Swiss Colony’s Marketing Program Runs Like Clockwork with VerticalResponse

Retailer Boosts Profits and Efficiency by Outsourcing Email Marketing Efforts

Background

As a family-owned company since 1926, The Swiss Colony likes to keep things in-house. Eight decades of experience have taught the Wisconsin-based retailer about the virtues of hands-on management. Yet, when it came time to ramp up the company’s Internet promotions, Swiss Colony’s marketing gurus went outside for help– and launched an exhaustive search for a suitable Email Service Provider (ESP).

Problem

Swiss Colony had no interest in setting up the infrastructure for email marketing or managing ISP relations internally - and didn’t think it would be cost-effective to tackle these issues alone.

Discovery

Determined to outsource these tasks, the arts, crafts and food emporium evaluated a number of potential alternatives before settling on VerticalResponse, a San Francisco- based provider of email and direct mail marketing services. VerticalResponse captured Swiss Colony’s attention with its intuitive solution and transparent, inexpensive “on demand” pricing policy. The relationship has allowed Swiss Colony to maintain contact with its customers worldwide, extend its reach into new markets and highlight particular aspects of its inventory with a minimum of hassle and expense.”

Solution

Outsourcing the job also saves Swiss Colony money, especially when advertising special offers at their online retail outlets that sell goods ranging from premium meats and cheeses, to kitchen accessories, to gift baskets, to jewelry, to candles and small electronic devices. The company trims costs by not having to invest in the hardware, software and managed services associated with these promotions, but it also pads its profit margins as well.

Results

Swiss Colony tracks the profit generated by each customer targeted in its online marketing programs and measures that figure against a control group of customers who were omitted from the advertising efforts – an analysis that underscores the benefit of well-managed email marketing campaigns. Swiss Colony studies show that promotional email boosts incremental profit at the customer level when compared to the control group that doesn’t receive promotional email.

That finding vindicates Swiss Colony’s decision to entrust VerticalResponse with the email campaigns that are so crucial to the company’s online marketing efforts. Yet, for Swiss Colony, the hidden benefit of selecting a suitable ESP cannot be found in the bottom line, but in the peace of mind and freedom it affords the 69-year old company. Knowing the constantly shifting technology and deliverability issues are in good hands, Swiss Colony can devote more time, money and resources to building its core business and refining the marketing strategy that has enabled it to thrive for nearly eighty years.