5 methods that will boost your direct marketing efforts:
87% of shoppers use coupons. Do you? Think of all of the coupons you receive in the mail, there are always a few that peak your interest. What do you do with the coupon you’re interested in? Hang it on your fridge? Put it in your car? That company that mailed you the coupon will stay relevant in your mind every time you see it.
There are many good reasons to incorporate coupons into your direct marketing strategy. Prospects like getting discounts for goods for services they need or already use. Prospects can also be persuaded to try your product based on coupons and discounts
Here are a few direct mail strategies that will help you focus your coupons and discount marketing efforts.
- Targeting your prospects
Targeting your prospects as specifically as possible will increase their likelihood of redeeming your offer. Identifying the prospects that fit your customer profile will increase your return on investment. If you target your offers correctly, you will give potential customers a reason to visit your business and ultimately become loyal to your brand. And you will save money on printing and postage by not mailing to the wrong audience.
- Percent off vs. Dollars off.
One of the most popular ways to offer discounts is percentage based discounts. This can include small incentive percentages like 5% or 10% off. If you really want to drive sales, offer discounts in the 20% and 25% range. Some of our clients will offer larger percentages like 50%+ to liquidate merchandise that is old or not moving, like furniture and appliances.
Dollars savings off will speak to the customer who relates more to money savings than the percent off. Offers that are based on a dollar value can also be positioned as a credit. We noticed that this makes people feel like they should use the credit or they will be wasting money.
- Create a Newsletter.
Creating a newsletter will keep you relevant and connected to your customer. When sending out your newsletter, why not include a coupon? It is a wonderful way to reward your core customer-base. Your customer may not even use the discount, but it will let your customer know that you value their business, and they will be more likely to look for a discount from you in the future. Your customer will not only get a discount, but will also learn more about your business in the process.
- Reward your repeat customers.
Offering coupons and discounts for repeat customers is a great way to build a long-term relationship with your customers and keep your profit margins healthy. Coupons are also attractive to first time buyers. The coupon reduces the financial risk associated with trying a new product or service.
- Expiration Date.
The expiration date may be the most important part of your coupon. Neglecting to include one can be very hard on your business. Likewise, not displaying it clear enough can result in a lot of angry customers.
We have found that the average expiration date for print coupons is around 7 weeks, or just under 2 months. For digital coupons, the deadline may be much shorter: 1 to 2 weeks, or even a couple days.