CRM - Less is More

For someone who is very keen for you to start setting up or enhance your current CRM strategy, writing a blog post with the title ‘Less is More’ seems a bit strange. But hang in there and let me explain…

In regard to CRM, sometimes it's better to do less especially when the entire database receives the exact same offer without any kind of differentiation. Segmenting the customer database and deciding on how to communicate the offer to the various customers are vital steps when setting up a CRM campaign to ensure the best possible outcome for your business.

To make it a bit clearer let me give you an example on how NOT to set up your next campaign.
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Just before Christmas, I ordered some wine online. After completing the purchase, I agreed to receive future marketing material. In the terms and conditions, it didn’t state the frequency of contact. I assumed it would be once or twice a month - the most.

For the past few months, I’ve been receiving three to four newsletters a week, one or two direct mailing consisting of vouchers and gift cards a month as well as a couple of phone calls over the past 6 months. All of the offers used did not acknowledge my recent purchase and contained offers that did not interest me.

Instead of segmenting the client base into frequent buyers, first-time buyers, Christmas buyers only and so forth, one mailer with the same offer was set up for the entire customer base. Because I have been bombarded with last minute offers, I get the feeling that the company is a bit desperate. On top of that, I find the one-sided communication quite annoying which has now tainted my relationship to the brand.

In regard to the cold calling, this could have worked really well if the call had been made three to four weeks after the purchase and not four months later. The agent could have asked for some feedback about the delivery, if I liked the wine, if I would consider buying wine again either for myself or as a gift - just to name a few examples. Instead he read of a script calling me a loyal customer even though I am a first-time buyer and offering me a discount on some wine I have never heard of. If he had asked me any questions, he would have found out that I'm currently not drinking, bought the item as a Christmas gift and yes, would consider buying more wine as a gift in the future. Put that in the system, adapt the offers to my specification and by doing that keep me interested in the brand and ultimately encourage me to buy more.

If you want to discuss your upcoming CRM campaigns, please do not hesitate to contact me.