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Increase Average Sales Value
Say for example you are a gym and your income is derived
from charging clients for membership. A prospective client
presents themselves and enquires about a 6 month membership
with a value of approximately $300. A 12 month membership
might cost them $500 and reflect better value but they are
uncertain. Offering an incentive with a 12 month membership
such as a branded sports bag, towel and water bottle will
often encourage them to take the extra membership. This
pack might cost $20 but:
-increases revenue by $200
-increases brand exposure both inside and outside the gym
-improves customer satisfaction because of it's high perceived
value
For another example, you might be a flower shop and your
average sale value is $45. Offering a "Spend $65 in
store and receive a free Calendar" incentive would
encourage customers to spend an additional $20, particularly
around the beginning of the year. A customer calendar might
cost $6 but have a perceived value of up to $30. If 100
customers normally spend an average of $45 and 50% opt to
spend an additional $20 to get a calendar worth $30 then
the average sale value increases to $55, revue has increased
by $1000 and it cost $400.
Even if it costs $1000 to increase revenue by $1000 the
exercise is not without strong merits as now 50 customers
will be displaying your calendar on their wall, increasing
your brand recognition and recall, keeping your phone number
handy and remind them of the excellent value they got when
they spent $65 at your store. Be advised though, that once
you give out good calendars once, your customers will return
the same time next year expecting the same offer.
If you sell products or services, talk to our account managers
about way that promotional products can help you increase
your average sale value.
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