Koryn Johnson is the owner of Milagro Massage Studio, which opened just last year in Downtown Berkeley — right at Shattuck and Center St. in the Wells Fargo Building.
Koryn needed to grow her client base, and so she came to Two Hats for help.
We looked at the basic questions:
- Who is the target audience?
- What do they want?
- Where are they looking?
- What will have them step in the door?
Koryn has a sandwich board that she puts out in front of her building during business hours, and it has a pocket for postcards. We decided to try various specials: 20% discounts for new clients and week-long holiday specials (starting with Valentine’s Day). We got the word out through postcards placed in the pocket of the sandwich board. Sales immediately jumped by 90% from January to February. Okay!
We decided to print one discount postcard for each month, and Koryn wanted Two Hats to take over the design layouts, the sales text, and help in selecting the right photos.
The best practice in marketing is to track results, and so we used tracking codes to assess the different discounts on the postcards.
Since January 2014, Milagro’s revenues have grown 250%. What’s making this work?
We can say that sales are growing about 12% a month on average, awesome!
But what’s driving those sales? Through our trackers, we saw that most of the growth was through new clients, expanding from about 45% of total January 2014 revenues, to over 60% of August revenues, and those numbers steadily increased whether we offered a 15% or a 20% discount. Good to know.
Finally, we saw that the week-long monthly holiday specials provided an 8% revenue boost on average. Our next task is to develop specials for a massage series and gift certificates, because clearly the postcard special are working.