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Super hot silver porche

Send targeted, personalized offers

Marketing Experience and ROI Management (MX)

Turbo charge your marketing returns

Are promotional discounts eroding your product margins? 

When sales decline, companies often respond with sales events and discounting.   But that trains your customers to wait for sales and cuts into already slim profit margins.  What if you didn't have to discount to clear inventory and get customers in the door?  

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Get solutions to these problems and turbo charge your promotions ROI!​

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5 key questions you need to ask about your promotions ROI management:

 

  1. Are giving product margins away unnecessarily? 

  2. Can you divide your customers into buying groups with different motivations? 

  3. Do you send highly personalized promotions that target increased visits or spend?

  4. Can you identify and re-engage customers that you are about to lose?

  5. Do you have a marketing playbook to predictably increase sales with minimal discounting? 

Challenges with Promotions Management

Most brands rely on blanket discounting in sales events to clear out stock and increase customer visits and spend.  And that works, but at what cost?  

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Research suggests that while sales events and blanket discounting can drive immediate traffic and revenue, they may have unintended long-term negative effects on customer behavior, brand perception, and profitability.​

The Bad News about Sales Events 

  1. Diminished Brand Value: Continuous discounting can erode the perceived value of a brand, leading customers to associate the brand with lower quality brands.

  2. Reduced Customer Loyalty: When discounts are pervasive, customers may become loyal to the deal rather than to the brand, decreasing long-term customer value and brand loyalty.

  3. Profit Margin Squeeze: Frequent sales and deep discounts can significantly reduce profit margins, making it difficult for businesses to invest in innovation or customer service improvements.

  4. Unsustainable Expectations: Customers may come to expect constant sales, making it challenging  to sell products at full price, which can affect the overall pricing strategy and brand positioning.

  5. Ineffective Targeting: Blanket discounting does not consider the different motivations and price responsivity of buyers and potentially alienates high-value customers who are less price-sensitive.

  6. Over reliance on Short-term Gains: Focusing on short-term sales lifts from discounting can divert attention from building long-term customer relationships and brand equity, essential for growth.

The Solution to Promotions Management
The Solution -  Personalized Promotions

The key to turbo charging your promotion returns is send highly targeted, personalized promotions that can demonstrated increased visits and spend in specific customer groups. 

 

Marketing managers who do that can easily show how much each promotion contributes to sales and profits.  As a result, they have more influence and find it easier to justify increases to their marketing budgets. 

 

Here's some best practices: 

 

✅  Segment your customers based on common buying habits and preferences

✅  Set rules to send a promotion with visit frequency falls below average for that group

✅  Send promotions for products that interest them based on buying motivations.

✅  Measure the impact of those promotions on sales lift and ROI in that group.

✅  A/B test subject lines, language and images to determine a formula for success.

✅  Compare promotions ROI and build out your marketing playbook.

Increase customer visits and spend with personalized promotions

Create targeted personalized campaigns and track the change in buying behaviour for each group and each campaign.  Confidently show how much sales lift and net margin each promotion contributes to the bottom line.  Compare your marketing ROI by campaign

 

Segment customers based on their value, demographics,  purchase behaviours and preferred products.  Send targeted, personalized in-store offers that predictably increase visit frequency and basket size.

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Know who your most valuable customers are.  Get lapsed customers back.  Cross promote retail products based on customer purchase preferences.

 

Track your marketing campaign sales lift and ROI by campaign  customer, location, product and channel.  Understand what marketing campaigns move the needle on customer lifetime value.

Marketing analytics | Drive CX | TXM

Find out more about increasing customer visits and spend:

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  • Segment customers based on buying behaviour.

  • Send personalized offers that increase visits and spend

  • Track marketing campaign sales lift and ROI

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