SOURCE: AgilOne

AgilOne

December 22, 2014 08:00 ET

AgilOne Analysis Predicts Last-Minute Holiday Shoppers Will Likely Be Less Valuable Than Cyber Monday, Black Friday or Regular Shoppers

Data Analyzed From More Than Five Million Customer Profiles Over Multiple Seasons Shows Last-Minute Holiday Shoppers Are Least Likely to Become Brand Loyalists

MOUNTAIN VIEW, CA--(Marketwired - Dec 22, 2014) - AgilOne, the predictive marketing cloud company, today released new findings showing that last-minute holiday shoppers will likely have a lower lifetime value and lower retention rate than those acquired during Black Friday or Cyber Monday. Of all holiday shoppers, Black Friday shoppers are expected to spend most, followed by Cyber Monday shoppers. Last-minute shoppers typically spend less money during the holidays and have a lower retention rate, resulting in lower customer lifetime value. Last-minute holiday shoppers are defined as those shoppers who make purchases between December 4 and December 23. The data indicates that many retailers need to place as much focus on follow-up retention efforts as they do on holiday promotions and sales. AgilOne analyzed over five million consumer profiles over several holiday seasons to gain this special insight into the behavior of holiday shoppers.

Key findings from the analysis by AgilOne include:

  • The average lifetime value of a last minute Christmas shopper is $122 as compared to $142 for customers acquired during the rest of the year, $137 for those acquired on Black Friday and $128 for those on Cyber Monday
  • The retention rate of last minute holiday shoppers is 22 percent lower as compared to customers acquired during the rest of the year and 13 percent lower than customers acquired on Black Friday
  • The lifetime value of last minute holiday shoppers is 14 percent lower as compared to customers acquired during the rest of the year and 11 percent lower than customers acquired on Black Friday

"Retailers have worked hard to acquire millions of new shoppers over the holiday season, but our analysis shows that they need to do much more to encourage long-term brand loyalty among these new buyers," said AgilOne CEO Omer Artun, Ph.D. "By following up with highly targeted, relevant messages throughout the year, brands can achieve much greater return on their holiday investment."

Some retailers have been able to reverse the trend of low lifetime value from holiday shoppers. For example, a skincare company set up an email marketing campaign to increase brand loyalty among new Cyber Monday customers and lifetime value of these new customers turned out to be five percent higher than the company average. By focusing on specific outreach to underserved customer segments, the company was able to offer personalized promotions that ultimately drove greater brand loyalty.

To find out more about how predictive analytics helps companies build stronger engagement, read our customer success stories.

About AgilOne
AgilOne is the predictive marketing cloud company that helps marketers connect with the individual in every customer. Harnessing the power of machine learning to integrate, cleanse and analyze big customer data, AgilOne helps prescribe exactly the right marketing offer, makes each relationship more profitable, and simplifies the science of marketing. Leading consumer brands, including The Body Shop, BetaBrand, Shazam, Sports Authority, Moosejaw and shopPBS.org, use AgilOne to discover immediate actions to boost revenue and customer engagement. Based in Mountain View, CA, AgilOne is venture-funded by Sequoia Capital, the Mayfield Fund, and Tenaya Capital. For more information, please visit www.AgilOne.com.

Contact Information