Saturation mailings or packet mailers offer lower prices for postage, but also associate you with and attract mainly Coupon Customers.
The extra few pennies it costs to send out Ad-Card scares many shop owners away. But – it just doesn’t make sense to send out generic junk for any kind of money.
So Let’s Look At Cost Vs. Results
Example # 1 – Generic Coupon Advertising
If you are getting a postcard product for 40 cents per card mailed, that’s a good up-front price.
If you get a 1% return rate that means you will get one new customer for every 100 you send out or $40 per customer.
If that customer is a Coupon Customer that takes your free – or cheap – oil change and car inspection, then they don’t buy any extras and you never see them again, you have now lost at least $40 out of pocket on the advertising, plus technician’s time, (let’s go low end and say $20) and materials ($10).
So, with this advertising program, your earnings for customer number 1 is a minus $70. (This advertising is not cheap!)
If the advertising company you hired sells the same program to a direct competitor to use against you, you will be getting only half the leads you should have (and thought you paid for). So now customer #1 has cost you a minus $110, because you are only getting 1 out of every 200 cards sent. Your competitor is getting the other one.
Frankly, if you lose $70 for every coupon customer coming in the door, it’s a blessing you don’t get more – and amazing you are still in business.
If they sell the same program to a third shop in your area, you are now paying $150 per new Coupon Customer, and so on…
Like I said before:
Your “Cheap” (Up-Front) Auto Service Marketing Is Killing You
On The Back End In Huge Costs and Lost Sales
Why do most shop owners hate advertising? Because this kind of advertising is causing you to lose your shirt instead of building your business and increasing your profits.
Example #2 – Ad-Card Prime Customer Advertising
Ad-Cards can run from 59 cents per card down to 41 cents per card mailed, depending on the quantity you order. (The same price for the cheap stuff, but you get real quality.)
If you get 1% return, you would again get 1 new customer for every 100 cards sent.