Database Marketing – the key to connecting with local market
The brief
A retailer in a small community - somewhat isolated from the rest of the city - was faced with little foot traffic, a lower socio economic population, and a high proportion of employed residents travelling out of the area each day to work. Despite being part of a nationwide franchise and loyalty scheme, very little support was offered at a local level. The business also had no customer database.
Having already had some market research completed, as well as various business plans and reports, our client needed someone to guide him through the marketing process, develop workable action plans and implement his marketing programmes.
The Synthesis approach
Using database marketing as the core marketing strategy, combined with a strong local community focus, we established a timetable of marketing communications to targeted groups of customers, based on the business’ key product groups. A process for collecting customer information was developed, which has now become an everyday part of delivering customer service within the store. A quarterly newsletter, closely reflecting the culture and persona of the business is also distributed throughout the community.
The results
The database has grown from 0 to 3000 households, which represents over 60% of the local population.
The newsletter has almost become a ‘sub brand’ of the business and is well recognised.
Turnover has increased by 30% in the last four years and is still growing strongly. This in a market that is experiencing declining revenues and a franchise group that has marginal growth.
Our client has ceased all public advertising except for a monthly column in the local community newspaper.
The business has won a number of awards within its franchise group, being recognised for business growth, customer service, customer loyalty, point of sale and highest value increase in Christmas sales.
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