KABAT'S ACE HARDWARE CASE STUDY
12 MONTHS
Time
1,350
New Customers
9.5%
Response
181%
ROI
$17K IN ADDITIONAL SALES
Kabat's Ace Hardware is one of the most progressive groups in the system. They are often first adopters and are willing to make changes that streamline operations, increase customer satisfaction and company profits. They are data driven and they live the jingle; Ace is the place with the helpful hardware folks. (Yes, now that will be going through your head all day. Sorry.)
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Using the Ace Corporate New Mover Program? Click here to see why we totally outperform them.
THE PROBLEM
They were weary of the program that the corporate office recommends, the Vlassis Bundle - you know, that bundle of junk mail you get in your mailbox every week? It's all different sizes and has coupons galore? They didn't like sending repeat discounts to current customers week after week. They decided to switch that budget over to run a new mover campaign.
THE AUDIENCE
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Reaching new residents in their location zip and, to gain additional market share, some strategic surrounding zips where growth is strong and competition is weak. Hardware stores are a prime resource for new residents and Kabat's customer service staff had the skill set to make them feel right at home on their first visit. When they see that gift certificate the team knows to roll out the red carpet!
THE RESPONSE
Over 12 months, Kabat's saw 1,350 new customers walk through their doors to cash in on the $10 gift certificate they offered. Response rates were 9.5% in their home zips and averaged out to 6.96% when we factored in the strategic zips. Every new customer spent an average of $27.27 over the $10 gift certificate, which covered the cost of the mailing and generated an additional $17,192 in sales.
These are averages, of course. There were some wowzers in there as well.
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But the real value of this campaign is the additional sales over time from these new customers. New residents in the Arizona market stay in their homes an average of 8 years!
Joseph Burks
Business Development Manager
We're not in the hardware business, we're in the people business.
Give the people a reason to spend their money with you.