Here are some examples of how we help local businesses achieve their goals.
• For toy stores, we send to families whose children have an upcoming birthday. One of our customers keeps meticulous records. He found that his average new customer shops 4 times a year and has a lifetime of about 4 1/2 years. Cost to acquire – about $10 (figuring a 5% response). Average purchase is $40. Average lifetime value is $720. The frequency is because there are other gift-buying obligations through the year. The child has siblings or classmates who have invited them to their birthdays and, of course, there’s always Christmas. Ultimately, the child outgrows toys and starts shopping at GameSmart or Best Buy. Meanwhile, other children are born and/or new families are moving in.
We did a regular mailer for the theater group at Pheasant Run Resort in St. Charles. They promoted a birthday BOGO ticket program to people in their marketing area. Response rates were as high as 15%. Not only that, they were able to book dinner reservations for a significant number of respondents. Some, in fact, booked rooms for the weekend at the resort.
• Birthday mailers also go out for fitness centers. It’s a time of the year, much like New Years, when decisions are made for self-improvement.
For other types of businesses, we have programs that target new movers into the area. There are some businesses that have longer customer loyalties. When was the last time you switched dentists or hair stylists, for example? The best time to target prospective customers for these type of businesses is when the prospect has moved into their area, perhaps too far away from their previous provider. This strategy can work well for churches also.
We try to provide prospect lists that are meaningful to our customers. For HVAC companies, this could be a list of homeowners whose house was built between 2000 & 2005. Why then? If it hasn’t already, the original new home warranty is ready to expire. For real estate agents who have a “starter home” for sale, it could be a list of apartment dwellers with young children. For chiropractors, a list of prospects who have complained of pain and migraines. For senior housing, we can provide a list of single-family homeowners who are over 80 years old and probably getting tired of home maintenance but want to stay in the area. There are all kinds of possibilities.