Recently, I started working with an automotive repair shop; Davis Repair. They recently hired a BMW technician. They wanted to reach out to nearby BMW owners to try to lure in some new customers. They weren’t sure where to start…
The shop owner wanted to test direct mail on a small mailing to evaluate if he should make it part of his 2010 marketing plan. We developed a campaign to market to the 500 BMW owners closest to his shop. The campaign was very simple; three monthly mailings of the same postcard to BMW owners.
The first set of cards was mailed in November. About a week after the mailing, Davis Repair received several calls for minor repairs and oil changes. However, they were also able to service one new customer’s BMW with a $3,000 repair. That one repair covered the cost of the entire campaign.
After the experience, the owner called to expand the marketing. He wanted to add the next closest 500 BMW owners. The modified campaign will now run for six months, alternating between the two groups. Since they have already covered the cost of both campaigns, all future business generated as a result of this mailing is profit.
This example shows how a direct marketing campaign should work. We defined the target market of BMW owners, developed a message tailroed to them, and reached out to them multiple times. As a result, new customers have come in, and with good customer service, will become regular customers.
We don’t yet have the Return On Investment (ROI) for this campaign, as it is only about halfway finished. The preliminary response shows promise, and the results have already paid for the entire campaign.
This campaign, though on the small side, shows what a direct mail campaign should do for your business. If you want help developing a campaign tailored to your business. I’d enjoy the opportunity to talk.