A CRM system can be the make or break factor in a start up business as one merchant found out on opening day…
One of our business consultants suggested to one of our merchants that a huge factor in getting his business off to a great start was to have a huge turnout on opening day of his coffee shop.
Realizing that he needed to draw as much attention and excitement for the grand opening, our consultant suggested to the merchant that he would have to draw a crowd with an offer that they could not refuse.
Per his business consultant’s advice, the merchant set up his customer relationship management system and loaded 100 gift cards with $2 each (half the average ticket in order to take advantage of uplift).
He then had two of his employees spread them around to students at a local college campus. They were given the card with the proviso that they were only good on opening day and asked for the assurance that they would use it.
On opening day there was a line out the door. An additional benefit was the fact that in most cases, the students brought a friend.
The anticipated crowd also attracted motorist and others passing by, curious to see what all the fuss was about.
Not only was the merchant able to register the card holders, they were able to register the unexpected crowd that came in that did not possess a card.
Having all of his new customers’ information, he was then able to send out promotions and incentives to his list of established customers.
Using his new CRM System, he has set up a rewards incentive for those that frequent often, and sends out incentives for discounts via text messages on slow days.
As the coffee is indeed good and the accoutrements (bagels, pastries and such) are reasonably priced, the coffee shop is practically full on most days…This merchant experience brings home the fact that a superior customer relationship management system has 4 steps to ensure business growth and customer loyalty:
Step 4. Follow up and stay in touch
“I would recommend this program to absolutely anyone because it has definitely created loyalty! There is so much competition in larger cities and when we opened our second location in Burlington, IA we needed to do something to set our bakery apart. I can think off the top of my head at least 15 customers who eat here 4 days a week just because of the card, where as before they would come only once a week. It has really worked well for us and has created a word-of-mouth to where we don’t even have to “sell” it anymore. It has been a win-win for both our business and our customers.”
* Martha Wolf
The Ivy Bake Shoppe & Café