Retail Furniture Chains

Increase Direct Mail Response Rates 30 to 50%

Challenge: Improve Retail Furniture Marketing ROI

Here is a story common to more than one furniture retail chain with various disparate data streams, but no view of the big picture and no way to analyze data for marketing. Oh sure, they had POS systems and inventory systems but they needed the ability to build predictive models and improve their direct mail marketing campaign targeting to specific customer segments. Improving profitability in today’s competitive and rapidly changing retail furniture markets is imperative. They came to Massa for results.

“Having worked on both sides of the Atlantic with data and database experts, I’ve found Bonnie to provide a breath of fresh air — outspoken, pragmatic, clear, and insightful in an industry full of jargon-speakers and shysters. She’s as honest as you’ll ever want to meet, will tell you if she can or cannot help, and adept at asking the ‘right’ questions to get you on the right path. Truly a trusted partner to have in 2010 and beyond.” Paul Woolf, Wild Onion Marketing

Solutions: Creating a Marketing Database for Analytics

Our job, for several retail furniture chains, is to precisely target the buying needs of their customers for highly targeted direct mail, voice marketing, and e-mail marketing campaigns. To do that, each chain provided Massa with at least 10 years of customer contact data and transactions in order to develop the necessary customer segments to receive custom targeted messages and offers. Only the highest yielding customer segments receive the direct mail offers which are typically better than the broadcast offer to the masses.

The second step is to clean up the contact data elements so the mail and email could be delivered and to make sure the telephone number was valid. Typically, we see a 5% increase in deliverability. 

Results: Massa Gets Results for Retail Furniture Chains

If you are like most brick and mortar furniture chains – 60% or so of your business each month comes from new customers. Customer Acquisition marketing is imperative! Massa builds a customer profile and can acquire new customer contact data in your zip codes that “look like” your existing customers. A proven success for new store openings too. Identify your fastest growing segments and your most profitable segments using your own transaction data and demographic data that Massa will append.

The targeted campaigns that our retail furniture clients developed based on the analysis of the data in the new marketing database generates a 30% to 50% increase in response to direct mail, voice marketing, and e-mail marketing campaigns to what the chains were doing before they came to Massa.

If you understand there is valuable insight awaiting you inside all that SKU level transaction data you collect on your customers – then Massa can show you the road to increased revenue and a decrease in your direct marketing budget. One 26 store furniture chain saved 11% on their annual direct marketing budget just by identifying the segments of the one-time shopper and ceasing direct mail to that customer segment.

Call Bonnie Massa today (312.463.1050 x701) to talk about your direct and email marketing challenges and the tools we have to that can increase campaign response rates and revenue!