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Innovative marketing solutions that doubled profit on real examples

There are many marketing solutions, but we introduce the top 3 Innovative marketing solutions. Our team (Marketing company “VIAT”) has implemented several business management solutions. Over the past two years, that have increased the profits of our customers more than two times. We have already shared some projects on-site. But decided to combine the best into a standard toolkit so that you can adapt them to your business.

We increase profits due to loyal customers:

Client: a network of barbershops. There are more than 20 salons in the network, most of which are franchised.

Marketing Problem:

 The payback of salons over the past three years has grown from 12 months to 60 months. Loading of salons at the level of 60%. Advertising campaigns to attract a new audience do not pay off; 96% of new customers leave after using the service in the salon no more than three times. At the same time, the quality of services and the benefit of regular customers are satisfied.

Innovative Marketing Solutions:

Innovative marketing solution Segmentation of regular customers. According to the level of profitability, revealed that 55% of the profits. To the salon are brought by customers who purchase several types of services. In comparison, in all salons, there are only 27% of such customers. By transferring 20% ​​of loyal customers’ innovative thoughts. Who buy only head haircuts to the audience segment purchasing additional services. We increased the company’s profit by 48%.

To achieve the result at the first stage, innovative solutions all sales managers received new scripts that included offers to try additional services. This tool worked for 12% of the audience. At the second stage, we introduced recommendations for regular customers to try another service for free or with a big discount, but only once. Another 7% of loyal customers were interested in this tool.

The cost of attracting one client was 32,356 rubles. We reduced the budget for promotion and launched a loyalty program for regular customers, “Bring a friend for a free haircut.” Considering the average cost of a haircut of 2,200 rubles, the company has reduced the cost of attracting a client by 14 times.

Additionally, we worked on increasing the % conversion for new customers and increasing the number of transactions with a client, which allowed us to improve the customer’s profit by another 12%.

Due to the implementation of the project, the customer’s profit increased 2.1 times over the year.

Increase profits through effective customer base management

Client: Online store of goods for children, in the range of more than 20 thousand items with delivery throughout Russia.

Marketing Problem:

Lack of practical algorithms for managing a hefty (over 30 million) client base. Low LTV level for clients attracted for the last 1.5 years. The company’s sales are growing every year, but the share of profitability from each transaction decreases.

Innovative Marketing Solution:

The company used the outdated principle of segmentation according to sociodemographic principles, which did not describe the fundamental behavior of customers, respectively, decisions made on individual proposals, the choice of the promotion channel were not always practical.

Our team has segmented the client base according to three parameters:

– Purchase history;

– Promotion channels;

– by the level of profitability of the transaction and the average check.

Segmentation allowed identifying factors of profit growth and cost optimization. So that is an innovative marketing solution. For example, after segmentation by purchase history. So we were able to compose an accurate consumer basket for each customer with preferences for specific brands, determine the child’s age, and draw up a map of changes in customer behavior as the child grows up. These analytics allowed us to increase the conversion rate in advertising offers and increase each transaction’s average check and profitability.

For all segmentation parameters in CRM, algorithms were written that allow you to manage segments automatically and assign new customers to a specific segment. You can learn more about using segmentation algorithms in the article: “How to effectively work with the client base.”

The introduction of new principles of segmentation and solutions aimed at improving business efficiency, identified through segmentation, increased business profits by 3.8 times.

We introduce tools for managing costs per unit of production:

Client: Russian brand of women’s clothing with its network of boutiques, showrooms, and an online store.

Marketing Problem:

 Decrease in gross profit within three years by an average of 12% per year. Despite an increase in sales over the same period by an average of 17% per year.

Innovative marketing Solutions:

An audit of the company revealed ineffective cost management, a lack of tools for accounting for unit costs, pricing that does not consider all the company’s costs, and market factors affecting profit. It was customary in the company to look for sales growth tools “whatever it was,” without considering the deal’s profitability.

We analyzed all the company’s transactions, identifying the most and the least profitable ones. We identified the reasons for the different profitability. So in transactions, and developed measures to increase the share of high-yield transactions to low-yield ones.

Then we analyzed the profitability of each product sold and the impact of commercial costs on it. The analysis revealed ineffective promotion programs, errors in pricing, and inventory management. We jointly revised the principles of logistics management, sales channels.

the pricing system, approaches to audience segmentation, and promotion programs. We have developed solutions for automating cost accounting, market analysis, and price management in the company. Furthermore, we described this project in detail in the article: “How the introduction of effective price management has increased the profit of a chain of clothing stores by 8 times.”

In conclusion to innovation in marketing solution, Due to the implementation of the project for 1.5 years, the company increased its profit by 8.3 times.

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