Re-Engage Wishlist Customers with Price Discounts

This document outlines a strategy to re-engage customers who have wishlisted products by utilizing merchant-based discounts, aiming to convert their saved items into actual purchases.

Objective: Convert Wishlist Interest into Sales

The primary goal is to transform the latent interest of customers who have saved items to their wishlists into completed transactions by offering targeted, merchant-specific discounts. This approach aims to increase conversion rates, improve customer engagement, and drive revenue.

Play Concept: Targeted Merchant Discounts

This strategy leverages the existing knowledge of customer preferences based on their wishlisted items to re-engage them when the price of the products that they wishlisted has been discounted. By analyzing wishlist data, merchants can create custom promotions that resonate with individual customer interests, thereby increasing the likelihood of a purchase.

Ideal Target Audiences

This strategy is most effective for the following customer segments:

1. High-Intent Browsers:
   Customers who have multiple items on their wishlists, indicating a strong interest in specific products.
2. Inactive Wishlisters:
   Customers who added items to their wishlists a while ago but haven't made a purchase recently.
3. Price-Sensitive Shoppers:
   Customers who seem to wait for discounts or promotions before making a purchase.
4. Repeat Visitors:
   Customers who frequently visit the site and add items to their wishlists but don't proceed to checkout.

Execution Framework

The execution framework involves the following steps:

1. Data Analysis: Analyze wishlist data to identify popular products, common customer preferences, and inactive wishlists.
Start by picking the time frame that you want to analyze the Wishlist data to help identify the most popular products. This will help you pick what products to discount and by how much.

2. Enable the Price Discount triggers: Enable the Wishlist application to be able to send out the discount emails or SMS’es to your customers

3. Personalized Outreach: Set up the email campaigns. Either use your existing email provider to send out the emails or SMS’es or use Swym to send out the price drop emails

4. Enable the trigger and start the re-engagement: Once the trigger has been enabled you are all set to re-connect with your customers. Discount the products and convert the customer intent into sales.

Performance Measurement Framework

To track the effectiveness of the strategy, the following metrics should be monitored:

Wishlist Conversion Rate
Percentage of customers who make a purchase from their wishlist after receiving a discount offer.

Discount Redemption Rate
Number of customers who came to the website from the price discount email or SMS.

Customer Engagement
Increase in site visits and purchases.

Revenue Generated
Total revenue generated from purchases made with wishlist discounts.

Average Order Value
Comparison of AOV between customers who redeemed wishlist discounts and those who didn't.

Conclusion

Re-engaging customers with targeted merchant discounts on their wishlisted items is a powerful strategy to convert passive interest into sales. By analyzing data, personalizing offers, and implementing a robust measurement framework, merchants can effectively leverage wishlists to increase conversion rates, improve customer engagement, and drive revenue. This approach not only encourages immediate purchases but also reinforces customer loyalty and satisfaction.