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The Search for the Holy Grail

In the famous “Bring Out Your Dead” scene from “Monty Python and the Holy Grail”, a medieval cart-master trudges along collecting the dead from the local citizens for burial.  A large man comes out with an old man in a nightshirt slung over his shoulder and starts to put the old man on the cart.  The man awakens and feebly protests “I’m not dead!”.  The man insists he is or “you will be soon” and enlists the cart-master to take him anyway.  Despite the old man’s protests, they kill him off and move about their business.  Are you moving away from customer sites that appear “dead” but may still have life in them?


Employing a Strategy

Customer Reactivation, matching inactive buyers against a data source to identify records with current activity elsewhere, is a long-established marketing practice. It allows marketers to mail only those contacts likely to still respond and extends the life of a customer site.  But what about the customer sites where you are unable to reactivate your contacts?  Are those customer sites dead?  Do they still represent opportunities for you?  What strategies can you employ to check the pulse of these sites before relegating them to the cart-master?

Utilizing our Pinnacle transactional database, we looked at data for mailers across several product category segments to see if inactive customer sites that appear dead still have life and represent on-going opportunities, even when we can’t reactivate a former buyer.  The below chart details the results of this process.


The data tells us several interesting things:

  1. Contact reactivation can be utilized to reactivate a significant number of inactive customer sites
  2. There are 2-3 times as many non-reactivated sites as reactivated sites (D/C)
  3. Non-reactivated sites have, on average, 4-5 potential buyers per site (F/G)

These “non-reactivated” sites represent an enormous revenue opportunity.  By applying product category selects to the New Contacts At Non-Reactivated Sites we further see approximately 40% of these potential new contacts have either core or adjacent product category purchases.  This makes them high potential prospects to replace your inactive buyer records.

If your holy grail is maximized site lifetime value through increased customer retention, then talk with your Solution provider (Pinnacle, MeritBase, OmniEngine, etc.) about their capabilities to both reactivate inactive customers AND target potential new contacts at inactive sites.  It may help you regain many more inactive sites, making your marketing quest that much more profitable.

Ed Larkin - Transactional Bases MeritDirect


Ed Larkin
Vice President, Transactional Bases

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