Unitel’s goal was to allow the company to be able withstand the ups and downs of the direct response industry by monetizing inactive leads within the database, but also providing a stable cash flow week after week. This would allow the company to not only increase their top line revenues, but also allowed the marketing team to have funds to continue to buy and test new media even during off peak seasons.
At implementation, Unitel segmented the database based upon acquisition channel. Research suggested consumer behavior differed and was dependent upon the original source of the customer. For example, a customer that was acquired through a personal endorsement channel was receptive to higher cost offers versus a customer that was acquired through more traditional radio/TV buys. Those customers required different offer structures and sales tactics, which Unitel adeptly designed, to convert inactive customers into a sale.
Unitel also actively researched the relationship amongst the breadth and depth of the product line. For example, the company had multiple products within a specific category. Often, customers did not see optimal results with their initial purchase and therefore sought a refund and never purchased again. Unitel, however, would contact these customers to listen to their concerns and offer other products that were comparable in desired results, but differed in active ingredients in an effort to make sure that customer was completely satisfied with the results that they were hoping to achieve.
By combining the extensive research and intimate knowledge of the customer database, product line, and marketing efforts, Unitel was able to provide the company with a source of profitable revenue that would not have been achievable otherwise. This, in turn, allowed the company to continue to expand media efforts and transition from a small to mid-sized company rather rapidly.