Archive | February, 2014

How a Frozen Yogurt Business Uses Marketing Promotion to Create Loyal Customers

8 Feb
Customer Experience

Free frozen yogurt AND your picture on the wall.

Brain Freeze Owner: “So how much does it weigh????”

Me: “How much does what weigh? Oh, you mean our two paper cups filled with three different kinds of frozen yogurt (cookies & cream, red velvet cake, and vanilla) and topped with caramel, capt crunch cereal (yes), crushed oreos, frosted animal crackers, smashed twix bars, sprinkles, and white chocolate chips???????”

Brain Freeze Owner: “Yeah! Tonight is ‘Guess the Weight Night.’ If you guess the correct weight, you get the frozen yogurt for free and get your picture on the wall! People show up rain or shine on Wednesday nights for the contest.” 

It’s a simple, yet effective, way to create customer engagement. Here are a few highlights from the promotion:

  1. Occurs on a Wednesday – typically one of the slowest day of the week for frozen yogurt. This contest ensures that a steady stream of customers will visit during a ‘slow day.’
  2. It’s fun for everyone – you should see the adults acting like kids when they guess the weight. The kids love it too. Fun for the whole family.
  3. Shareability – when people guess right (there were seven correct guesses the day we visited) they share the post on social media sites. This turns into free advertising/publicity for the yogurt shop.
  4. Awesome Customer Experience – Brain Freeze interacts with its customers, and features them on the wall. It’s a way to differentiate from its competition. The competition is probably too lazy to create a fun promotion for its customers.
  5. Loyalty – it’s the weekend and a customer wants frozen yogurt. Well, I want to take my family/friends to the place where my photograph is on the wall. I want to go to the place that makes things fun. That place is Brain Freeze.

Do you have a weekly/monthly promotion that is both fun for your customers AND creates customer loyalty? I bet you can come up with very creative ways to entertain your customers. Spend a week thinking about how you can implement a promotion that will create customer loyalty. Customer loyalty, money, and sustainability go to the businesses that differentiate and implement.

Good luck!

Advertisements

How Airbnb Created an Amazing Customer Acquisition Marketing Campaign

4 Feb

customer acquisition

This is an excellent new customer acquisition campaign from Airbnb.  Let’s take a look a few of the reasons this is such a great campaign:

A Clear Goal:

The goal of this campaign is obvious: entice new customers to try http://www.airbnb.com, to generate additional revenue for the company. One way to increase revenue is by adding new customers to your existing client database. It’s simple: new customers = additional revenue.  A secondary goal is to convert the new customers (promo/trial customers) to loyal customers  after the promotion ends.

 Defined Target Market

– Consumers who have never used Airbnb

– Consumers who use social media

Because the deal was announced via social media, it’s clear that the company is targeting consumers who frequent social media sites. I’m sure Airbnb has data that shows most customers discover the company via online search. social media, and word-of-mouth. It knows exactly where its target market is hanging out.

Also, because it’s such a great deal, Airbnb benefits from free advertising when people share the deal with family and friends – there is a viral element to the ad because it’s such a great offer. This reduces marketing expenses and increases the ROI for Airbnb.

Clear, Simple Offer

Does the offer make me stop what I’m doing to learn more? Is the offer worth my time?  Definitely.  If you’re going to make an offer, make sure it not only makes sense financially but also gets people excited and gets people talking. I suspect Airbnb allocated part of its marketing budget to pay for the free offers that would be redeemed. It avoided the high costs of advertising the deal via traditional channels (print & TV), and instead relied on its current customers to spread the deal via social media.  

Deadline to Redeem the Offer

You needed to book your trip between January 13th and 17th, travel by March 31st, AND book for at least two nights (first night is on Airbnb). I’m sure the winter months are a slow time for Airbnb. This offer was an attempt to generate revenue during the slow months, while also hoping that some of the new clients will stick around and try Airbnb next time they travel.

Is There a Way to Track Whether the Ad is Successful?

Yes. You must enter promo code: ONENIGHT to redeem the offer. This promo code allows Airbnb to easily track how many people redeemed the offer. Airbnb can also determine  how much revenue was created by not only this offer but also any future business from the customers acquired during this campaign. Armed with this data, Airbnb can adjust future marketing campaigns to maximize return-on-investment (ROI).

How Can You Apply Some of the Lessons from This Airbnb Marketing Campaign?

Before you create advertisements and marketing campaigns, you should always determine the goal of the marketing campaign. Is it to create brand awareness? Is it to acquire new customers? Is it to reward existing customers?

Also, take time to crystallize your target market. So many marketing campaigns fail because companies fail to clearly define the  target market. Who are the people we are targeting with this marketing campaign? Does our ad/message resonate with the target market? Are we marketing our product/service where the target market hangs out?

Is there a clear call-to-action? What do you want the target market to do after they view your advertisement? 

Is the offer irresistible? Is there a deadline to redeem the offer?

What happens AFTER they take advantage of your promotional offer? How do you follow up to ensure the new customer(s) become lifelong customers?

A successful customer acquisition campaign includes: a goal, a defined target market, an irresistible offer, a clear call-to-action, and systems to convert new customers to lifelong customers.

Good luck!

%d bloggers like this: