Post by hereticus on Apr 29, 2006 11:12:32 GMT 1
Good to see the postings from Des (GVM) and others on the subject of marketing / sales promotion ideas, and I hope that everyone out there is going to chip in with their own touch of brilliance.
This was one of the topics which we raised at the Advisor Feedback Seminars in January and, based on comments made through this forum, one page of the 27 page dossier presented to management concentrated on sales promotions. As many of you never saw, or requested, a copy of the dossier, I am pleased to reproduce the particular page below. I post this simply to bring everyone up to speed on what has already been said, in the hope that it will spark further comment, new ides, and maybe some thinking outside the box.
We told Hillarys Management that :
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The traditional Hillarys advertising banners proclaiming ‘50% off’ and ‘2 blinds for a fixed price’ have become outdated, too predictable, and too repetitive. Advisors are bored with it, customers are bored with it, and it no longer grabs the attention or has any impact. The adverts and leaflets also give out the wrong image, stressing the ‘offers’ to the exclusion of all the other factors that might attract customers – choice, quality, and service.
The current promotion (three or more blinds) is actually seen as a retrograde step because it has abandoned the option of any sort of deal on two blinds. A customer wanting one blind can often be encouraged to pay a little more for two, but not a lot more for three. The only real beneficiaries from this promotion are the customers who were already intending to buy multiple blinds, and this option always existed anyway because the ‘2 for’ offers were always applied on a pro-rata basis for more.
Suggestions have been received from Advisors for consideration as follows :
1) Quantity Discount – possibly as a standard feature rather than a promotional tool, for example :
One blind - list price
2 blinds - 10% discount
3 blinds - 15% discount
5 + - 20% discount
10 + - 25% discount
2) BOGOF Principle – as a change from ‘2 for’ offers, selected fabrics only, retaining list prices but with extra incentives for multiple orders, for example :
Buy one, get second at half price (equivalent to maximum 25% discount but usually less as windows rarely the same size)
Buy two, get third free (equivalent to maximum 33%, as above)
Buy three, get two free (equivalent to maximum 40%, as above)
3) Package Offers – on the same principle as the successful ‘Conservatory Verticals for a fixed price’, could also be applied to other types of blinds in Conservatories, and to mixed blinds – for example Whole House, up to ten blinds (vertical, venetian, roller) for a fixed price, with unit price premiums for others such as + £ per window for Wood / Roman.
4) Discount Vouchers – discount could be subject to a minimum order value and then escalate with increasing order value.
5) Cheap and Cheerful – there is a place for the very cheap offers such as 3 for £ 99 when leads are down but not by offering mainstream quality product at silly prices. These offers should be very short term, limited to one per household and specifically related to limited stock / discontinued lines – only then can the credibility of normal pricing be justified, giving some hope of trading up. These offers should also be on a ‘supply only’ or ‘fitting charge payable to agent’ basis.
Final comment is that promotional advertising should be honest and within the law, which requires that ‘up to 50% off’, for example, should all be the same type size.
-------------------------------------------------
Hope this inspires some further creative thinking.
This was one of the topics which we raised at the Advisor Feedback Seminars in January and, based on comments made through this forum, one page of the 27 page dossier presented to management concentrated on sales promotions. As many of you never saw, or requested, a copy of the dossier, I am pleased to reproduce the particular page below. I post this simply to bring everyone up to speed on what has already been said, in the hope that it will spark further comment, new ides, and maybe some thinking outside the box.
We told Hillarys Management that :
----------------------------------------------
The traditional Hillarys advertising banners proclaiming ‘50% off’ and ‘2 blinds for a fixed price’ have become outdated, too predictable, and too repetitive. Advisors are bored with it, customers are bored with it, and it no longer grabs the attention or has any impact. The adverts and leaflets also give out the wrong image, stressing the ‘offers’ to the exclusion of all the other factors that might attract customers – choice, quality, and service.
The current promotion (three or more blinds) is actually seen as a retrograde step because it has abandoned the option of any sort of deal on two blinds. A customer wanting one blind can often be encouraged to pay a little more for two, but not a lot more for three. The only real beneficiaries from this promotion are the customers who were already intending to buy multiple blinds, and this option always existed anyway because the ‘2 for’ offers were always applied on a pro-rata basis for more.
Suggestions have been received from Advisors for consideration as follows :
1) Quantity Discount – possibly as a standard feature rather than a promotional tool, for example :
One blind - list price
2 blinds - 10% discount
3 blinds - 15% discount
5 + - 20% discount
10 + - 25% discount
2) BOGOF Principle – as a change from ‘2 for’ offers, selected fabrics only, retaining list prices but with extra incentives for multiple orders, for example :
Buy one, get second at half price (equivalent to maximum 25% discount but usually less as windows rarely the same size)
Buy two, get third free (equivalent to maximum 33%, as above)
Buy three, get two free (equivalent to maximum 40%, as above)
3) Package Offers – on the same principle as the successful ‘Conservatory Verticals for a fixed price’, could also be applied to other types of blinds in Conservatories, and to mixed blinds – for example Whole House, up to ten blinds (vertical, venetian, roller) for a fixed price, with unit price premiums for others such as + £ per window for Wood / Roman.
4) Discount Vouchers – discount could be subject to a minimum order value and then escalate with increasing order value.
5) Cheap and Cheerful – there is a place for the very cheap offers such as 3 for £ 99 when leads are down but not by offering mainstream quality product at silly prices. These offers should be very short term, limited to one per household and specifically related to limited stock / discontinued lines – only then can the credibility of normal pricing be justified, giving some hope of trading up. These offers should also be on a ‘supply only’ or ‘fitting charge payable to agent’ basis.
Final comment is that promotional advertising should be honest and within the law, which requires that ‘up to 50% off’, for example, should all be the same type size.
-------------------------------------------------
Hope this inspires some further creative thinking.