A different kind of coupon

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B. Newman

SGF, Supreme Grumble Framer
Joined
Sep 5, 2001
Posts
4,855
Loc
Kodak, Tn. USA
I didn't want to "frankenthread" the funny story coupon thread of Less' (since when has that stopped any of us! :rolleyes: ) so I decided to post this separately.

One of the bookstores in the local mall (I think Waldens) has a "preferred reader" card. The customer actually has to buy the card for $10.00, but it is good for something like 10 or 15% off every purchase over the year. (It has to be rebought every year.) Plus every purchase adds "points" good for additional savings.

I've often thought about creating something like this. You could sell them, but you could also give them to particular customers, say teachers at a local school, or a doctor's office. Then, it wouldn't just be a coupon or a discount, but a "thing" that has "perceived value."

Plus, everyone would have equal chance to have one.

(Disclaimer for Bob, et al! - Of course every store would have to evaluate the costs/profits buying ability involved so as to not lose money on the project.)

So, whatcha think?

Betty
 
Betty,

This sounds like a good idea. It's a small investment on the customer's part to save during the course of the year. My guess is that it will keep bringing the customer back all year long and create some loyalty.

I am looking for a supplier of plastic credit card type blanks that can be printed with our offer, if anyone is aware of one.
 
Barnes & Noble has the same card. I used it last year because it was given to me. When it expired, I went to get a new one and they said I had to pay $10.00 for the renewal. I get 10% off book purchases and coffee/tea purchases which means that I have to buy $100.00 worth of merchandise before the discount portion of the card kicks in for real!!

I passed on the great offer.

Some of your patrons may look at a "pay for being preferred" card in the same way.

Framerguy
 
Yeah, but there's a lot of difference between $100 worth of framing and $100 worth of coffee. (At least for some people.)

Betty
 
Betty,

I'm with you! Our average ticket is $150. The customer would save 50% more than the cost of the
card on the first frame order if you only charged $10.00 for it initially offering a 10% discount.

They'd have to be crazy not to purchase a card the next year. At the same time, you're enticing them to continue doing business with you instead of your competition.
 
I've reached a point where I actually turn down FREE cards that I know will save me money on things I buy frequently because . . .

I ALREADY HAVE TOO DAMNED MANY CARDS IN MY WALLET!

Sorry to shout, but sometimes I have a hard time finding my driver's license in there.

I have a frequent framer program for my customers that I've discussed too many times already. Like most of us, I have a POS system in place and it keeps track of the purchases so no card is required.

That's what people like best about it. They don't need another card in their wallet.
 
Well, that answers a question that Mark and I had about why you drove all the way to Atlanta and back in Sept.

Mark didn't think that you had a driver's license. I said that you didn't like the way we drive down here in the heartland.

Our motto: as long as we keep the vehicle between the ditches and don't hit anything (very hard, anyway), who needs a stinking driver's license?? :eek:

(Of course you can't do much over 30mph on these old narrow mud tracks on the best days!)

Betty,

I agree with you, it would take one framing job to make the card worthwhile. It would take many gallons of coffee or piles of books to make the difference in purchasing a card.

Sorry for the poor comparison.

FGII
 
Cards I regularly have readily available somewhere in my purse:

Drivers License
Auto Insurance
Health Insurance
MC or VISA (Personal)
ATM Card (Personal)
Credit Card (Business)
ATM (Business)
Costco
Local Grocery Store
Local Grocery Store
AAA Card
My own business card
My husband's business card
Professional cards -- like appointments for Dr, Dentist, Chiro, Eye Exam, accountant etc.
--------
I know I have these too:
PPFA Card
Barnes & Noble or Walden or whatever
Voter Registration
Library Card(s)
Other Membership Card(s)
Other Major Credit Cards
Department Store Credit cards
Computer Store Card
My copies of my husband's credit cards
AARP
Assorted Phone Cards
Airline Frequent Flier Card(s)
Best Buy
Assorted hole punch type cards.
Assorted Gift Certificate cards

And I'm sure this list is not complete.

I consider the first group to be almost essential...afterall one can't buy things on sale at grocery store's anymore without producing a card....grumble grumble.

I hate it when a department store will give you a nice big discount to open a store credit card, but nothing if you already have one! So, I don't use any of them anymore....we hated the perfumed mail.

I don't personally like frequent buyer programs and the work of carrying more cards---and then feel a bit cheated when I don't have the card with me.

I join Ron in not wanting anymore cards!

[ 03-01-2003, 10:23 PM: Message edited by: rosetl ]
 
Add me to the "No Thanks" list. When Barnes & Noble offered me a card for $10, I too rejected it because I want a "no card system". Log me in by my telephone number (my line that has the ringer turned off, ofcourse - used only for faxes) for credit access if you wish, but don't make ME responsible for it.

Won't be long and we'll need to put a filing cabinet in our vans!
 
It's an interesting concept. It certainly works for Block Buster. Spend $10 dollars for the members ship and get every 6th rental within one month for free. Buying into a program like this helps keep the customers coming back to their business, although gym memberships don't always keep us going to the gym. Do you think we could get away with charging for a preferred framers card? The cool thing about a card for those who use POS software could be the ease of bringing up clients records without asking for personal details. One swipe or scan of the card and all of their history could be quickly accessed. This could be very useful in larger scale operations. I also kind of like the idea because it puts the marketing focus on valuing the customer rather than devaluing our businesses with coupons.

I think the traditional coupon can be a healthy way to occasionally get new clients in the door, but I think I would want to send a message with that coupon saying that if you have not had the opportunity to experience our friendly and professional service before, here is an incentive and our way of thanking you for giving us a try. To me this message sounds more like a justification for the discount rather than over pricing from the start.

The difference that I see between the book and video stores and the custom framing businesses is that you can buy the same book at almost any store, but you can find Betty at only one frame shop.

One interesting fact that keeps popping into my head about ways to market our businesses, is that if Block Buster did not have the best selection and a very convenient location, I would not be standing in their lines. This brings me back to what Bob is always driving home. Location is still the most important tool we have to get new people in the door. Referrals, reputation or a preferred framers card will not bring clients down a backcountry road.

[ 03-02-2003, 02:44 PM: Message edited by: lessafinger ]
 
Now you've got me thinking, Betty. This could be great:

"Frames For Life". Get custom framing of your choice for as long as you live. Limit one frame per week. Low, one-time handling fee of $250,000.

Then we'd sell the exclusive, highly-sought-after subscriber list for some real money.

Chances are our subscribers would soon move away due to harassment from the telemarketers who buy our list, and forget about the initiation fee. And if any customer seems to be hanging around longer than necessary, we can call Guido in Chicago.

Sorry, Betty. I know this belongs on Warped. It's the jetlag again.
 
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