An "old-school" strategy that still works...

17 replies
I’m always studying marketing, both what’s new today and what worked 20 years ago. You can’t help but wonder what kind of results you would get if you used an old-school strategy.

This is a strategy that we’re using from way back in the day.

This is a customer retention strategy that we use to retain members in our membership site. I'd be interested in hearing if anyone else is doing something like this.

Here’s what we do…

Currently we offer a 30-day trial to our membership site for $7. After the trial, they are billed $67 a month. To help increase the retention rate, we started sending a letter in the mail to people who took the trial.

The letter is mailed 14 days after they sign up.

What’s “old-school” about this strategy, other than the fact that we’re mailing a letter, is how we structured the letter. It’s a real letter from my Dad, that he physically signs and it gives the customer a different perspective of who they bought from.

The letter builds trust, gives the customer a peek into our lives and “touches” them in a different way than they’re used to (direct mail).

The results have been astounding. Over 90% of the folks who take the trial stay at least another 30 days and 58% of the folks who take the trial stay for six months or more!

Just thought this would be beneficial for those of you running membership sites.
#oldschool #strategy #works
  • Profile picture of the author James_Harkin
    That is a pretty cool idea. Would it also include a receipt of what they purchased and login details and have it tracked, therefore if they try and charge back you have a tracking receipt?
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    • Profile picture of the author DustonMcGroarty
      Originally Posted by James_Harkin View Post

      That is a pretty cool idea. Would it also include a receipt of what they purchased and login details and have it tracked, therefore if they try and charge back you have a tracking receipt?
      Well, they can log in instantly after joining... letters don't go out until after they've been a member for a few weeks.
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  • Profile picture of the author seococonuts
    Really nice idea this. I am sure customers/clients like the personal touch.
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  • Profile picture of the author TamilYoung
    Making Offline tricks to our Online business can be sometimes worth the effort. Looks a cool idea.
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  • Profile picture of the author Thomas Michal
    Seriously, when I use to sell precious metals and collectibles the company made us hand write a thank you letter to each person that bought from us and I was blown away by how much people appreciated it.
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    • Profile picture of the author thekidebomb
      Originally Posted by Thomas Michal View Post

      Seriously, when I use to sell precious metals and collectibles the company made us hand write a thank you letter to each person that bought from us and I was blown away by how much people appreciated it.
      I used to sell Precious Metals, and have been in sales pretty much ever since, but I was shocked at how many less people cancelled (if they had the option too) when a manager or the owner, would give them a courtesy call, to find out how everything is working for them, if they have had any questions, and how the sales rep did, and it almost solidified in peoples minds like they made a smart purchase with a good reliable company, who values their reputation.
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  • Profile picture of the author AlisonTaylor
    There are quite a few marketers who are savvy and already implementing these techniques. You might even go further and give your customers a phone call. This is likely to boost customer retention even more since this call is more personable.
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  • Profile picture of the author Tsnyder
    This is precisely why I'm in the business I'm in... we help people
    automate that whole process while keeping it 100% personalized.
    If you ever want to experience what it means to have more repeat
    and referral business than you can handle learn more about direct
    mail follow up.
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  • Profile picture of the author WebPen
    Wow- that's awesome. Thanks for that! I'll have to remember that when I build my first mega membership site.
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  • Profile picture of the author Ben Gordon
    It works. Especially because I experienced it as a consumer as well.

    I bought a product from a large industry and they sent me my invoice signed with "Thanks, their name ".

    I gotta say it was really pleasing as most companies don't do that, especially such large ones.

    I've attempted it in the past and the results have been pretty good (also, I sent postcards rather than letters). It definitely builds trust and the buyer's confidence.
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  • Profile picture of the author David Sneen
    Awesome! Give 'em more than what they bargained for.

    And, a handwritten letter costs about a buck........and has paid for itself how many times?

    In this age of automation, many people are craving human contact. The one who can deliver will win! More power to you!!!
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  • Profile picture of the author Bruce NewMedia
    Duston that's a great idea, with great results!

    I remember reading about your dad many years ago, and his success with the gardening ebooks and such. Always wondered, did he ever retire from the city's water dept?
    _____
    Bruce
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    • Profile picture of the author DustonMcGroarty
      Originally Posted by Bruce NewMedia View Post

      Duston that's a great idea, with great results!

      I remember reading about your dad many years ago, and his success with the gardening ebooks and such. Always wondered, did he ever retire from the city's water dept?
      _____
      Bruce
      Hey Bruce - Thanks! And, yes... we did finally get him to retire last year! Now he's working more than he did before! He enjoys what he's doing though.

      I'm actually getting ready to head over to our nursery right now to get some plants planted with him.
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  • Profile picture of the author JBanis
    Excellent idea...it gives people what they want: some form of recognition and being part of something...

    It also shows you are genuine

    It also builds good customer relationships

    All these ingredients I think have never failed to work
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  • Profile picture of the author bostoncitymass
    I'm in the printing and direct mail industry. In fact I won a printing company.

    There has been a huge resurgence in mailing.

    The main reasons being that people appreciate getting a personal letter in the mail as already mentioned in this thread. The competition isn't as tough as it used to be, you may have noticed that your mailbox isn't as full of "junk mail" as it used to be, but you will start seeing more and more direct mail in the coming months and over the next year. Third, businesses are realizing that it's not as expensive as they thought when they realize how to create a targeted list of people to mail to (quality over quantity).

    Some things will always work when done right and direct mail and sending out letters to clients/customers will always help ROI and customer retention.
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  • Profile picture of the author DustonMcGroarty
    Since we've discussed direct mail so much in this thread I thought I'd see if anyone is going to Dan Kennedy's Mailbox Millions seminar in a few weeks. I'll be there for sure.
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  • Profile picture of the author XponentSYS
    In my business, we do this as well. We call them "stick campaigns" because, as you point out, such letters help members "stick".

    Good on you.
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