Companies are laser-focused on acquiring new users and planning product launches, but they're overlooking a critical step: activating those users and unlocking value for both the users and the business.
The goal is to create sustainable growth loops that encourage users to continually engage with the product and develop a habitual usage pattern.
Some examples include:
- Duolingo’s use of push notifications, and gamification to remind users to keep using the language learning app, until it’s a daily habit.
- Uber’s use of reward points for discounted rides or upgraded experiences incentivizes users to keep using the ride-share service.
- Canva sends its customers personalized videos showcasing the service’s value before asking for renewal, ensuring the ROI of the design tool is top of mind for renewing customers.
Now we’ve discussed how others use lifecycle marketing, how can it benefit your organization?
Lifecycle marketing and its importance
Lifecycle marketing is focused on building strategic communication flows that deliver the right messages to the right users at precisely the right moment.
It's about creating a nuanced approach to nurture user growth within the company.
The core objective is to trigger messages that help users maximize the value they extract from the product, while simultaneously enabling your business to derive value from user engagement.
The key is crafting targeted, intelligent communication that serves both the user's needs and the company's growth objectives. By strategically timing and personalizing interactions, we can create a win-win scenario where users feel supported and the business continues to evolve and improve.
Creating lifecycle marketing in your GTM motion
When diving into lifecycle marketing, you've got to start with a clear goal and think about it on a personal level.
When you're going to market, you're hunting for that initial traction. Maybe you're introducing a new product, expanding an existing one, or launching new features.
The goal? Win over a select group of early adopters – your core supporters.
This means being laser-focused on your messaging, highlighting your product's unique value proposition, and carefully choosing the channels you'll use to reach people.
But here's the critical part: getting to market and gaining some initial users isn't the finish line – it's just the beginning.
Too many companies make the mistake of thinking, "Great, we've launched, we've got a few users, time to sit back and relax." Nope. That's where lifecycle marketing comes in.
Your real mission is to nurture these users. Provide them with:
- Targeted information
- Valuable knowledge
- Powerful motivation
- Compelling offers
The beauty of this approach is that it's not just about monetary value. When users engage with your product, they're giving you something incredibly valuable: rich, nuanced data about how the product is actually used.
Eve Chatfield
You'll uncover hidden values you never even knew existed – insights that are pure gold for long-term product growth.
Here's my strategic breakdown:
- Start with the end goal in mind.
- Don't just get users into the product – get them to continuously extract value from it.
- Develop a genuine relationship, not a one-time interaction.
The key is to work backward. Map out the typical user journey, identifying: different touchpoints, potential interaction moments, and specific scenarios where you can create remarkable experiences.
Think of lifecycle marketing as an ongoing conversation. You're not just selling a product; you're creating a dynamic relationship where both the user and the company continuously derive value from each interaction.
This approach transforms lifecycle marketing from a transactional process into a strategic, deeply personalized journey of mutual growth.
Nick Chang
Common pitfalls of lifecycle marketing
Let me break down the three critical mistakes companies make with lifecycle marketing – and more importantly, how to fix them.
Mistake #1: The one-size-fits-all approach
Most companies fall into a dangerous trap: they acquire a set of users and then blast everyone with identical messages.
No personalization, no segmentation – just a generic communication strategy that completely ignores user diversity.
Here's the reality: every single user is unique. They have different demographics, behaviors, needs, and expectations.
Instead, implement a more tailored approach:
- Use robust data segmentation
- Create personalized user experiences
- Leverage user-specific insights to craft targeted interactions
Mistake #2: Neglecting post-acquisition strategy
Companies get caught up in making a massive market splash. They pour resources into initial awareness, marketing materials, and getting their product in front of as many eyeballs as possible. But then what?
Most forget to answer critical questions:
- What happens after users sign up?
- How will we engage them?
- How do we nurture the relationship?
You can solve this by integrating lifecycle marketing directly into your go-to-market strategy. This means:
- Defining post-signup interactions
- Mapping out touchpoints (first contact, second contact, etc.)
- Tracking user milestones
- Anticipating potential drop-off points
Mistake #3: Underinvesting in resources
There's a common misconception that lifecycle marketing is a "cheap" relationship maintenance strategy.
Companies assume it doesn't require significant investment compared to paid ads or influencer marketing. They assume wrong.
Successful lifecycle marketing demands serious resources, such as:
- Robust customer engagement tools
- Efficient CRM systems
- Experienced lifecycle marketing professionals
- Quality data infrastructure
- Dedicated budget and strategic focus
Lifecycle marketing isn't an afterthought – it's a critical, resource-intensive strategy that can make or break your customer relationships.
Kate Onley-Gregson
Linking CRM data to marketing efforts
When it comes to marketing success, the key is creating a balanced approach that seamlessly integrates front-facing and back-facing marketing tools. Let me break down the strategy:
Integrating marketing tools
Your front-end marketing should focus on demand generation and acquisition. This includes: your paid ads, third-party publisher partnerships, organic marketing efforts, and influencer marketing.
The magic happens when you create smooth data streaming between your acquisition platforms and your customer relationship management (CRM) system. This is where a marketing automation specialist becomes crucial.
They ensure that:
- Acquisition platforms feed data into your CRM
- Your CRM captures engagement data
- Different tools communicate seamlessly
Proper CRM instrumentation
Your CRM needs robust data collection capabilities to get your organization’s data foundation right and set yourself up for long-term success. This means:
- Tracking specific events
- Capturing detailed attributes
- Creating comprehensive reporting structures
Your marketing tools will work together consistently, creating a more efficient system to track customer interactions.
Kate Onley-Gregson
Single source of truth
To truly optimize your marketing, consider developing an integrated data structure. This typically involves:
- Using a data warehouse or customer data platform.
- Collecting information from multiple platforms.
- Implementing ETL (Extract, Transform, Load) processes.
- Creating a centralized repository of customer information.
The goal is to have a reliable, comprehensive view of your customer profiles that can be easily accessed and utilized across your marketing ecosystem (and wider GTM team).
By focusing on these three key areas - integrated marketing tools, proper instrumentation, and a single source of truth - you'll dramatically improve your marketing effectiveness and potentially increase your conversion rates by up to 10 times.
Metrics for success
When it comes to measuring marketing performance, I focus on bottom-of-the-funnel metrics that truly matter. Let’s break down the key indicators I track:
Lead to sales conversion rate
The most critical metric is understanding how leads translate into actual sales. This is measured by the lead-to-sales conversion rate.
It allows you to know:
- What percentage of leads convert to final sales?
- How effectively are we turning potential customers into paying customers?
Campaign delivery metrics
It's not just about generating leads, it's also about ensuring they actually see your message. You can track this with:
- Delivery rate
- Open rate
- Click-through rate
- Interaction rate
These metrics tell me how many people are receiving and engaging with our campaigns.
Financial performance indicators
To get a comprehensive view, I also analyze financial metrics such as: average contract value (ACV), sales cycle length, and cost-to-return ratio.
The sales cycle is particularly important, it lets you know how long it takes to move a lead from initial contact to closing the deal. Understanding this helps optimize our entire marketing approach.
By closely monitoring these metrics through our CRM, we can continuously refine our marketing strategy, improve conversion rates, and ultimately drive more effective business growth.
Cecilia Toro
Final thoughts
Lifecycle marketing isn't a magical solution that suddenly transforms your business overnight. It's about putting in real, consistent effort to retain your customers.
You've got to be willing to roll up your sleeves, dig deep, and continuously work at understanding and improving how you engage with customers throughout their entire journey with your brand.
This is about strategic, purposeful marketing that takes time, energy, and real commitment.
