In our latest webinar on Ecommerce Trends: Retail Media Edition, we had the privilege of interviewing Pablo Scasso*, a leading Digital Commerce and Supply Chain Expert with more than 15 years of experience. Among the topics addressed, user loyalty emerged as a crucial aspect in the world of digital commerce. In this post, we will explore how to build user loyalty using the 3E model: Expectation, Experience and Emotion, designed to boost customer retention and recurrence.

Read more: How to build user loyalty? The 3E model: Expectation, Experience, Excitement.

How to build user loyalty? The 3E model: Expectation, Experience, Excitement.

We live in an interconnected era, where the competition between brands to capture the user’s attention is intense. Platforms like Instagram and TikTok have perfected content personalization, creating unique sessions for each user.

Traffic sources

It is necessary to differentiate between visits and unique visitors:

• Organic: Non-paid Google search (SEO).
• Direct: type url in the browser.
• Paid search: keyword ad in search engine (Google Ads).
• Reference: link from another site.
• Email: link from an email.
• Paid media: Pay-per-click ad link, generally related to previous navigation (retargeting).

The Conversion Funnel: Beyond Acquisition

Acquiring users is only the first step in the conversion funnel. From product discovery to closing the sale, each phase is critical. However, the real challenge lies in building customer loyalty after the initial transaction.

How to build user loyalty: The 3E Model: Expectation, Experience, Emotion.

Expectation: Beyond Promises

In the pre-delivery phase, at the front end, we create expectations that influence the customer’s perception. What does the customer expect to receive from what they are buying? How do we communicate this? Are we overpromising? It is essential to avoid over-promising and focus on over-delivering design.

Experience: The balance between expectation and reality

Customer experience is defined by subjective perception. From what they expected when they saw the picture of the product (e.g. size) to the delivery time they interpreted at check out. Reality versus expectation determines whether the experience will be positive or negative. It is always better to over deliver on experience than to over promise on expectation.

Emotion: The cement of memories

The emotions resulting from an experience linger in the memory. Listening to the customer and providing appropriate responses are key. Emotion is what will connect us to user retention.

The importance of user retention

In an environment where the cost of capital has increased, user retention is vital. The 3E model highlights the need to deliver what is promised to achieve purchase recurrence. Acquisition cost efficiency is optimized when users return.

Why focus on Retail Media?

The focus on Retail Media is becoming essential in today’s digital commerce for a variety of strategic reasons and tangible benefits:

• New revenue stream: The addition of Retail Media offers a solid new revenue stream for brands. Through effective strategies, brands can monetize their presence on ecommerce platforms, generating additional revenue that not only contributes to financial growth but also diversifies revenue streams.
• Better segmentation: Retail media allows for more precise and detailed audience targeting. Unlike other forms of digital advertising, e-commerce platforms have access to purchase behavior data, which facilitates the creation of highly targeted advertising campaigns. This precision increases the relevance of ads, improving effectiveness and maximizing ROI.
• No reliance on third-party cookies: This not only ensures more ethical and privacy-friendly advertising, but also avoids challenges arising from increasing restrictions on the use of cookies.
• Direct connection to sales: By integrating with ecommerce platforms, brands can drive consumers to make instant purchases, bridging the gap between advertising and conversion, and generating a more immediate return on investment.
• Highly cost-effective: By leveraging purchase data, optimizing targeting and targeting ads to specific audiences, brands can maximize the efficiency of their advertising campaigns, reducing costs and increasing profitability.
• Synergy to the built: For brands that have already built a solid presence on ecommerce platforms, Retail Media creates synergy. By leveraging the already engaged audience, brands can boost visibility and increase customer loyalty, building on the success already achieved in the digital environment.

How to build user loyalty: Discover our Digital Marketing Services

How to build user loyalty is an art and a crucial strategy in the long-term success of your business. At Known online, experts in eCommerce and Digital Marketing, we offer SEO, Performance and Automation services. Contact us to learn how we can boost your digital presence and improve user loyalty.