You probably know that a prospectneeds to see the name of your business an average of seven or eight timesbefore they trust you enough to buy.
When you consider the high cost ofadvertising and the potential lifetime value of every customer, it makes senseto try to recapture your inactive customers – people who have not purchasedfrom you in the last six months to two years.
Direct mail – specifically,postcards – can be an inexpensive means of accomplishing this goal. However, tomake your campaign most effective, you need the following: 1.) a good list; 2.)strong offers; 3.) eye-catching creative; 4.) repeated mailings; and 5.)measurable results.
Begin with your list. Take a lookat each inactive customer. Does the person live far away and came to your storeonce, or did he or she buy from you many times? How much has the customer spentwith you? How long has it been since you have seen him or her? Answering thesequestions can sometimes give you a better idea of who these inactive customersare.
Now, you need to find out why theystopped doing business with you. Was it a problem with your product or service?Price? What would it take to get them back in the door? Since most customersdon’t complain – they just leave – negative feedback is a gift. Call a few ofthose customers to find out the reasons why they left.
Once your list is cleaned up, youare ready to create your offers. Remember, inactive customers are very hard tomotivate and will not respond as often as your loyal customers.
With that in mind, make yourcoupon or offer aggressive. Spending a little money here is a wise investment.Many will not respond, and those that do have the potential to become regularcustomers in the future. Don’t waste your money on postcards if you’re onlygoing to offer a 10% discount.
Pick a coupon that will appeal toa lot of people and gets them back a couple of times. For example, “Buy one oilchange, get the next one free.” A free service, substantial discount (like 20%off) or an added value to a purchase typically work well. And, relating the discountto your product or service gets you more bang for your buck.
To keep your piece from going inthe trash, make sure it’s eye catching. Use bright colors, bold the offer oruse large-size font. Use an unusual picture, an odd shape or a clever statementto get attention. Make sure both sides of the postcard are compelling.
Plan to mail once a month for atleast three months in a row. If summer is when you make your money, schedule acampaign for April, May and June. People need enough time to respond. Fornon-responders, you may even want to increase the discount you are offering.
Finally, make sure your resultscan be measured. A discount code for your Web site, a coupon that must bebrought in to be redeemed or asking customers what prompted their purchase whenthey come in are examples. You may even want to split your mailing into twogroups and test different wording or incentives. Tracking the results will helpdetermine what works and where you should spend your money next time.
– By Angie Nielsen, CEO, MailAmerica Inc.
