Data-Driven Marketing Strategy Delivers High-Quality Results for Window Installation Advertiser
Background
A large window company specializing in replacement windows & doors and siding for homeowners partnered with Valpak to drive new window sales within multiple markets across the U.S.
Both the client and Valpak salespeople knew a keen understanding and analysis of the window replacement industry and the client’s home improvement customers would be vital to the success of the program. That meant establishing KPIs (key performance indicators), program goals and a profile of the customers most likely to respond.
Case Study Development
To begin, the window company sent in a sampling of its customer database from which Valpak data analysts could create a custom persona profile. This profile identified exactly who their ideal customer looked like (i.e., age, income, education, occupation, home value, presence of children, urbanization, socioeconomic rank, etc.).
Once the customer profile was created, Valpak then matched it to homeowner-occupied households within its footprint that shared those same characteristics (and looked for areas with the highest customer penetration and sales). Coupling the window company’s customer profile / data with Valpak’s demographic and household-level data – like age of home – was instrumental in constructing an intelligent, high-quality test.
Marketing Strategy
All parties agreed to the optimal marketing strategy of mailing 3 million homes across 6 major U.S. markets with a 3x frequency. Only homes within the window replacement company’s serviceable footprint were targeted and each home had to meet the established profile / demographics.
Targeted households received a standard insert in their Valpak Blue Envelope from the client with a quality windows’ offer: “Buy 2 Windows, Get 2 Free. Plus Pay Nothing for 2 Years” and to call for a free quote / free consultation. This new window promotion and other business information were also featured on valpak.com for additional exposure.
Case Study Results: 8 to 1 ROAS
Valpak and the window installation client collaborated through continued data sharing to understand campaign performance. After just the first two mailings, Valpak had generated nearly $365,000 in new window sales for a return of nearly 7 to 1. Furthermore, Valpak delivered an average ticket 42% higher than the client’s target.
What started as 3x mailing to 3 million homes grew to 6 million homes in the 4th mailing and an expansion into 6 additional markets.
After the first 5 mailings, nearly $1.7 million in sales were generated, for an 8 to 1 return on ad spend. Average ticket remained above goal and the client’s close ratio of 41% was above target.
Conclusion
The results of the mailings and growth in new areas confirm that programs developed and driven by data are proven to deliver optimal return for window replacement companies and across industries.
