Impact Today™
Monday, April 7, 2008
Rewards of selling winning lottery ticket
The owner of a gas station and mini-mart in Redford Township, Michigan, has pledged to use the event to reward his customers. Tarek Saad, the station’s owner, will receive a check from the State of Michigan in the amount of $50,000 for selling the winning ticket in the Mega Millions multi-state lottery.
When it was announced his station had sold the winning ticket, Detroit media outlets flocked to the station to do live remote broadcasts on their news programs. A prominent “Under New Management” sign appeared on the window, providing the station with excellent, free publicity. The owner, recognizing the value of the publicity, decided to extend his 15 minutes of fame by using his money from the state to get even more publicity.
The date of the sale has not been announced, but at today’s wholesale plus taxes, the cost would be around $3 per gallon.
Perhaps Saad’s actions will also help people understand the tight profit margin on gasoline.
The owner of a gas station and mini-mart in Redford Township, Michigan, has pledged to use the event to reward his customers. Tarek Saad, the station’s owner, will receive a check from the State of Michigan in the amount of $50,000 for selling the winning ticket in the Mega Millions multi-state lottery.When it was announced his station had sold the winning ticket, Detroit media outlets flocked to the station to do live remote broadcasts on their news programs. A prominent “Under New Management” sign appeared on the window, providing the station with excellent, free publicity. The owner, recognizing the value of the publicity, decided to extend his 15 minutes of fame by using his money from the state to get even more publicity.
The date of the sale has not been announced, but at today’s wholesale plus taxes, the cost would be around $3 per gallon.
Perhaps Saad’s actions will also help people understand the tight profit margin on gasoline.
Labels: Customer_loyalty, Strategy
¶ 4/07/2008 0 Comments Links to this post
Wednesday, February 27, 2008
It’s not the economy, stupid!
When Bill Clinton ran for his first term as president he hung a sign in his Little Rock office. “It’s the economy, stupid!” This was his visual reminder to keep his campaign focused on the economy. Of course history proved it was a successful approach to gaining the presidency.
However it is not always the economy. Last week Sharper Image and Lillian Vernon filed for bankruptcy. Wilsons Leather announced the closing of 160 stores while JCPenney saw an almost 10% profit drop. Profit woes also affected Whole Foods Market, Old Navy, and Zale.
All of them blamed the economy.
But they were wrong!
Abercrombie & Fitch, which stores under the Abercrombie, Hollister, and Abercrombie & Fitch manners, saw a 9% increase in profits from their stores in North America and Great Britain.
They produced these great results in the same economy with high-end merchandise. Last Saturday my wife, daughter, and I went into Hollister to see what the buzz is about. To our surprise the store was shoulder to shoulder with shoppers. A long line was at the checkout where everyone was paying full price – not a sale in the store!
Not only were arms full of expensive private label goods (they sell no brands other than their own), the customers were already wearing clothes with their distinctive logo.
When Bill Clinton ran for his first term as president he hung a sign in his Little Rock office. “It’s the economy, stupid!” This was his visual reminder to keep his campaign focused on the economy. Of course history proved it was a successful approach to gaining the presidency.However it is not always the economy. Last week Sharper Image and Lillian Vernon filed for bankruptcy. Wilsons Leather announced the closing of 160 stores while JCPenney saw an almost 10% profit drop. Profit woes also affected Whole Foods Market, Old Navy, and Zale.
All of them blamed the economy.
But they were wrong!
Abercrombie & Fitch, which stores under the Abercrombie, Hollister, and Abercrombie & Fitch manners, saw a 9% increase in profits from their stores in North America and Great Britain.
They produced these great results in the same economy with high-end merchandise. Last Saturday my wife, daughter, and I went into Hollister to see what the buzz is about. To our surprise the store was shoulder to shoulder with shoppers. A long line was at the checkout where everyone was paying full price – not a sale in the store!
Not only were arms full of expensive private label goods (they sell no brands other than their own), the customers were already wearing clothes with their distinctive logo.
Loyalty in a down economy
The secret to success in a down economy is customer loyalty. These three store brands know their customer’s desires – and they deliver them! They relate to their customers verbally. You cannot walk into their store without being greeted even though they have no official greeting stand.
If you want to be insulated against the economy, take a lesson from Abercrombie & Fitch.
The secret to success in a down economy is customer loyalty. These three store brands know their customer’s desires – and they deliver them! They relate to their customers verbally. You cannot walk into their store without being greeted even though they have no official greeting stand.
If you want to be insulated against the economy, take a lesson from Abercrombie & Fitch.
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Labels: Customer_loyalty, Strategy
¶ 2/27/2008 0 Comments Links to this post
