Merchant Coupons - measuring results
At the end of each coupon campaign, we help our client centers track and measure benchmarks including...
- redeemed coupon count
- immediate revenue from shoes, paid game, F&B and ancillaries
- number of additional birthday parties that used the coupon's 10% party discount
- value of the included coupon Data Entry
- count of email addresses collected from the coupon back
- short term revenue from new customers' repeat visits
A "Results Summary" message from a recent project is below.
This was the first Merchant Coupon campaign performed in the center's market. Future campaigns typically have increased redemption since the market gets educated on the value of the coupons and the best performing merchants are invited back.
RE: Merchant Coupon Program - results
Hi Jeff - congratulations, your coupon redemption produced 1,439 visitors who used coupons.
$14,390... sales from 1439 coupon users 1st visit
$00,600... from 11 additional birthday parties
$00,432... immediate value of the 432 (30%) new email addresses
$15,110... revenue estimated over next 12 months from repeat visits
$30,532 - 18 month ROI of 1,314% from one coupon campaign
Please see below for some detail on these numbers.
Results - near term (last 6 months)...
Here's what I am now tracking in my records for your project...
- 1,439 coupons redeemed (1.2%). Our average return is 1,200 coupons (1.0%) the first time we place coupons in a market.
- Using an average spend of $10 from shoes / bowling / F&B / ancillaries, plus most coupon users don't bowl alone, the visits generated $14,390.
- Another $600 came from the 11 birthday parties that used the coupon's 10% discount.
- That's total sales for this 6 month campaign of $14,990.
- That's an immediate ROI of 648% on your initial marketing investment
Call Tracking and Recording...
- You had 172 phone calls on the coupon's toll-free number.
- Your online call report is here... (client only link, see www.mcpct.bmamkt.com for info)
Many of my client centers tell us that they find the Call Report's call recording very useful for employee training and praise.
I like to use the Call Report to invest a small amount back into my clients' projects to help us both track the business activity that outside coupon marketing can generate.
New Email Addresses...
A Congrats on the 432 (30%) new email addresses your staff collected on the back of the coupons! These are another very real source of immediate value. What's amazing is that it's not possible to buy the email addresses of your customers from an outside source - at any price.
There are a number of ways to calculate what the immediate and long-term value of a customer's email address is. It gives you an instant, inexpensive way to contact your customers to bring them back in.
Let's assign an immediate value of $1 for each new email addresses. Adding the new email address value of $432 to your program bumps your ROI to $15,422.
Results - short term (next 12 months)...
Typically, 50% of the coupon users are new bowlers. The industry leaders tell us that the average open play bowler visits 2 or 3 times a year and is worth around $42 a year.
Let's be very conservative and suggest that if just 25% (359) of your 1439 coupon users spend another $42 in the next 12 months..., that's another $15,110 you will gain from your decision to put coupons in your market - exciting!
So that's a total 18 month potential ROI of... $30,532 ...when you combine the near-term and short-term revenue spent by your coupons users, a 1,314% ROI on your initial $2323 investment.
For long-term ROI, think about what your new bowlers will spend over the next 5 years. You now have a proven marketing process that you can count on.
Your next Merchant Coupon Program...
Thanks again for making me a part of your Marketing Team. You guys are a pleasure to work with and it is clear that your hard work and top notch customer service skills have earned your center admiration in the community.
I will follow-up regularly to see how I might support your new business development goals.
Chris Swanson - BMA Marketing - Wolcott CT - www.bmamkt.com
Please call me today to discuss how we can fill your lanes using Merchant Coupons.