Marketing idea that really works

Auto Care USA · 09-14-04, 06:48

I am always trying something different to increase the volume of our business. This year I decided to make a deal with my present customers and my future customers. When our present customer is picking up his or her vehicle we give them 6 referal cards. It has their name on it, our name on it and it is also a $30.00 gift card toward our services. In return for every gift card {new customer} that we get back from the customer that gave it to them, they receive a $25.00 gift card toward their future detail. In 5 months 28 brand new customer and counting.

tpgsr · 09-14-04, 07:17

Very good idea

It is somethign that i have been doing, just not on paper. I am going to have to try it out in a more applied method like you have. Thanks for the tip Sir

AMDin93103 · 09-14-04, 07:22

Pardon my ignorance. .

you are giving each existing customer a total of $180 for thier friends to spend on your services and in turn for each card brought back you are offering $150 off of the existing customers services? Correct? Do you have any limits on the multiples of $25 that can be redeemed at a single service? TIA.

-Stu.

Auto Care USA · 09-15-04, 06:52

One card per new customer per detail. Yes you will get $150.00 in gift cards when you send me six new customers. At these prices it is an absolute steal, just try the cost of advertising.

tpgsr · 09-15-04, 07:09

Yes, the math makes sense...

Assumptions:
1) Full details all around
2) $150 each job (just a general easy number)

Lets see, you had the customer to begin with so lets start:

They got their car detailed: $150
you give them the cards: -$1.00 cost of cards
They tell 6 friends so: each friend pays $120 instead of $150, $120x6 = $720.

So to this point you have earned $869.00 instead of $1050. for a cost of $181. but you now have to detail the originators car for free since he has 6 certificates... so that is a $150 Loss.

your total loss for addign 6 new customers $331.00 and each of those 6 could pass 6 cards on to friends for 36 more etc...

Now if you are a quality shop, and i am sure that you are, these people come back to you and pay full price later in the year. So now you make your full value on the work, and you have a laundry list of new clients willing to pay that full value!!!

The schematics are very well layed out and work out just fine. I dont know of any form of advertising that costs only $330 dollars and will bring in at least 6 new clients GUARANTEED (the cost is only after the new clients sign on board!) If there is no return, then the only cost is the cost of printing the referall cards. It is simply a great way to market, and one that is covered extensivley in alot of different classes.

I am already in the process of having my updated referall/business cards printed and the GC's are actually sitting on the desk right next to me in $25 denominations.

AutoNova · 09-15-04, 07:22

What form are your referral cards in? Are they on sheets of paper? How did you print them and what material did you use?

I have been leaving a thank you card that lets the customer know that if they get 3 references they receive a free $125 credit. It has been minor in effectiveness and I like this idea you have. Can you take a picture of the card?

tpgsr · 09-15-04, 07:37

I am taking my current customer:job List and i am printing out mailing labels and a form letter for each. the leter is a "thank you for your business with us... ...here are 5 referal cards that you can give friends... ...you get this in return...

I am mailing out the letter (hand signed of course) 5 business cards/referal cards custom printed with the recipients name on it. And i am including a $10 gift certificate right with the initial mailing as a sort of incentive to (1) call me back and book another appt. (2) earn more Gift cards.

I will post a picture of the cards in a little while, and a copy of the letter once it is finished. It will all of course become public property, and everyone will be allowed to use it.

CobraCraig · 09-15-04, 08:50

Great idea. Looking forward to seeing the card.

mirrorfinishman · 09-16-04, 08:58

What makes you so sure that the majority of these new customers are going to be willing to pay you $150 sometime in the near future to have their car detailed, when your were now willing to do it for only $120?

SouthernZ71 · 09-16-04, 10:17

Quote:

Originally posted by mirrorfinishman
What makes you so sure that the majority of these new customers are going to be willing to pay you $150 sometime in the near future to have their car detailed, when your were now willing to do it for only $120?

I was thinking the same thing?

I've had a couple problems recently from discounts I was giving when I first started... Might start painting yourself in a corner as the "discount guy!"

tpgsr · 09-17-04, 05:05

Nope, once they see the quality of the work, most of them and i mean about 85% actually pay MORE than they would have even without the discount. Quality speaks for itself, and its voice booms over any discount!

AutoNova · 09-17-04, 07:10

Let's see the cards.