Objectives and Planning

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	Defining the objectives of the campaign			It is very important to formulate a very clear idea of what you are setting out to achieve in your sales campaign. It may be that you are: a new venture trying to create a new customer base; an established business trying to build upon the customer base you already have; or a business with a comparatively mundane problem of holding £200 worth of slow-moving stock you wish to move on before it becomes obsolete and worthless. Just three examples of an endless lists of possibilities. Each one, however, deserves to be approached in the same methodical way to maximise the end result. Admittedly, the level of commitment required to sell on the slow-moving stock, is going to a lot less than the other two examples. It will always pay, however, to sit back and look objectively at the problem. Take the slow-moving stock problem. Ask a dozen people and the bet is that they suggest slashing the price to shift the stock that way. Of course 'giving' away stock at a bargain price normally does work, but it should only be used as a last resort. Perhaps the business should first try moving the stock to a more prominent position, and then actively promote it. Simply moving the stock up to a shelf at face level, and placing it at the end of a shelving unit is a proven merchandising device for increasing sales. A higher return might be realised by bundling the problem stock with a quick selling product to create a manager's special. You discount the price, to make the deal look attractive to the customer. But the amount you cut, will be less than the offer you would have had to make to shift the problem stock on its own. Even the smallest of promotions deserve a little lateral thinking and planning. It can make all the difference to the success of the exercise at the end of the day. By setting your objectives, you improve the chances your campaign will be successful. 1. By focusing on what you want to do, you will select the best method of achieving it. Factors you should take into account include: identifying precisely what your target market is . Why incur the cost of sending your sales message to everyone? Your campaign should be targeted to reach your potential customers. What exactly is your promotional message going to be ? What you say, and how you say it has to be considered very carefully. How are you going to deliver the campaign message? Media advertising, cold-calling, mail-drops, or even just a poster in the window all have merits. What resources will you need? Not only to run the campaign, but to meet the demand you create. It should never happen, but many campaigns are conceived and attempted without ensuring that the business can actually meet the demand it creates. How long is the campaign going to last? Every campaign should have a defined start and end. This provides the opportunity for you to evaluate how well they did.     2. By setting your campaign objectives, you create the parameters by which you can judge whether the campaign has been a success. Even the smallest of enterprises should take the time to reflect on whether their campaign has been successful as it draws to a close. If the campaign proved to be a run away success, you can always rerun it. If it proved to be less successful than you hoped, it still gives you a baseline from which to build a better campaign next time. Even if a campaign was judged to be successful, you should not become complacent. The campaign might have been twice as successful, had you tried something a little different. Who knows until you try? It always pays to define your objectives, as the two following examples show. New shop: A new hairdressing venture has decided to run an opening promotion to create a loyal customer base as quickly as possible. The salon intend to run a local radio promotion over the opening period. Any customer who is served during the first two weeks, will receive a 30% discount voucher to claim against the cost of their next visit. The objectives of this promotion is twofold. To win immediate business. And just as importantly, encourage first-time customers to make a return, second visit. The promotion avoids giving away much needed revenue in the first month, when cashflow will be tight. It is also focused on providing an incentive for first-timers to return and become regular customers. The promoters are looking at increasing the lifetime value of each new customer, rather than just the revenue generated from the first two visits. To win that objective, they are prepared to discount to break-even on the second customer visit. The success of the campaign can easily be measured by the volume of business won in the first few weeks of opening. This will be followed up by evaluating how many people take up the second visit offer over the ensuing months to become regular customers. For this reason it will take six to nine months before the salon will be able to determine if the second visit offer actually works. If it does, they may conclude it is worth giving all first-visit customers the same offer, to encourage them to come back. Protecting market share: An established hairdresser near the new salon is concerned about the prospect of their own clients trying out the new salon when it opens, and perhaps losing their custom for good. They are contemplating running a promotion themselves to protect their valued 'regulars' business. They conclude that their objective is to provide an incentive to prevent their regulars considering trying out the new salon in their opening weeks. From the past booking habits of their regular clients, they identify those individuals that are likely to make an appointment during the two months around the date the new saloon is expected to open. Well in advance of the opening, they send out an invitation to these valued clients, letting them know they are just that. As a reward for their loyalty, they will be able to select one of three additional services, free on the occasion of their next visit. Of course the offer will only be run during the two months the new salon is expected to open, and bookings have to taken in advance of their expected opening date. Providing the timing is right, this campaign promises to be a very inexpensive and successful solution to a very real danger of losing established business to the new salon. By committing their regulars to book an early appointment with them to take advantage of their own special offer, it is less likely they will be tempted away when the new salon finally opens. This campaign has two distinct advantages. By focusing on just the regulars at risk, the cost of the promotion is minimised. It will also serve to introduce these lucky clients to a new service, which they may well take up again in the future. Deciding if this campaign has been a success, will be a simple case of measuring how many of the clients invited to participate in the offer remain a 'regular'.
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