Marketing Question…Do Post Cards Still Really Work?
It’s
that time of year again when salon owners can start smelling “green".
As the end of the calendar year approaches salon owners enter into that
happy little place where dreams CAN come true. Unfortunately, the state
of our current economic condition is raising concern about what this
season will produce.
I
am a firm believer that things happen for a reason. If you are a
veteran of the tanning industry or just a neophyte, the bottom line for
every salon is the BOTTOM LINE! Everyone is talking about the economy
these days and if you throw in the consolidation that has been taking
place in our industry the forecast becomes very cloudy. Every month I
look at the salons that are canceling their Software Maintenance
Agreements with us and over 40% of them are because they have gone out
of business and over the past six months that number is creeping higher
and higher.
A
common philosophy shared by some of the salons that are going out of
business is that advertising and marketing cost too much. On the flip
side, salons that have not been as adversely affected by the downturn
are realizing significant returns on their marketing campaigns, with
the most effective medium being direct mail.
However,
there is a common misunderstanding with regards to what defines direct
mail and this will have a significant effect on the return of your
investment. Val-Pak and Lost Child mailers are considered direct mail
since they are sent through the Postal Service, but they are not sent
out to any unique identifiable demographic which is the real problem.
When you use this medium for your direct mail campaign you normally
send them out to a designated zip code area within your salon’s 2 to 3
mile radius. Companies that push these direct mail tactics are preying
on the allure of what they spin as “cost effective” marketing even
though only a small percentage of recipients actually meet your
clientele’s demographic. The end result is that you will most likely
have a very disappointing return rate even though you got a great
“deal” on the campaign.
Email
marketing is also fast becoming a front runner when it comes to direct
mail, but all you need to do is look in your mailbox each day to see
that the big box retailers like Kohl’s and Best Buy are still utilizing
post cards. If it wasn’t still working for them I don’t imagine they
would be spending the millions of dollars they do each year with this
marketing strategy.
If
you only send out one campaign to test the waters at least you will
have your own case study to come to your own conclusion. The most
effective way to maximize the return on your marketing budget is to
target those customers who not only meet your core demographic, but
have also been to your salon and previously spent their money on your
products and/or services. The beauty of this concept is that all the
data you need is stored conveniently in your salon software’s database.
To
start off each year I recommend that you send a post card to every
customer who visited your salon within the last one to two years
depending on your budget. This is a great time to reintroduce your
salon to those customers who have not been in for a long period of time
as well as providing a great buying opportunity for your loyal
regulars. When you can expect at least a $1 to $3 return on every card
that you send out you really can’t afford not to get into this game.
Peace!
www.gohelios.com
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