Prospecting: Complete Cleaners Uses Targeted Rewards to Win Customers
Complete Cleaners, a "green" dry cleaner based in Trussville, Ala., gleaned many new customers earlier this year thanks to a targeted rewards program it launched with Regions Bank and rewards provider Cardlytics.
Complete Cleaners inserted targeted offers into the Regions Visa CheckCard online account detail pages of prospects who shopped at a competitive dry cleaning operation or clothing store in its area. When these prospects checked their accounts and studied their Visa CheckCard purchases, they saw ads for Complete Cleaners. The ads were often strategically positioned directly underneath the prospect's record of what they spent at a competitive cleaner. The messaging, which ran from April to June, read: "Visit Complete Cleaners through 5/31/2011 and earn 15% on a purchase!"
By clicking on the offer, account holders activated the reward before redeeming it at Complete Cleaners. The offer didn't require a coupon or promotion code; it was automatically redeemed when the prospect used their Regions Visa CheckCard to make a purchase at Complete Cleaners.
"Over the years I've spent a significant amount of money on direct marketing campaigns that were becoming increasingly expensive and ineffective," said John Patterson, owner of Complete Cleaners. "This program allows my marketing dollars to be spent only on people who actually come to my stores and use our services after they see and activate the offer."
Complete Cleaners sent out 1,600 offers during the three-month promotional period, helping it increase its new customer rate by 50 percent vs. the average new customer rate during the same time period. What's more, these customers' average order value was $33, an increase over the average $28 bill, according to Patterson. "And a high percentage of these new customers have already returned," he added.