When Macy’s Inc. was established as a national brand in 2004, its leadership insisted that each store stay connected to its local community. The resulting “My Macy’s” localization initiative gives stores the latitude to be good corporate citizens in their communities while selecting merchandise according to local tastes, preferences and seasons.
The company took this “stay close to your customer” strategy to a new level in November 2010, when it personalized its direct mail marketing strategy to target regional preferences and individual shopper habits, too.
By Bruce Browning | OlleyMay
It’s happening more and more. You buy a blue widget at a website, and hey, presto! – it shows you a red, green and beige widget you just might like, too! Welcome to the growing art of cross-selling. Sometimes annoying, often successful.
How might cross-selling work for your business? Could you offer product suggestions to your customers in a way that would draw them in – and convince them to buy again?
Of course you could. The key is to use accurate and intelligent data mining.
Here are three steps to take to build a winning cross-selling campaign:
Analyze individual customer data. Focus in on individual customer preferences based on the specific products or services they’ve bought in the past. Yes, you need to create a unique profile for each and every customer. Trust me: It’s worth taking this time upfront.
Define how likely each customer is to buy. Score each customer profile in terms of potential product sales. A good marketer will develop metrics that measure each customer’s worth, and how close he or she is to buying — and assess any risk factors involved. This process will also help determine what products to push to what customers.
Target and cross-sell. A truly refined data-mining process will provide the specific data you need to map your customers’ buying potential across a number of factors. By plotting out this data, you can isolate a group of loyal customers most likely to buy. Now match each customer to the appropriate products in your warehouse – and sweeten the deal with a discount! Voila! Fresh, new sales.
True, this post simplifies a complex process. But a sophisticated marketing services provider understands the technical details involved, and can analyze your customer data to make cross-selling work for you. Give it a try!