Wednesday, June 24, 2015

The Direct Marketer’s “Ultimate” Customer

Ask any direct marketer of consumable items such as natural health supplements who is the ultimate buyer and the answer is likely, “Anyone who buys on Auto-Ship.”
As you know, “Auto-Ship” is when a customer signs up to buy a product AND also agrees to have more product automatically shipped at an agreed upon time, like every three months.
Of course, this new shipment is automatically charged to the client’s credit card (with approval)…so for a direct marketer, this means a steady stream of income without having to send out renewal notices or additional promotions. 
           
Ideal, right?  You bet.
Normally, I’d say you should test “Auto-Ship” offers.  In the past, I’ve only had one package that went out with an “Auto-Ship” offer and while it did well, it wasn’t a super winner.
But now that’s all changed with a piece I recently wrote which is now rolling out.
The offer was not tested.  The client made the decision to turn the “Best Offer” 6-month supply, with the greatest savings and FREE Gifts, into an “Auto-Ship” offer.  We also included typical 3-month and 1-month offers with no “Auto-Ship.”
To be frank, I was a little worried about the offers—as you know, the offer is 40% of the success or failure of the promo.
The piece is a winner!  Surprisingly, 50% of the orders are coming in on “Auto-Ship”—making the piece even more profitable!
I’d still recommend you test “Auto-Ship” offers.  But this has opened my eyes to the HUGE benefit of “Auto-Ship” orders.  If most or all of these customers stay on “Auto-Ship,” this product’s sales could be off the charts!