A couple of years ago my preferred office supply store embarked on a creative strategy to sell me more stuff. And it worked — for a while.
They started emailing me coupons that offered nice discounts — if I spent about 50% more than what had been my typical historical purchase. Not wanting to pass up a good deal, I used their coupons, buying what I needed now and stocking up for the future. If anyone were tracking the results of their marketing efforts on me, they would have been pleased; there was at least a 50% boost in my spending with them, likely more.
The problem is that my growing stock of office supplies will now cover me for the next several years. Aside from ink cartridges and batteries, I’m nicely provisioned. I have enough printer paper, file folders, highlighters, paperclips, staplers, rubber bands, pens, and whatnot to last me a good long time. In fact, I don’t think I will ever need to buy file folders or paperclips for the rest of my life.
So, after enticing me to increase my purchasing for a couple years, they are now paying the price of that short-term gain. Now I am buying next to nothing.
When I received my $15 reward certificate last month, I had trouble finding anything I needed — even though it would be free! Of course, that just further forestalls me from actually buying something from them.
If you multiply my experience by the thousands of others who received similar coupon promotions, I suspect that corporate is scratching their collective heads over what happened; it wouldn’t surprise me if careers where made and lost over this whole ordeal.
The lesson to be learned is that a coupon today could result in a no-sale tomorrow.