KOLs are a critical channel in China and Parklu is known as one of the leading industry experts. They just recently put out a great deck around retention marketing. It's long, but it's one of the best things I've seen on the subject recently. Here are key takeaways:
- Increasing customer retention by 5% can increase profits from 25-95%
- Improving customer retention actually reduces customer acquisition cost (CAC)
- The best brands in China are building customer communities in private traffic channels (Perfect Diary is the paragon example)
- Customer retention is ripe for innovation, and is where smart brands are investing resources
- Many Chinese brands are using first party data to identify and better serve core, high-value customers.
- The KOC (Key Opinion Customer) phenomenon is already sitting in the palm of your hand
- CRM and marketing automation is more critical than ever to the process
- WeChat is a super-charged customer service, e-commerce, loyalty, and affiliate management tool