Wednesday 6 January 2010

If you want me back, don't slam the door in my face

I recently received an email from Lovefilm (a DVD/Games rental by post service) asking me to return as a customer with the offer of 3 months for the price of 1.

So far, so good. The problem was that I’d previously taken up one of these reactivation offers, which meant that, under their terms, I was ineligible to take up this new offer.

This fact was buried in the tiny small print of the email so it wasn’t until I went through the whole process of finding my login and password for Lovefilm and confirming I wanted to come back that I was told I couldn’t have the offer but I could still come back at full price.

There are two morals to this story:

1. Don’t contact someone with an offer to which they aren’t eligible. Poor suppression in this case is a bit annoying but in other cases can have far worse consequences.

2. Test the price points of your offers. There is a big gap in the price points Lovefilm are offering (either 3 months for the price of 1 or full price). Testing can help find the best level of payback (e.g. £5 a month off, every second month free, highest tier package for mid-tier cost). They don’t want me back at 3 months for the price at 1, I don’t want to go back at full price – so make me an offer that’s acceptable to both of us.

Dan Barnett,

Analysis Marketing Ltd

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