Liquor World had run Direct Mail off and on for years. They had previously only tracked success with numbers of coupons redeemed. They had also seen costs as high as $1+ per delivered piece. They had concerns that existing customers were the largest users of the coupons, costing them lost sales revenue.
Notice U Marketing got involved and delivered vast improvements:
First, we worked with the new POS system and the Management of Liquor World to come up with tracking codes giving Liquor World to compute real ROI and see how many coupons drove new customers.
Second, we personally worked with the post office to come up with big money saving opportunities.
Third, we developed all creative in-house which included original photography, art, and layout. We worked with Liquor World management to make smart offers that were built to increase order levels from existing customers as well as incentivize brand new customers.
Fourth, we negotiated some killer print rates and delivered extremely high quality final print pieces.
Fourth, we hand pre-sorted, hand counted, and hand labelled the entire 100,000+ mailings. This move alone saved Liquor World thousands of dollars in mailing fees.
The digital tracking of the coupons saw a dramatic increase in:
- Size of orders from any existing customers using the coupon went up dramatically. We saw spending increases of 200% in many cases.
- New customer acquisition was outstanding at 72% of the coupons received.
- What’s more, new customer retention rates were measured at 40% delivering a big Customer Lifetime Value benefit.
With the reduction in costs and the tracked increase in sales the benefit of Direct Mail went from an unknown to known. The medium became a managed tactic that continues to build Liquor World’s success.