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Dell is one of the most successful companies in the global technology sector, manufacturing and marketing innovative products, services, and technologies to consumers, small businesses, and large enterprises.
the challenge
For years, Dell focused on customer acquisition at the expense of customer retention and development efforts. This hurt their brand and it hurt their bottom line — they were losing the "next sale" to competitors. Additionally, there was lots of opportunity to sell their entire product line, which consists of accessories in addition to PCs.
Our challenge was to develop Dell's massive base of existing customers into more profitable relationships.
the solution
We worked closely with Dell and their database service provider to segment their file-based behavioral data, such as customer tenure and value. Once the team had some high-potential, targetable segments defined, we outlined a relevant contact strategy creating a communication stream from welcome letters to follow-up offers to up-sell and cross-sell, plus customer appreciation mailings, emails, and special sales. We learned what worked, improved upon the existing program, and added to the communications each time we had the data to confidently allocate budget toward retention.
the result
The customer retention program has been extremely successful for Dell. Based on the results, they have reallocated their acquisition budget toward retention. And customer response to personalization has been so positive that Dell has switched to 100% digital printing in order to deliver even more custom communication.