U.S. companies are predicted to spend $176.9 billion on direct marketing in 2008, but with a sluggish economy, advertising executives are forced to make increasingly slashed budgets prove their worth. So how does a 41-year-old company efficiently use its advertising budget to reach target audiences?
Holmdel, N.J.-based Lawn Doctor created an award-winning direct marketing program which has been recognized by the Turf and Ornamental Communicators Association (TOCA) for "Best Direct Mail Campaign" and it was ranked fourteenth in earned media value by ClickZ among Fortune 500 companies. A combination of leadership, marketing and growth also lead to Lawn Doctor being ranked tenth in Lawn & Landscape's list of Top 100 revenue earners in the green-industry.
The program, researched and developed by the company's Vice President of Marketing and Franchise Development Scott Frith and Director of Marketing Paul Mumm, was designed to hone Lawn Doctor's marketing strategies and tactics to resemble those of a Fortune 100 company, executed in a nimble way befitting a small to mid-sized company.
Frith and Mumm broke down their customers' demographics and psychographics to understand their lifestyles and what drove them to using professional lawn care services. They learned that more than 70 percent of Lawn Doctor's customers fit into two groups: those who've achieved the American dream with a yearly income of $75,000 to $175,000; and those who are chasing the American dream and have a yearly income of $50,000 to $100,000.
"The messaging and delivery of our campaigns allows us to tout our expertise and communicate Lawn Doctor's points of difference in a modern way, relevant to our customers' daily lives," said Frith. "In the past, we knew our customers were satisfied with Lawn Doctor's services, but didn't know why or how many of them were satisfied. By getting specific about who our customers are, we can use the same amount of money to get three times as many potential customer leads."
Lawn Doctor created new campaigns and special offers targeted to desires of the two customer groups. They also began to cross sell and up-sell services to existing customers. The result: the program is achieving a phenomenal 72 percent response rate.
"Consistent messaging and creative are just as important as the mediums used," Mumm said. "By understanding what mediums our core customers pay attention to, we ensure Lawn Doctor's messages are seen, understood and lead people to take action."