Surprise and Delight – The Customer Experience

For most businesses, keeping your best customers happy is a key initiative. However, many companies’ efforts are thwarted by disparate data sources and ROI metrics that fail to measure a key element of the customer experience—appreciation.

Johnston & Murphy, a retailer known for the quality of its products, was able to establish a strong and loyal base with 52% of its best customers likely to purchase again within a year. Unfortunately, this left 48% of customers who typically waited more than a year or dropped off altogether. To help drive more revenue from this group, the retailer needed a clearer picture of the entire customer relationship. This meant creating a centralized database with shopping history from retail, e-commerce, catalog, and factory stores.

Armed with the right data, Johnston & Murphy created a compelling direct mail campaign that surprised this specific group of customers with a $50 gift card. Whereas many other retailers might have attached the gift card to a minimum spend to satisfy ROI concerns, this retailer opted to show its appreciation by enabling customers to use the gift card on whatever they liked. Delighted customers rewarded the retailer with a 50% redemption rate and a 70% jump in cross-category behaviors.

If you’re looking for ways to increase 3rd quarter sales, consider slipping into the best practices demonstrated by Johnston & Murphy and surprising your customers with an offer that is designed to positively delight them!

Quote of the Week: “The way to a customer’s heart is much more than a loyalty program. Making customer evangelists is about creating experiences worth talking about.” — Valeria Maltoni

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