What’s Better: saving 30% on your marketing costs OR getting 30% better results?
In the Casino Direct Marketing world the answer is always mathematically about getting the 30% better results. 30% better results means more guests in your hotel and more people gambling and enjoying your food and beverage.
The Math provides the answer to this question but if $5000 normally earns you $50,000 in gaming revenue then you are better off spending $500 more to get a greater return than you are saving $1500.
To survive the economic downturn we looked for ways to save money and cheaper vendors looks like easy savings, however your response rates and profits have dropped as the cheaper vendors delayed projects, had higher levels of mistakes and didn’t keep you up with technology and marketing advances that bring more guests.
Marketing is not a commodity, make vendors compete for highest response, not lowest cost.
The services look similar but our recipe is different! Our customers have seen 30% increased response rates working with us after switching from other vendors. They always wonder what we do different and it really is just how we approach the problems. Cheap print does not increase response in any way. We are a direct marketing company disguised as a direct mail printing company. We look at your data differently. We look at your offers differently. We care about every single record and every single piece and how it affects response.
As your direct mail partner we affect response in a positive way.
That is our reputation with customers that switch to CSG Direct Mail.
30% cheaper no longer possible
We really have found the bottom price in the last 2 years. Many vendors are closing their doors now as the “going price” is below the cost of doing business. The people still offering that price are doing so hoping in the long hall they are the last plant standing and then can raise their rates back much much higher. In the meantime a lot of industry talent is getting crushed and destroyed by this horrible industry direction.
When the current price becomes the norm you can’t find 30% more savings so this exercise has played out and is no longer a future option. Cheaper vendors don’t have better ideas, an R&D budget or talented people on staff or they wouldn’t be the cheaper vendors.
It’s the dumbing-down of an important industry as your vendors shed the most talented employees to save costs in order to survive with the lower bids. Eventually you end up with untalented companies with beaten down equipment as your primary vendor and that is not going to bring you more guests or better ideas.
It’s time to reverse course and get better results
Lower costs vendor picking is lazy and unproductive in the end. The goal now is to quit looking for the lower costs and start looking for the best results. Better Results means more income, prosperity, more guests and job security. That the big picture everyone wants, right?
Would you know how to gauge Better Results?
The biggest difficulty most teams have with the “Better Results” scenario is that it is harder for them to demonstrate in a simple manner. I mean, it’s easy to see 2 bids side by side when you get them but it is not as easy to see the end results side by side. The best way really is to use each new vendor for 3 months to gauge their recipe and track the overall results with your post-formas. It’s the easiest way to spot a deeper trend. However there are really easy ways to tell during the interview process too.
Ask ALL vendors about response rates and what they do to improve results.
My goodness, shouldn’t everyone be doing that every month anyway. Some people are so focused on price they forget to keep up with competition by interviewing everyone for new ideas. If during the process some vendors look like a deer in the headlights you will recognize that. However, if given the opportunity to shine; the better vendors will give you all kinds of modern trends and ideas.
Better Results is the new goal and the only way forward
Once you figure out which vendors have the ideas and response growing tools… USE THEM! If you want those kinds of tools and better results in your arsenal you need to support those vendors to get better results. Choosing cheaper vendors only encourages “cheap” and bankrupts “Better”. Support “Better” with your purchasing dollars and Better Results is what you get. Make it part of your overall strategy to find “better” and keep it on your team.
Even if you only give them half of your business you have just upgraded your whole marketing teams capabilities and results. If that costs you only 10-20% more than it is worth it’s weight in gold.
CSG Direct Mail is known for 30% better results, call on us to see the difference a focused marketing vendor makes. We have all kinds of tricks and tools of the trade. Tools like Variable Maps, Email and Cell phone capture add-ons, Data Append strategies, strategic mailing lists, direct mail delivery tracking, timing and so much more.
We’re fairly cheap too.
CSG Direct Mail is the Greatest Value in Direct Mail and known for 30% Better Results.