Anticipates Reduction in Direct Marketing Costs

WHO
A department-style discount chain with over 250 stores in 30 states and annual sales over $1 billion. Primarily selling women’s, men’s and children’s brand-name clothing from casual to formal wear, an in-store boutique area,  as well as shoes, jewelry, and some home goods.

THE SITUATION
The store uses frequent mailings, newspaper and glossy magazine ads, as well as email notifications to alert loyal shoppers to new lines, discounts, and private sales.  They used phone broadcasts prior to September 1, 2009 to inform shoppers of promotions as well.   Once the new FTC regulations on automated calls went into effect, they were looking for a way to send calls in compliance with the law, and build their permission database at the same time.

THE CAMPAIGN
The retailer ran several coordinated promotions to gain phone opt-in permission over the course of a few months.  Emails were sent offering a one-click phone opt-in and the website offered shoppers several ways to receive sale notifications, including voice.  Finally they ran a contest offering a $10,000 shopping spree to people who went online and registered to win.  The registration form offered the option to receive occasional notifications of seasonal sales and promotions, and registrants could choose either email or phone options – giving the retailer the written/electronic opt-in permission they needed.

THE RESULTS
78,000 loyal shoppers chose to receive phone notifications and willingly offered either home or cell numbers to be alerted about seasonal sales and promotions.   The retailer has resumed their phone campaigns, which historically resulted in less than ½ % opt-out rate per call.  They will add in-store signage promoting phone notifications thru a text opt-in option.