The Post-Purchase Order Bump: Try This Ecommerce Email Funnel to Boost Your Customer Lifetime Value

ecommerce customer lifetime value image

I want to talk to you about a number that’s directly tied to your revenue.

It’s a massive predictor of ecommerce success. In fact, nearly every kind of company should be tracking this. And yet way too few of them do.

I’m talking about customer lifetime value.

Customer lifetime value (or CLV) isn’t just important because it tells you how much revenue each customer produces. It also tells you exactly how much you can afford to spend to acquire a customer.

And when you start tracking CLV, you can focus on making more from each lead, instead of always trying to generate new customers. As an example, one online retailer, QIS Packaging, started started focusing on CLV by selling more to existing customers and got an 830% ROI.

If you need to calculate CLV for your business, Kissmetrics has a great guide. (Seriously, it only takes 10 seconds.)

In this guide, I’m going to show you one of the easiest ways to boost CLV for your online store.

It’s called the Post-Purchase Order Bump, and it’s the latest Campaign Blueprint in Drip.

So, before you forget…

Click Here to Join Drip for free and Get This Email Template Now

The Post-Purchase Order Bump: How to Offer New Products to Past Customers—Based on What They’ve Already Bought

To illustrate, let’s say I run the store Basilwood Farm.

Basilwood Farm is a Shopify store that sells natural skincare products, including goat milk soap, face scrubs, and natural laundry soap.

basilwood 1

Here’s the thing about running a Shopify store like Basilwood Farm.

When customers buy my natural soap, there’s a good chance they’ll also be interested in hearing about my natural face scrubs and similar products.

But, like most buyers, they need a nudge to come back and buy.

That’s where the “Post-Purchase Order Bump” comes in.

With the Post-Purchase Order Bump, you want to pitch customers on buying additional, complementary products.

And ideally, you want to position two products—the one you’re pitching and the one your customer already purchased—as the “perfect combination.”

For example…

Let’s suppose I just sold some of this groovy goat milk soap:

soap

Here’s how the campaign works:

After 30 days, if my natural hand soap customer hasn’t yet bought my natural laundry soap, I’m going to pitch them accordingly.

Like this.

Hi {{ subscriber.first_name | default: “there” }},

How’s your Anchors Aweigh goat milk hand soap?

Since you bought our goat milk soap, you might also enjoy one of our most popular products—our all-natural laundry soap. Check out what one customer (who also bought goat milk hand soap) had to say about our 100% natural laundry soap:

“I was always using a liquid detergent. I am so glad a friend of mine told me about this soap. Just like with the bar soaps, I am so glad to have found this.”

Just like your goat milk hand soap, Basilwood Farm laundry soap is 100% natural and contains no chemical dyes or scents. For many people, this means healthier skin and the peace of mind that comes with using all-natural products in your home.

Click below to browse our all-natural laundry soap—and just leave us a message on the site if you have any questions at all:

Discover 100% Natural Goat Milk Laundry Soap

Best,

John Doe
Basilwood Farm

Note: I wrote a bunch of copy for this example. But you don’t need to agonize over copy to pull this off in your own store.

Just look at how minimal Amazon keeps its copy:

“Dear Amazon.com Customer,

Customers who have shown an interest in digital cameras might like to know…”

Simple, right?

If you know your customers have bought before, tell them about related products. If you offer an exclusive discount or position the purchases as “the perfect combination,” that’s all the reason you need to email them.

recommended

Image: Kwasi Studios

To make your life easier, use the fill-in-the-blank email template below.

Hi {{ subscriber.first_name | default: “there” }},

Thanks again for your order of ** PRODUCT A **. Since you bought ** PRODUCT A **, you might also enjoy ** PRODUCT B **. ** PRODUCT B ** goes PERFECTLY with ** PRODUCT A **, because ** BENEFITS **.

Just use the code TAKE10 to get 10% off ** PRODUCT B **. As always, let us know on the site if you have any questions at all.

** LINK TO STORE **

Best,
** YOUR NAME **
** LINK TO STORE **

Reminder: This template is available inside of every free Drip account in our Campaign Blueprints.

Now you might be wondering:

“This is great—but what if a customer has already bought Product A? Won’t these emails be irrelevant?”

Luckily, there’s an easily solution.

Workflow Decisions: The Secret to Building Amazon-Like Behavioral Marketing on a Budget

Let’s take a step back.

Picture your most popular product—the product that generates the most profit for your store each month.

Got it?

Cool.

Let’s call this Product A.

Now imagine a customer buys Product A.

Using a little bit of automation, I’m going to show you how to send smart emails to sell related products … depending on their previous purchases.

Let’s take a look at how to set this up for Basilwood Farm.

Decision 1

In the funnel above, 14 days after the purchase, I’ve set up a Decision—AKA if-then logic. In essence, the Decision says:

Is the subscriber tagged with “purchased Product B”?

From there the Workflow will send a customer down one of two paths:

  • The NO path (if a customer has not yet purchased Product B): The customer gets the Post-Purchase Order Bump. You recommend Product B to complement the main product. The customer’s lifetime value doubles because you took an hour to set this up. And all this happens while you’re on vacation.

Decision 2

  • The YES path (if a customer has already purchased Product B): They exit the workflow, with no Post-Purchase Order Bump.

Decision 3

Pro Tip: If you want to add another Decision to ask “Purchased Product C?” and so on, you absolutely can.

Here’s why this simple workflow is so effective:

Statistically, the probability of selling to an existing customer is 60–70%, whereas the probability of selling to a new prospect is 5–20%. (Source)

According to a separate 2015 study by BI Intelligence, returning ecommerce visitors had an average conversion rate of 4.5%—compared to just 2.4% for new visitors.

It pays to bring customers back to your store.

bi intelligence
Source: BI Intelligence

With the Post-Purchase Order Bump, you can take advantage of these high conversion rates for repeat customers. And you don’t need thousands of dollars per month for developers or some expensive product recommendation engine to do it.

Boost Your Ecommerce Revenue and Customer Lifetime Value with Workflows

When you’re an ecommerce company, there are countless ways to boost CLV. From testing pricing to remarketing to optimizing your checkout flow, there are always tactics to earn more per customer.

But if you’re pressed for time, one of the fastest CLV wins you can get today is setting up a Post-Purchase Order Bump.

With Drip’s Visual Workflows, your own Post-Purchase Order Bump might take you 10 minutes to build from start to finish. And once you set this up, you’ll be selling more products to customers automatically—and intelligently—based on what they’re already buying.

Click Here to Join Drip and Get All of Our Done-for-You Campaigns for Free

What cross-sell campaigns have you run successfully? Share them in the comments below!