• Use available co-op databases and tools. If Abacus or Z-24 has worked well for you, participate in all the available co-ops. There’s a new player in this field, as well, a company called i-Behavior. It includes all product-level transactional information from all participants in its database, not just the last transaction. This means you can find buyers who may have been missing from other co-ops.
• Add a new product category to your assortment. A product lineup that’s too narrow can hurt your prospecting efforts by not offering enough assortment for new buyers. Extend your brand to new categories or sub-categories that fit within your overall brand positioning.
• Be as relevant as you can by using your database. Use your marketing database to find ways to speak more relevantly to your prospects. You may find that prospects from certain lists exhibit similar first-time behaviors, such as ordering specific items or in certain price points or categories. If so, speak to them with a customized message on a dot whack. Announce a promotional offer on the appropriate product, or tell them they can choose from 100 items that cost less than $50.
Growth from Customers
It’s easier to grow sales and profits from customers than from prospects. Customers already have indicated a preference for your brand or products and hopefully have had a good experience with you. Look for opportunities to get them to buy more frequently and/or increase their average order sizes. Following are some suggestions:
• Send more mailings to your best customers. This seems rudimentary, but many catalogers mail to their housefiles and prospect lists similarly. Both groups get the same catalog and offers at the same time and with the same frequency. If this is the case, you have an immediate opportunity to grow—mail your best customers more often.