapping into their potential can be a great way to increase your average order value, maximize customer lifetime value (CLV), and boost engagement.
Rather than simply using them as relatable product offers after checkout has been completed, why not explore 5 new ways that you can get creative with this powerful strategy? Let's go beyond the basics — it’s time to show your customers just how innovative and valuable your products are!
1. Incorporate Post-Purchase Offers In Your Email Marketing
Even though a post-purchase offer takes place initially during the checkout process, you can naturally also place teasers for post-purchase offers in your emails marketing tactics.
When a customer has just purchased, they’re more likely to open and engage with your emails. A recent study found that follow-up emails after a recent purchase earned a 40.5% open rate.
On top of that, they earned a whopping 6.4% click rate.
Why not sweeten the deal with a tantalizing offer post-checkout?
Firstly, focus on your current customers. They are the most important and have already expressed interest in your brand and products.
And if they converted once, they’re easy to reconvert — especially if you can provide a timely, relevant offer.
And speaking of timely, a PPO is a great way to re-engage these one-time buyers to come back and keep shopping. Instead of a standard “get x% off”, give them something exciting and new to look forward to. For example, if they buy from a specific product line or if they hit a certain spending threshold, they’ll receive a special mystery offer at the end of their checkout.
Then, at the end of the checkout, if they’ve reached the threshold/bought the product, they’ll get their exclusive PPO which, of course, is tailored to their cart so it feels personalized and in-line with their shopping needs.
When writing your email, make sure to clearly explain when they’ll see the mystery offer, and if you want to tease the product you want in the PPO you can do that here too!
This could be a free t-shirt, a large discount on a hot item, or any other incentive you think your customers will love.
It's also important to include an end date for the offer to create a sense of urgency and encourage customers to act quickly.
By working PPOs into your email marketing strategy, you can increase your average order value (AOV) and overall revenue.
Rather than experimenting with different tactics at the top of the funnel, focusing on PPOs in your email marketing & re-engagement strategy can have a direct impact on your bottom line.
2. Clear Out Your Expiring Inventory
No one likes extra, stale inventory.
Your customers didn’t buy it, and you’re paying to store it.
And it’s just gathering dust on a shelf.
The good news is that post-purchase offers can help you clear those shelves, while offering customers a new product that maybe they didn’t appreciate as much at first glance.
Whether you use a PPO email or you use a post-purchase offer tool to integrate the offer into your checkout flow, there are two ways you can do this.
Option 1 — Similar Item Sale
If you're looking to optimize your product inventory costs, there's a more effective strategy than simply discounting your old stock.
But let’s think outside of the box of a simple sale.
Rather than relying on a quick sale to move unpopular items off the shelves, which may not attract customers back into the store, PPOs can be targeted toward customers who have already expressed interest in similar items.
For instance, if you have a surplus of yellow t-shirts that need to go, set up a PPO that appears when someone purchases a similar t-shirt.
By targeting customers who are already interested in t-shirts with a discount and clever copywriting, you increase the likelihood of selling the less-favored yellow shirt.
This approach is more strategic than traditional sales tactics because it targets customers who are already engaged with your products and reinforces their loyalty.
It feels more relevant to them, specifically.
By leveraging data-driven insights and creative marketing techniques, retailers can reduce inventory costs while simultaneously building stronger relationships with their customer base.
Option 2 — Mystery Box
If you're struggling to move excess inventory, even after trying steep discounts and unique offer tactics, it's time to get creative.
Have you tried attaching the item(s) you’re looking to move with a mystery box? Rather than offering the item itself as a discounted offer, package it into a mystery box that appears as a PPO after a related sale, or as a sale on its own that you push out with an email campaign.
By presenting the item as part of an exciting surprise gift, you increase the likelihood of capturing consumers' attention and making the sale.But don't stop there!
To truly delight your customers and keep them coming back for more special deals, include other items in the mystery box as well.
This pro tip will not only help you clear out slow-moving inventory but also boost customer satisfaction and loyalty.
3. Tease the PPO to increase revenue ahead of the sale
Why not give your customers a sneak peek of what's in store for their order?
It's no secret that everyone loves a good sale banner on a website.
By teasing an exclusive PPO across your site with a limited-time offer, you can incite the fear of missing out (FOMO) and boost sales.
For instance, set up a banner on your site advertising a sale where customers who make a purchase of $100 or more this week will receive free shipping and an exclusive surprise gift after checkout.
To ensure the offer is still curated to specific products and meets certain criteria, set up your PPO guidelines accordingly. This gives you flexibility while also incentivizing your customers to spend more and take advantage of personalized deals.
4. Test new products
One of the hardest parts of ecommerce is launching new products.
Sometimes, it’s impossible to know just what is going to land with your customers.
What if you had a way to test how a product does with your customers before a full-on launch (and before you put loads of that product on your shelves)?
One effective way to test new products is by offering them as a PPO. This approach allows you to gauge customer interest and determine the ideal price point for these items.
By creating a limited selection of items, you can quickly test and sell out new products with an "exclusive first-look" offer, even if you don't discount them.
This strategy not only helps you identify which products are worth investing in but also generates excitement among your customer base.
A PPO offering like this will give you direct data on the outcome of the product launch and it will come directly from your current consumers. You’ll be able to tweak pricing, and product copy to see what resonates the most with your customers.
Not to mention, you could push this offer out to your VIP customers. That way you make sure the data you collect from this offer comes from your best customers, while making them feel special that they’re getting a first look at your new products.
As a retailer, it's crucial to stay agile and adapt quickly to changing market trends and consumer preferences. By leveraging PPOs as part of your marketing strategy, you'll be well-positioned to drive growth and success for your business.
5. Abandoned Post-Purchase Offers
Did a customer complete the initial sale but missed out on the PPO you offered? Don't worry, there's still a chance to win that additional sale.
One effective way to re-engage these customers is by sending an abandoned post-purchase offer email that lets them know you're extending the offer just for them.
In this email, you can remind the customer of the value of your products and highlight how they can benefit from taking advantage of this exclusive deal.
By making it clear that this offer is only available for a limited time and is personalized to their needs, you increase the likelihood that they'll return to complete their purchase.
By incentivizing customers with exclusive deals that they won't find elsewhere, you create a sense of urgency and excitement around your brand.
As an added bonus, this approach also allows you to gather valuable data on customer behavior and preferences.
By analyzing which offers are most effective at driving conversions, you can fine-tune your marketing strategy and optimize future campaigns for even better results.
Using PPOs Effectively for Ecommerce
Post-purchase offers give you a strategic advantage. With PPOs, you can expand your product offers, gather valuable customer feedback, move old stock, and increase your average order value.
These strategies listed above are effective ways to drive excitement around your brand and generate more revenue. Whether you're targeting new or existing customers, PPOs allow you to offer exclusive deals that motivate them to complete their purchase.
Then, by analyzing the data from these funnels, you can gain valuable insights into customer behavior and preferences that will help guide future marketing efforts.
PPOs are just one piece of the puzzle though.
And they’ll work best when part of a larger strategy centered around putting your customer first.
Building those critical relationships with your customers is the difference between customers that come back again and again, and those who purchase once and fade into the sunset.
And Drip can help you build those customer relationships. Check out Drip’s marketing automation platform that helps you build and maintain brand love. Try it free for 14 days!
