?365,000 saving through new Marketing Strategy

The issue was common to many business - escalating marketing costs and diminishing returns. With our client seeing marketing expenditure increase to £795,000 during the previous financial year. Much of which was proving to be ineffective or was simply under performing and subsequently delivering marginal returns on investment. All of this at a time when, like so many companies, competition was placing increasing pressure on margins and the bottom line.

Working closely with the client a thorough analysis of past, current and proposed expenditure was carried out. This, coupled with further analysis of direct marketing material, sales enquiry handling and customer retension procedures highlighted issues with the overall marketing mix, processes and the lack of a more structured and co-ordinated approach to marketing planning, media buying, design and brand management.

Through improved planning we significantly reduced direct marketing volumes and expenditure, whilst simultaneously increasing response levels and conversion rates. In addition to this we were able to lever previously under-utilised co-operative marketing funds from the manufacturers represented by our client.

The Result
Spend for the year following implementation was reduced by almost half from the previous £795,000 to £430,000. A saving of £365,000 over the first year following implementation.