Results: “The response rate to this campaign was substantial in two areas,” Seaton points out:
1. Improved prospecting efforts. Typically, outbound cold calling campaigns required 100 calls to secure one mortgage customer. By using e-mail to prequalify leads, 70 percent to 80 percent of the leads produced by the e-mail resulted in mortgage sales.
2. Ancillary sales. In addition to meeting mortgage sales goals, the Financial Advisors also were able to sell customers banking services, such as savings accounts with automatic monthly deposits, that would help them achieve their homeownership goals.
According to Seaton, this e-mail/phone campaign has been conducted twice and will continue in the future.
Lessons Learned: 1) E-mail is “a response-intensive channel that can engender not exactly the response you expect,” says Seaton. The customer’s reply could be unrelated to the offer, such as praise, complaints, questions or other feedback; your operation needs to be buttoned up and prepared to handle any communication. 2) You can’t just cut and paste copy from channel to channel and get a good response; no general formula works for all channels.
Case Study: Frederick’s of Hollywood’s Dollars-off Promotion
Goal: Increase the average order value and boost response
Media: Catalog, e-mail and the Web
Tools: Lyris Technologies e-mail solutions
Campaign: A typical promotion used by Frederick’s of Hollywood in its catalog is a dollars-off campaign, where the more customers buy, the more they save. The savings tier might look like this, says Jennifer Bedolla: $10 off $100 orders; $20 off $150 orders; $50 off $200 orders; and $75 off $350 orders.
Bedolla wanted to see if the same promotion mirrored in an e-mail campaign to the customer and prospect file would lift sales measurably.
E-mail clickthroughs were tracked via back-end links to Lyris Technologies. Frederick’s also conducts matchbacks to attribute online sales to catalog drops.