How to treat your win-back campaign as a discount ladder, with every rung designed to retain customers and make you more money.
EXCLUSIVE RESOURCE: Want the win-back email template Drew shows off in this episode? Click here download it as a PDF! Also includes the full transcribe from this episode.
One win-back email is good. But even better? How about a chain of emails designed to escalate your win-back offer the further the customer slips away?
Using a discount ladder is the key to making money with your win-back campaign.
Tune in to see how Drew set up such a campaign for a large-scale retailer. Plus, his insights on using your remarketing audience in Facebook Ad to win-back customers.
00:30 – Discount ladders in the form of win-back emails
01:08 – The problem with most win-back emails
01:30 – Full walkthrough of an anti-defection discount ladder Drew set up in Klaviyo
03:15 – A/B testing every rung of the ladder
03:55 – Pulling this full strategy from email over to Facebook Ads
05:52 – Suggestions for more discount ladder info
Links / Resources
- Want to use the Karmaloop email featured in this episode as a template for your own business? Click here download it.
- For more on Discount Ladders, check out Episode 1 (intro to discount ladders), Episode 2 (getting started), and Episode 3 (win back case study).
- For more on how to use your email platform to boost revenue, check out Episode 23 on dynamic ascending offers.
Prefer to read rather than listen to the podcast episode? No problem, you’ll find a text transcribe below, and you can also download it for later.
Hey everybody, this is Drew Sanocki, nerdmarketing.com, and we’re talking about discount ladders on the podcast.
One thing I want to do today was give you a number of examples of good discount ladders or usage of discount ladders so you kinda get the idea of what the hell I am talking about. And without further ado, we’re gonna go to the screen flow, here, and I’m gonna walk you through some discount ladders.
So first, you know, a great example, or great opportunity where you can use discount ladders is in Win-Back emails. Win-Back emails are the ones that are sent out to customers who haven’t bought from you forever in an attempt to sort of win them back into the fold. And, you know, I Google Win-Back emails and you’re gonna see a lot of examples here. Here’s ones from Eventbrite with their Win-Back. And here’s one from Social Sprout and Postagram, and like everybody does a Win-Back, right, you know? What can we do to win you back? Where ya been, yadda, yadda, yadda. Dropbox does one.
Want to download this transcribe for later? Click here for an easy PDF download.
My issue with these is they leave money on the table, right? Maybe they are not awesome. Because they’re a single email. If you take everything we’ve learned about a discount ladder and make the single email into a series, you’re just going to do that much better at capturing or re-capturing that customer. For example, here’s one I built out for a fairly big online retailer.
It is a Win-Back, I am trying to win back everybody who has purchased one or, one time and has not purchased a second time, I’m tryin’ to get that second purchase. And what I’ve done is I’ve figured out that these customers for this retailer order roughly every 30 days. So if 30 days has come and gone and they have not ordered, they’re not likely to order from us again. Perfect opportunity for a, it’s called an anti-defection discount ladder. And you can see I’m using Klaviyo here to set up this automated campaign in Klaviyo, it’s called a flow.
My first email goes out 30 days after purchase and it only goes out to people who have not purchased in the last 30 days. And it’s a simple 10% off offer. We’re now gonna think in terms of our ladder, what do you do with the ladder? You increase the promo over time. So if someone buy, if someone takes this bait and buys, they fall out of the sequence.
Otherwise, at 60 days, a month later, they’re gonna get a 15% off offer, right here, right? And then again. I can keep, I can make this ladder go as high and as far as I want, but I find that after 90 days it’s pretty much done. If they’re not gonna take the bait by 90 days, they’re not gonna take the bait, but 90 days if my best offer. It’s a 20% off off your next order. The details are not as important here, but let me show you what one of these looks like.
The important thing to note is, you know, unlike these quote unquote “awesome examples,” more awesome, the awesomer example is a sequence is not just a singular email and boom. In this case, I’m actually testing two variations for, for every ladder, every rung of my ladder. Half are gonna receive 10%, half are gonna receive 20%. That helps me determine which ones I ultimately should lock in.
And it’s like hey, we miss you, here’s 10% off. Not rocket science. And super easy to set up. I mean, Klaviyo makes it incredibly easy, but with some chops, you can even do this in MailChimp. You can even do it manually if you have to.
One thing I want to convey here is that people always think about email because of which the ease with which you can implement these things, but, you know, re-marketing is like a stone’s throw away from email, it’s basically, you know, you want to go out to customers and you can, and touch them over time, and in one case, in the email case, they’ve opted into your list and the re-marketing case they haven’t.
But really, you take the same mentality and you’ll see here in our Facebook campaign I’ve got the same three rungs of my, or sorry, they’re slightly different, but rungs of my discount ladder. I’ve got a 60 day rung, a 90 days rung, and a 120 day rung. And again, I’ve got increasing promos.
And these are custom audience lists. The lists, amazingly, incredibly, are synced with Klaviyo lists. So I create the list of our customers in our CRM, which is Klaviyo. It syncs it with Facebook so I don’t have to, you know, export and import lists of customers that fit this criteria every week. They’re automatically updated. And then, you know, you can see, they’re all producing conversions in the last month.
And if i click through to just show you what the deal is, here, the offer is basically, you know, I’m making like $500 a day on this. And the offer is essentially the same offer that I am giving to those who are subscribed to my list.
So whether you get the list when you log into Facebook, or sorry, whether you get the offer when you log into Facebook or whether you get it in your inbox, it’s gonna be the same offer. And that’s sort of how it should be. It should be based on your behavior.
Too long? Finish this transcribe at your own pace – click here to download.
Just, here’s an example of the, of the ad. Here’s your 10% off discount code. Everybody, thanks for listening to that podcast. Thanks to the magic of a dead battery I’m here in another office concluding it. But hope your learned a lot about discount ladders. I encourage you to listen to episodes one, two, and three of this podcast.
That would be nerdmarketing.com/1, /2, and /3 where I talk a lot more about discount ladders and how you can implement them at your own retailer. Two or three more notes. Number one, if you want a template of the emails that I used in this episode, then you can download it through the site at this episode number, this is episode 25. So nerdmarketing.com/25. Enter your email, I’ll send you the template.
Or text the word NERDME to 44222 will also send you the template if you do that. Number two, I just rolled out a course, and the course is all about how you double your eCommerce retailer in one year. It is targeted towards people with six and seven figure eCommerce retailers, so you guys, you guys are big enough, you have customers, you have traffic.
You will learn the approach that I brought to Karmaloop and a couple other retailers to achieve really good growth. And that is at nerdmarketing.com/double.
It’s a free course, six or seven lessons where I walk you through how I did it and how you can do it for your own business. And number three, if you are looking for a little bit more of a hands on experience we’ve got a Nerd Marketing mastermind which is launching soon.
That’s at nerdmarketing.com/mastermind. And that’s more of a group coaching session where we’re gonna work on doubling your business. That’s all I’ve got. Thanks for listening to the podcast. I’ll talk to you next week.