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Case Studies - Promotion
HOW IMPORTANT IS HAVING THE RIGHT AUDIENCE FOR A PROMOTION?
THE WISDOM:
It doesn't matter how good the offer is-if you offer it to people who have no need for the product.
HOW WE GOT THERE:
A direct marketing company was puzzled as to why a recent promotional mailing generated an extremely low response. Was the offer unappealing? Was the timeframe for the offer too short? Or was the mailing list flawed in some way? Our study of customers who received the mailing but didn't respond produced clear findings. The statistical model used to predict which customers would qualify for the promotional offer did a poor job of targeting the right customers. Fewer than one in ten indicated they would be making the kind of life decision required for the offer to be of any value whatsoever within the next year. No wonder response was low.
ACTION STEPS:
First we helped the client understand why their model and audience were incorrect. Our strategic report did not stop there, however. We also offered insight into how to enhance the offer so that when our client is ready to try this offer again, they can streamline their communication to customers and maximize its impact.
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