As you probably know, there are only three ways to increase revenue:
1. Get more customers
2. Get them to spend more
3. Get them to buy more often
It’s this last one we’re going to focus on now, with two great examples.
What’s in the Mail?
If I go out and get the mail, Lorie will ask if we got anything interesting. If I tell her that we got a Kohl’s catalog, she stops what she’s doing and peels off the sticker on the front cover to see whether her coupon is for 10, 20, or 30 percent off.
We have a theory that this number is not determined randomly, but rather, by activity-or, more accurately, inactivity.
Lorie thinks that if she hasn’t been in the store for a while, then they send her the 30-percent coupon as an incentive to get her there.
Kohl’s does a tremendous job of marketing, particularly in the all-important area of getting people into the stores-and getting them there on a regular basis.
That’s why they periodically offer something called “Kohl’s Cash” where you get $10 in store credit to use on a future visit for every $50 you spend in the store.
Essentially, they give you lots of incentives to go shopping there, rightly assuming that if you come in to spend $20 in Kohl’s Cash, that you’ll probably end up buying $40 or $50 or $60 in total purchases, and paying for the difference yourself.
Break-Even is Good Too!
But even if you spend the exact amount of the Kohl’s Cash-and don’t kick in any of your own money – it’s still okay… because they helped get you into the habit of visiting the store, which is absolutely essential.
It’s this level of frequency that is so important in turning casual buyers into dedicated customers- exactly what we’d described in #3 on the list from before: “Get them to buy more often.”
Okay, Time for a Glass Industrial Engineering Ppt of Wine…
Of course, this concept isn’t limited to clothing; it applies equally well in other areas.
Take wine, for Manufactured Products Definition example.
In the past, we’ve featured some contributions from our favorite local wine store, “Wine 101” and its owner, Joe O’Keefe. In fact, we interviewed Joe last year for our Advanced-Strategy series and discovered how he built a thriving wine business in the middle of the worst economy since the Great Depression.
Joe is a master in the art of “Relationship Marketing” but there’s more to his success than just that.
One thing he does to generate traffic is to send out regular e-mail communications to his list.
These include not only the regular end-of-the-week wine-tasting lineups for Friday and Saturday, but also special offers, sales, and deals that he finds during the week.
Build a Community
He’s also created an environment where a “regular crowd” shows up on Friday evenings for the wine tastings. We’ve made some good friends there over the years, based on a common interest in good wine.
Make It Eventful
One final strategy Joe uses is “manufacturing” special events. Whether it’s a visiting winemaker, a restaurant that didn’t want a shipment of wine, or a New Year’s “clear the decks” sale with big discounts, there always seems to be a reason to go into the shop.
In fact, I’d say we’re in the shop at least once every two weeks on average. Granted, we don’t buy something every time we’re there, but we do buy a few bottles when we like what we’re tasting, and we stock up when he has the big sales.
Get Them to Consume
If you give your customers, clients, and members a good reason-or any reason-to take advantage of your products or services, they’ll be far more likely to do so than if you just wait for them to get the urge themselves.
And the more they interact with you and your business, the more likely they’ll be to continue working with you in the future, and introducing you to their friends, family, and colleagues.
