How does product operation awaken dormant and lost users?

Only truly active users can generate value and profits. In this article, the author will talk from the perspective of operations: How to awaken dormant users of financial products and recall lost users?

The operation of old users should be one of the most important tasks of our operation!

The frequency of user demand varies for different business products and scenarios, and financial products are relatively low-frequency products.

Just like new users, user loss or dormancy after registration can happen at any time, so while we are attracting new users and increasing retention, we must also pay more attention to user activation and recall.

To define dormant users, we need to first mention the user life cycle. The frequency of product use represents user activity. Active users are the more valuable data for our operations. Awakening dormant users is the most important task of the operations department.

It is normal for financial users to use the product 1-2 times a month. However, the user activity cycles at different stages are inconsistent.

The general trend is: new users -> users to be retained -> active users -> potential dormant users -> dormant users

Which users should be woken up?

First, we need to define which users need to be awakened, identify dormant users, and then define the awakening strategy.

For loan users, users at different stages:

1. Registered User

The threshold for user registration is relatively low, and generally only a mobile phone number is required. The login threshold also needs to be set relatively low.

Registered users may not take any subsequent actions, or their credit application may not be completed. There are many different situations for these users. We need to analyze the user's behavior trajectory and access path to analyze the specific reasons why the user is dormant.

1. Users who have been granted credit but have not borrowed money

The demands of borrowers are relatively clear and the conversion rate is relatively high. Generally speaking, the withdrawal rate of users after credit approval is 60-80%.

There are two main reasons why credit users do not borrow money:

1. Low credit limit: This is a major flaw. You can consider allowing users to apply for an increase in the credit limit, or guiding users to borrow money first and then the system will automatically increase the credit limit.
2. High interest rate: Give users discount coupons or interest-free coupons to increase user conversion and expectations.

1. Cleared users

This group of users are relatively high-quality users and we need to focus on them to improve their loan re-loan rate. Generally speaking, a loan re-loan rate of over 80% is a reasonable frequency. Operations colleagues who have not achieved this frequency should reflect on their mistakes first.

Increase credit limit: Most users are more concerned about their credit limit. Moderately increasing credit limit in stages will help activate old users.

Activities: Activities are an effective way to activate users. Most of our activities are targeted at new users, but old users are neglected.

It will be effective to give some coupons to old users appropriately and encourage them to bring some friends in with material means.

Reaching methods

Reaching dormant users is a relatively big challenge. Common ways to wake them up include SMS, Push, email, phone calls, etc. Generally speaking, our financial products do not have a complete ecosystem, so it is difficult to analyze users and to embed touch points along the paths that users frequently visit in a large ecosystem.

What we are more optimistic about is that dormant users have already used our APP products, and they have become aware of our products during the customer acquisition and registration processes. The vast majority of users have a strong demand for our products, and we have also accumulated some user data.

Specific reach:

1. Push

Advantages: Financial product users have a relatively high opening rate for messages about activities and discounts. We need to make a detailed analysis of users and it would be best if we could push different messages to each type of user.

Disadvantages: Too many push messages will disgust users and make them uninstall our APP. We must reduce the push frequency.

APP message push is one of the important operational means for APP operators nowadays, and it has a strong effect on user recall and user activity. APP message push is a double-edged sword. If used well, it can help APP operators achieve various operational goals efficiently. Otherwise, it will make users hate it, and in serious cases, it will lead to an increase in APP uninstall rate.

1. Short message

Advantages: high arrival rate and controlled costs. SMS recall also pays attention to differentiated solutions for different users, and pushes SMS messages to each user in different ways.

Disadvantages: The content of SMS is relatively simple, and the high frequency of SMS notifications can easily make users feel disgusted and block them.

After the user clicks the link in the text message, he will be redirected to the store to download the APP or promotion page, allowing the user to participate directly.

Most of the content of SMS notifications is related to activities. When we recall SMS messages, we must use text to attract users and use attractive activities to attract users.

1. EDM Mail

Advantages: lower cost.

Emails can convey a lot of content, and EDM push is more diverse in content presentation, including text, video, pictures, jump links, documents, etc.; in terms of content type, email push involves more APP product function update notifications, product usage tutorials, account information notifications, APP activity notifications, etc.

Disadvantages: Financial users do not necessarily leave their email addresses, and the email validity and opening rate are low.

The sending settings of EDM have certain technical requirements and are easily intercepted.

