Reactivating Dormant Users: A Strategic Driver for Customer Success and Business Growth
I recently came across an example of a plumbing and HVAC supplier’s tech division reactivating 12.4% of its dormant users in just six weeks. The result—a notable revenue lift—stood out as a clear demonstration of what’s possible when Customer Success (CS) is treated as a strategic priority.
Having seen first-hand, time and again how organisations have the potential to achieve similar outcomes. Reactivating dormant users isn’t an extraordinary feat reserved for a select few; it’s a practical and repeatable process that any growth-focused business can implement with the right approach.
Let’s explore how reactivation, driven by a strong CS strategy, can align with broader business growth goals and deliver measurable results.
1. Reactivation as a Strategic Quick Win
The success story focused on dormant users—those who had been active but disengaged—and used data-driven outreach to re-engage over 12% of them within weeks. This delivered an immediate revenue boost and validated the organisation’s CS strategy.
Why It Matters
Reactivating lapsed users is often more cost-effective than acquiring new ones. By leveraging customer data such as purchase history or engagement trends, organisations can identify high-potential segments and create tailored outreach campaigns that deliver measurable results.
2. Sustaining Long-Term Value Through CS
While reactivation provides an initial lift, it’s the long-term engagement that delivers sustained growth. The example emphasised an ongoing process of collecting feedback, improving the product or service, and adapting to customer needs.
Building Growth and Loyalty
Customer Success plays a critical role in fostering loyalty and increasing customer lifetime value. By treating reactivation as the first step in a broader strategy, businesses can create enduring relationships that drive predictable, long-term revenue.
3. Data-Driven Insights: The Foundation of Growth
The organisation’s success was underpinned by its use of analytics to identify patterns in user behaviour and predict which customers were most likely to re-engage. This approach allowed them to focus their efforts where they would have the greatest impact.
Start Where You Are
Advanced analytics platforms can accelerate this process, but even basic tools like CRM systems or engagement dashboards can help businesses identify dormant users and craft effective reactivation strategies.
4. Connecting CS to Business Growth Goals
Historically, Customer Success has been viewed as a support function, but this example highlights its role as a revenue driver. By focusing on reactivating customers who already understand your product’s value, you can strengthen usage, retention, and overall business performance.
Broader Implications
This approach isn’t limited to SaaS—it’s applicable across industries. By embedding CS into your growth strategy, you can improve retention, drive advocacy, and create a more stable revenue foundation.
5. Practical Steps to Drive Reactivation and Growth
To effectively reactivate dormant users, consider these steps:
Identify Dormant Users:
Focus on key data points such as:
Last engagement date (e.g., last login, last purchase, or last interaction with your team).
Usage frequency (e.g., drop-offs in product usage or service engagement).
Churn risk indicators (e.g., declining purchase volume, support ticket trends, or NPS changes).
These metrics will help you create a clear profile of disengaged users and prioritise those with the highest potential for reactivation.
Segment and Target:
Use your data to segment users based on their behaviour. For example:
Customers who stopped engaging after a specific product update.
High-value users who were previously frequent buyers or advocates.
Users who dropped off after onboarding but didn’t fully adopt the product.
Tailor your campaigns to address their specific pain points or reasons for disengagement, such as highlighting new features, offering exclusive benefits, or providing support to overcome barriers.
Maintain Engagement:
When users return, ensure they stay engaged by:
Providing personalised onboarding refreshers.
Delivering targeted content, such as guides or case studies relevant to their needs.
Offering loyalty programs or exclusive benefits to incentivise continued use.
Leverage Technologies:
The right tools can make all the difference. Consider these popular technologies:
CRM Platforms: Tools like HubSpot, Salesforce, or Zoho CRM to track customer interactions and identify dormant users.
Customer Success Platforms: Solutions like Gainsight or Totango to monitor customer health scores, churn risks, and engagement trends.
Email Marketing Tools: Platforms like Mailchimp or ActiveCampaign to craft personalised reactivation campaigns.
Analytics Tools: Google Analytics, Mixpanel, or Amplitude for behavioural insights and cohort analysis.
Engagement Automation: Tools like Intercom or Customer.io to automate targeted outreach and follow-ups.
Optimise Continuously:
Regularly review campaign performance using metrics like open rates, reactivation rates, and post-reactivation engagement. Use these insights to refine your strategy and scale your efforts effectively.
How can this effect your business:
Reactivating dormant users isn’t just a Customer Success win—it’s a strategic driver of business growth. By combining data analysis, targeted outreach, and a commitment to long-term relationship building, businesses can unlock new revenue opportunities and strengthen their overall growth strategy.
If you’re ready to explore how Customer Success can transform your business outcomes, let’s start a conversation. I specialise in helping organisations build trusted, mutually beneficial relationships that drive sustainable growth. Reach out today to discuss how we can help you turn dormant users into loyal advocates and achieve measurable success.