Graham McGregor: Appreciation marketing

Marketing consultant Graham McGregor explains why appreciation is such an effective marketing strategy for businesses. Photo / Thinkstock

Opinion

Marketing consultant Graham McGregor on why appreciation is such an effective marketing strategy for any business.

This is my 30th marketing column for the NZ Herald Online and to celebrate I have a special bonus for all Herald readers. Just email me on graham@twomac.co.nz and put the words 'Herald Bonus' in the headline.

I'll send you a complimentary PDF copy of a 27 page guide called '10 proven ways to position your business as the only one to ever buy from.' (It's my way of saying thank you for all the helpful comments and positive feedback I have received on my marketing columns).

And that ties in nicely with this article which is on appreciation marketing.

There is a commonly quoted statistic that says up to 68 per cent of customers who stop buying from a business do so because they don't feel appreciated or valued by the people in that business.

In other words we never told our customers that we cared about them or that they were important to us. Or we forgot to say 'Thank you' and "Please come back and shop with us again."

The solution is to use appreciation marketing on a regular basis.

There are many ways to use appreciation marketing, so here are three examples to stimulate your thinking.

I purchased a duvet for my bed from a shop that sold bedroom furniture and linen. As I paid for it the sales lady who served me stopped and carefully passed me the duvet. "This is one of the most popular duvet's we sell" she said. "You will sleep like a baby with it. Thank you for your business".

This made a big impression on me as I was told I had made a good purchase and thanked for my business. I felt great about my purchase and valued as a customer.
Cost to the business to do this. Nothing.

I bought a new car from a car dealership many years ago and three weeks after my purchase I got a lovely letter in the mail.

The letter thanked me for my purchase and enclosed a double movie pass with the compliments of the car dealer. It was their way of saying 'thank you' for my business.

I was amazed at this unexpected gift. I told hundreds of business people about my delightful experience and over the next five years purchased two more cars from this firm. Cost to the business to do this. Less than $30.

The highest volume retailer of premium cigars in the United States is a company called Two Guys Smoke Shop.

I interviewed the owner Dave Garofalo recently and asked him for the secret to his amazing sales results.

His answer shocked me. Dave's number one sales strategy is to hold a customer appreciation dinner once a year. But this customer dinner is very different.

Dave makes it such an amazing event that tickets to this dinner are super popular. (His customers do pay to attend this dinner and tickets are strictly limited.)

Dave flies in celebrities to entertain his customers and he also gives away amazing door prizes. Last year he gave away a brand new silver Rolls Royce with 25 solid silver ingots in the trunk to one of the customers at his annual dinner event. (It was the silver anniversary of his business.)

Cost to Dave to present an outrageous event like this. Surprisingly low as he gets many of his suppliers to contribute toward the costs.

(You can read how Dave does this in my Unfair Business Advantage Report.)

Action Exercise:

Appreciation marketing works like magic to make customers feel valued and special. How could you use it in your business?

"Appreciation is a wonderful thing. It makes what is excellent in others belong to us as well." Voltaire

Graham McGregor is a marketing consultant and the creator of the 396 page 'Unfair Business Advantage Report.' www.theunfairbusinessadvantage.com (This is free and has now been read by business owners from 11 countries.) You can email Graham on graham@twomac.co.nz