We did some experiments and found that emails from Alipay users generally have a higher opening rate. Attractive titles and content are also important. If the email title is attractive, the email opening rate will be high.

When using EDM, you should pay attention to email push delivery rate, email open rate, and user recall rate. Data analysis can help us better optimize email content, analyze user data, estimate push times, etc., better recall users, and provide better services to users.

1. Customer Service Hotline

Advantages: When other means fail to recall users, telemarketing can be used to achieve this goal. While converting users, it is also easy to contact users and analyze why other means failed to convert users based on user feedback.

Currently, the efficiency of using telemarketing robots is very high, and ordinary users cannot distinguish them.

Disadvantages: low efficiency and high cost.

There are many ways to recall APP users. We need to conduct user portrait analysis and convey different content to different users to maximize the user recall effect. Of course, first we need to reach real users.

Awakening Conversion

Regardless of recall or activation, what we are more concerned about is the conversion rate - how much revenue can this group of users actually bring through operations?

We first define the conversion path, and then use data analysis to optimize operations and solve problems.

1. Defining the population

Based on the particularity of financial products, we need to define a basic model of dormant users, such as:

• The user has not been accessed within 3 days after registration.
• Users who have not completed their application within 3 days.
• There are users whose loan limit has not been used within 7 days.
• Users whose loans have been settled within 30 days but have not been renewed.

For these users, we need to take the next step to activate them.

1. Operational Reach

There are many ways to reach users. We need to use different ways to reach users according to their different stages, such as:

• For users who have not uninstalled the APP, we first use Push, SMS, and email, and finally cooperate with telemarketing.
• For users who have uninstalled the APP, we use SMS, email and telemarketing.

Pay attention to the timing and interval of contact, so as not to cause user disgust or even complaints.

1. User clicks on a link

After receiving a text message or email, the user sees the link and clicks on the link in the text message. We need to pay attention to the embedding point behind this link. This is the first conversion point and we need to focus on it.

The conversion rate target for dormant users should be above 20%.

1. User login

After the user is converted, he will download, register and log in to our APP. This is the second conversion point. We need to observe what ratio of users fails to pass this link.

Note: After the user logs in to the APP, you need to give the user a discount reminder, telling the user to receive a cash coupon or discount and use it immediately, which will increase your conversion rate. At this step, the user conversion rate should be above 80-90%.

1. Apply for credit

The user's demands are relatively clear. They have downloaded the APP and logged in. To allow users to apply to this step, we need to observe the data every day to monitor the proportion of users who have not applied for credit and what problems these users have.

like:

• Unable to operate;
• I didn’t bring my ID and forgot about it the next day;
• Worried about safety risks;
• There is a bug in the system and the application cannot be completed.

1. Apply for withdrawal

For users who have been granted credit, the conversion rate should be over 50% at this time. We focus on the withdrawal rate of this group of users.

1. Reach out again

If the user you reach for the first time does not convert within 3 days, you need to follow up immediately.

We need to constantly try new models and methods of reaching out. Our operational experience includes:

• The conversion rate of SMS contact will be higher between 11-12 o'clock and 7-9 o'clock every day;
• There must be a hook to wake up users, such as cash coupons, discount coupons, etc.

1. Replay Analysis

According to our model list, we need to perform regular actions and conduct review and analysis every week.

Different products and different customer groups require different operating strategies, and we need to look at the data afterwards to analyze and refine our operating steps.

Recalled users should be treated like new users, just like getting to know a friend again, and different strategy combinations should be adopted for different users. No matter what method we use, we still have to focus on data in the end, that is, the reach rate of the content, the opening rate, the conversion rate of the link jumping to the APP download page, etc., and use data to measure the effectiveness of the content copy and the reach plan.

summary

From an operational perspective, there are many ways and channels to awaken users. However, the improvement of product quality and functions is the core force that can attract users back.

Analyze the new advantages and user characteristics of the product, and make the recall content, so as to obtain the best effect through the most optimized recall method.

The cost of retaining and awakening an old user is less than one-fourth of that of a new user. Only truly active users can generate value and profits.

Related reading:

1. Product operation: 2 major ways to get started to accurately control private domain traffic!

2. Product operation: How can products improve user stickiness?

3. Practical Tips + Case Studies | How to improve user stickiness through habits?

4. How to conduct user behavior analysis and improve user stickiness?

5. How to establish a user incentive system to enhance user stickiness?

6. How can products improve user stickiness? Here are 3 tips

Author: Operation Veteran

Source: Thunderbird Community