Mobile app has emerged as an indispensable channel in any shopper’s journey today. Being one of the top retail outlets in India, Lifestyle was early to notice this shift. They also noticed that for their own brand, the majority conversions were occurring on the app instead of mobile or desktop sites. To fuel this shift, Lifestyle’s marketing team was driving both organic and paid customer acquisition on the mobile app. Google and Facebook worked really well as paid acquisition channels. However, the team observed that even with more than 1 million app installs, their current active user base on the app was only 15K. This was due to two gaps: - A large number of users are inactive after opening the app for the first time. - A significant number of users drop-off after search or adding products to the cart. This dormant behavior of app users was affecting the overall conversions, which further influenced the ROI.
The marketing team first analyzed user drop-offs at each stage of pre-purchase. Using this analysis, the team was able to determine the stages where the users were dropping off from the app. The team also utilized MoEngage’s RFM Analysis to identify the right segments of target audience to focus on—such as price-sensitive customers, loyal customers, and lost customers. Based on this data, the team started segmenting users based on the purchase funnel, and looked at different stages such as “App Open”, “Product View”, “Checkout” and more.Users were grouped based on those stages, and further sub-grouped based on the drop-offs stages.
The identified user groups were then added to the omnichannel flow campaigns ensuring customers were engaged at every step of the funnel. Using MoEngage Flows, the team triggered smart communication across multiple channels such as email, push notification, and SMS based on users’ funnel stages. for users to complete the purchase within a day’s time. This smart-trigger ensured that users were receiving the relevant message based on the funnel path. These messages had exclusive coupons for users to complete the purchase within a day’s time. This approach drove the users to complete the desired action sooner, thereby ensuring the purchase cycle was complete. Similarly, inactive users were re-engaged using look-books and on-going trends to bring them back on the app. Later these users were moved to the next stages of the funnel.
Using the MoEngage platform, the team decided to implement their purchase funnel-based end-to-end customer engagement strategy to tackle inactive users & user drop-offs. This involved Funnel Segmentation, Personalized Engagement & Omni-channel flow campaigns.
• 4X boost in conversion rate
• 170% shorter conversion time
• 20% decline in cart abandonment
• 30% improvement in retention rate
Using MoEngage’s RFM Analysis the team identified the right segments of target audience to focus on – such as price-sensitive customers, loyal customers, and lost customers – who were further segmented based on their funnel stage. Insights from this were used to identify & target drop-off customers.
To activate drop-off customers, the team created personalized omnichannel flow campaigns using MoEngage Flows and triggered communication across email, push, and SMS to drive users towards purchase completion. This led to a 4X increase in conversions from “Add To Cart” to“Payment Complete” stage.
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