We are ecstatic to announce that we have released a new addition to our ExperienceEngine™ tool. Now, you can integrate our machine learning model to determine which promotions fit your customers' needs best. Let's dig into it!
What does it mean when we say we "Added AI"?
We have created a machine learning model that takes data points from your customers, and determines if the are likely to churn, or if they are seemingly pleased with their subscription. Our machine learning model takes actions like the following to determine which segment your consumers belong to:
How many days has it been since the customer's first order?
What is the discount percentage on the customer's order?
How many orders has the customer made?
What is the price of the subscription order?
How many times has the customer skipped an order?
Do they continue to push out their next order?
What happens if a customer is considered a "Churn Risk"?
This is where we are able to start targeting segments based on what determination is made by machine model learning. We can now specify that this segment should receive a free gift to retain their business.
Why a free gift?
Because Stay was cofounded by two marketing experts, we have been able to determine the success that is initiated by granting your customers free gifts. In various case studies, we saw exponential growth and retention rates when customers received a free gift. Now, instead of sending free gifts to all of your customers, you are able to target those customers that need retention strategies the most!
What about the customers that are not a "Churn Risk"?
Loyal customers deserve love too - because of that, we give you the option to send heavily discounted or free products to your customers that have no indication they would cancel anytime soon.
We allow you to send up to 4 products to various parts of the non-churn risk segment, so you can compare the acceptance rate between products. You can then use this data to intelligently market and tailor the promotion to drive acceptance rates!
Okay, this all sounds great. Now how do I set it up?
Navigate to the Stay Ai merchant portal
Go to the Tools section
Click on "ExperienceEngine™"
You will now see two tabs - select "Use AI"
First, select which subscriptions you want this promotion to apply to:
All Orders = every subscription order
Orders Including = every order with a product that you will select
Orders with Only = every order that ONLY contains a product that you will select
Orders Excluding = every order that does NOT contain a product that you will select
Select the order cycle:
All orders, one per subscription = the promotion will fire only once per subscription
All orders, customers can be entered more than once = the promotion will fire randomly across all orders, and the targeted segment can include the same subscription more than one time
Order number = a selector for the order number this promotion applies to. For instance, if I selected “02”, the promotion would only apply to the first recurring subscription order.
Set up your promotion for the Churn Risk segment:
Free Product = where you will select which product you desire to send to the churn risk segment
Send this to X% of the segment = You can send the selected gift to anywhere from 1-100% of the churn risk segment
Set up your promotion(s) for the Non-Churn Risk segment:
Select Your Product = where you will determine the add on product and the dollar or percentage discount that the customers can add that product for. You can offer up to 4 promotion products
Send this to X% of the segment = where you will determine the % of the segment that product should go to.
Select how long you wish for your promotion to run for:
mm/dd/yyyy to mm/dd/yyyy = a calendar selected time period
mm/dd/yyyy until turned off = the promo will run indefinitely from the start date
mm/dd/yyyy until X customers sampled = the promo will run from the selected date until the selected amount of customers have been SENT a promotion. This does not mean they had to have completed the promotion
Determine if you want to A/B test these promotions. The purpose of A/B testing is to determine the overall impact of the promotion:
No = The segments you identified while setting up the “Churn Risk” or “Not Churn Risk” products will fire for the entire segments configured
For instance, if you selected 100% of churn risk customers to receive product A, 100% of the segment will receive product A.
Yes, X% with and X% without = the selected segments will and will not receive promotions
For instance, you selected for 100% of the churn risk segment to receive product A, and 100% of of the not churn risk segment to receive product b, then if you choose to A/B Test with 50% with and 50% without. This means that 50% of both the churn risk and not churn risk segments will not receive a promotion.
Ensure your promotion is named, and Submit!
Your new AI powered promotions are now created! Now what?
Your promotion will start to become active at the time that you configured - so make sure you have configured your email to contain the Promotion Block. To do so:
Navigate to the Notifications section of the merchant portal
Go to "Emails"
Go to "Upcoming Order"
Go to "Blocks"
Select "Promotion Block"
Now your customers will be able to see that they got a discounted or free product if applicable to their subscription! They will receive this notification 5 days prior to their order being shipped.
From here, you will be able to export a report of how your promotion is operating - acceptance rate per product, AOV before and after the promotion was sent - directly from the Promotions List in the merchant portal.
We hope this is helpful, and that you're as excited about this new feature as we are! For any questions, or issues, please reach out to your CS representative!