Handyman Company’s Direct Marketing Repaired

The Handyman Company’s Marketing Challenges

The client, a national handyman company, provides a wide variety of high quality home repair services. This company had tried various direct marketing programs in the past with very little success until they found Money Mailer’s complete solution of shared mail, one-to-one and interactive direct marketing. We were tasked with building a solution that would actually provide all of the benefits the client new was possible, but was not able to achieve before utilizing our well-planned and well-executed system.

The Bottom Line

The early objective was to acquire new customers for the client’s franchisees through shared mail. Return on investment was the measure of success, and our results would be measured against ROI from other major direct marketing companies offering shared mail. To start, the client provided us and the competing direct marketing companies with a sample of recent customer records from the client’s customer database.

We outperformed the competition by 22%

Money Mailer’s Approach

With the client’s customer database sample, Money Mailer performed a lifestyle segmentation analysis to determine the degree to which 66 different types of customers exceeded or fell short of market expectations. Value scores were assigned to each of the 66 customer segments, and each segment’s score was measured against the respective segment’s propensity to purchase in each of our shared mail zones within the client’s trade area. The resulting shared mail zone scores were based on a detailed assessment of how well-suited the zones were for targeting prospects that “look like” their best customers.

We also ran the client’s custom zone targeting scores up against zone scores modeled from contractor expenditures data, owner-occupied housing data and single-family dwelling unit counts. There was a significant similarities between the custom scores and the other scores but there we also nuances that typically are revealed by modeling a client’s customers.

Our Advertising Solution

Two of the client’s franchise territories were used to test Money Mailer share mail program against those of our competitors. Both shared mail zones and those of the competitors were selected based on market potential scores modeled for each zone, but as it turns out, some models are better than others.

The Real Bottom Line

The ROI from all competing shared mail programs was compared by the client. Our program outperformed the next best company’s blue envelope by 22 percent! Since then, the client has used us exclusively for customer acquisition solutions involving shared mail.

The client selected us as their complete direct marketing solution provider.

Subsequently, the client selected us as their complete direct marketing solution provider. Several one-to-one programs are being tested along with the continuing shared mail programs. Early measures are showing strong synergies when Money Mailer’s integrated approach is combined.