Energize Existing Customers and Regenerate Revenue

Do you want to sell more jewelry for Mother’s Day?

Are the critical selling seasons of Valentine’s Day, Mother’s Day and Christmas falling short of your expectations?

Do you see the same clients for every special event, and every holiday promotion?

If you answered, “Yes”, then we we have the answers you need and the detailed plan of action to get real results.

When we talk to most jewelers they say their jewelry sales would be better if they could get more new clients.

Certainly that is true, but have you ever stopped to consider what it costs to acquire a new client?

 

One of the fundamental lessons

in marketing is that it costs around

six to seven times more to acquire

a new customer than to keep an

existing one.

 

With jewelry margins being squeezed harder than ever, can you really afford to spend the money needed to acquire a significant number of new clients?   Could you add new clients quickly enough to realistically impact Mother’s Day sales?  If your pockets were deep enough, perhaps you could, but we have a better solution.  What if you energized your own client base?

Your existing client base represents people who already know, like and trust your jewelry brand.  These are clients who you have already spent the marketing capital on to acquire.  Sounds great right?  So where to begin? First off, take a moment to understand your client base.

Understanding Your Client Base.  The first step is to break your client base into three separate segments.

– Top Tier.  These clients represent only 3% to 5% of your client base; however, these heavy hitters account for 14% to 18% of your jewelry store’s business.

– Middle Tier.  On average 40% of your client base accounts for roughly 65% of the store’s annual sales.

– Opportunity Tier.   Unfortunately in most jewelry businesses, 50% of their data base is inactive.  This is the group that represents the greatest opportunity to make an impact quickly and the segment we will focus on. Why this group?  They already believe the foundational elements of your marketing message.  They “know” your business, they “like” the service, and they “trust” the quality of your jewelry selection.  For whatever reason they have simply become inactive.  If you want to go after the cost effective, low hanging fruit, its right here.

The key to long term success

for jewelers isn’t in just acquiring

new clients, it is keeping the

clients you already have active.

 

Now that we have identified where our low hanging fruit is, how do we get them actively purchasing again?  What are the cost effective, actionable steps we can take to energize this segment of our client base through a directed campaign?

 

Eight Proven Steps To Quickly Energize Your Customer Base.

1. Start With Your Staff.  Want to get people excited about your brand?  Start with getting your staff excited about this campaign and watch how quickly that energy flows to your clients! Share the various components of this new marketing campaign and ask for their input on how to best implement it.  To keep the campaign top of mind, provide a short compelling one or two sentence slogan that they can pass on.  Make sure it is the essence of what you want them to convey.

Spend some time brain storming as a team on how they can use the slogan during telephone calls and with their clients. Encourage them to be creative and think outside of the box because it is their energy, their initiative, and their dedication that is critical to success.  Once your team is excited about the campaign you are ready to take the next step.

2.  Mine The “Opportunity Tier” Database.    At this step you are looking for points of potential contact, such as when they purchased last, what type of merchandise, and so forth all the way down to clients who had custom designs created and significant repairs.  Depending on the sophistication of the point of sale software you use, the amount of relevant information can be significant.  Even the most basic system that provides name, address, date, and item purchased can be valuable. If there was a memorable or significant purchase by the client, be sure to jot it down next to their name.

It is going to take three or four

points of contact to persuade

your inactive client base to

come back to your store.

 

3.  Going “Direct” With Your Message.  In today’s 24/7 wired world you might think that social media would be the place to launch your “Opportunity Tier” marketing campaign, but we are actually going to use an old standby. One of the best ways to start re-establishing the lines of communication is through targeted direct mail. Depending on your campaign perimeters, a simple post card might convey the right message, while for other more important past purchases, a letter and/or content filled newsletter would be appropriate.

Clearly tell your clients how much you value them and provide an exclusive incentive for them to come back to your store.  Mark Twain once said, “Nobody cares how much you know, until you show how much you care.” Same holds true here.

4.  A Personal Note Makes A Difference. The direct mailing portion mentioned earlier was a mass mailing for your inactive clients that should be done first. A week later follow up with a short, personal, hand written note from a sales associate. Simply two or three pre-written lines in script style letting them know that the associate is personally there to assist with jewelry questions and future purchases. In the event that penmanship is a concern, simply have the message pre-printed on the card.

5.  Let Your Fingers Do The Walking. The mass direct mailing and the personal note set the stage for calling the client. This call should take place about three or four days after the personal note has been sent out.

The key to success at this step is to have a concise, well thought out script that everyone can follow. Studies have shown that the first 10 seconds can make or break the call, so keep it short, sweet, and to the point.

A good intro example would be, “Hi Ms. Smith, this is Susie from XYZ Jewelers. Just calling to make sure you received the card I sent last week that talked about our exclusive offer. ”

Always end the conversation with a call to action such as “Come by our store so I can quickly clean and check your jewelry.”  A good telephone script will not only build your team’s confidence but also make their calls more effective especially when you have to leave a message.

 

Always remember that real

business relationships are

formed in two ways, in

person and over the telephone.

 

6.  Rolling Out The Big Gun.  By this time we have sent out the mass mailing, a personal note, a telephone call from an associate and now we are ready to roll out the big gun to seal the deal.  The “Big Gun” in this case is the store owner.  A sincere thank you letter from the store owner can be a powerful influencer for many of your “Opportunity Tier” database clients. This correspondence can take the form of a pre-written letter or, in many cases, a short personal note with two or three sentences.

Extra time for a store owner is a rare commodity indeed; however, a quick phone call to a select group of clients will often pay big dividends. If you care enough about the future of your business, if you want to demonstrate to your team just how important this campaign is, then you will find the time to make some calls to key clients.

7.  Execution Is The Key. Sounds basic but remember, what doesn’t get reviewed doesn’t get done. The best laid plans are merely words on paper until your team takes action. I cannot tell you how many times store owners have gone through these proven steps only to turnover the tools to an associate who quietly tucked it into her drawer and did nothing. To get the execution you need write down the key action points, prioritized the order of the tasks, delegate the who, what and when aspects to team members, recap/record individual progress, and plan a weekly store follow up meeting. The weekly meeting brings the entire team together so that they can share success stories, hone their presentations and reinvigorate their efforts.

8.  Monitor The Results.  As the campaign rolls out you want to to take the time to periodically monitor each segment and overall results.  The information you gather now can be applied to make future campaigns like this even more successful.  Let the team know from the onset that this campaign is so important to the future success of the store that you will personally be monitoring and assisting them.

There you have it.  Eight actionable steps to quickly energize the “Opportunity Tier” of your customer base. We have used these eight steps many times over the past 30 years to dramatically increase jewelry sales. You probably noticed that not one of these eight steps included the use of the various social media platforms. While Social Media is becoming increasingly important, and there are various marketing plans using technology to attain these same results, there are still huge benefits to putting something real in your customers’ hands or using a personal touch. We also wanted to provide a detailed, actionable game plan that every single jeweler could implement to get significant, in-the-register results regardless of their comfort level with technology. Good luck! JBA

 

Rod Worley Headshot 1

Article By: Rod Worley

Rod Worley is the President and founder of Four Grainer LLC, and the host of “Inside the Jewelry Trade”, radio show podcast. Four Grainer is a content-driven social media marketing firm for jewelers, by jewelers. Rod personally brings 30 years of retail jewelry success to the table in multi store, and multi state guild level operations.  Energize your brand through social media marketing by visiting FourGrainer.com, call 678-451-8854, or email Rod directly at [email protected]

 

 

 

Author:Jewelry Business Advisor