How one UK company generated £6m of future sales

nuts
There are plenty of businesses out there who know their stuff when it comes to marketing their products but few of them get it as right as often as Graze. And we’re not just saying this because we really like nuts.
From their friendly but effective direct mail to their snazzy website, their astute pricing to the relentless way in which they pursue new customers, there are valuable lessons to be learned – and  implemented – in almost everything they do…

They get their customers to do the selling

Sure, Graze are pretty good at bringing new buyers into the fold themselves (regular Amazon customers will be familiar with the sight of a Graze voucher tumbling out of their recently delivered  packages) but their real genius lies in making it so easy – and worthwhile – for people to get their friends to sign up too.

Think about it: they deliver thousands of boxes every day, many of them to public places, such as offices. It’s only natural that people will want to ask and talk about their colleagues delivery of a  cool looking eco-friendly cardboard box full of delicious snacks.

So, with this in mind, new customers who sign up via a referral get their first box free and their second half price. And the person doing the referring gets a little something too – their next box  free. It’s a win-win situation for all concerned and a great way to get customers to do the legwork.

They know how to use social media

They make it incredibly easy for people to talk about with their friends on Facebook and Twitter what they’ve received in their latest box. But here’s the clever bit: customers are given a  promotional code, created by the Graze website, that they can share across their social media accounts. Every time they do this and one of their friends or followers uses the code, they get £1 off another box.

Every box they receive also has their promotional codes printed on handy cards that they can pass on to their friends. Word-of-mouth does the rest.

You see the quality of the product is such that people are compelled to promote it to get their free stuff. Not only this but they’re able to rate what’s in it, decide the snacks they like or dislike,  cancel or delay whenever they want and promote as much as they like – in short, they’re empowered.

Their direct mail isn’t bad either

For a business that sends out its product in the post, you’d expect this to be the case – and make no mistake, Graze boxes do look pretty snazzy when they arrive; they’re a real conversation starter.

But, again, it all comes down to sharing. Sure their direct mail includes all the usual discounts and freebies and it all looks and reads brilliantly, but to take advantage of the offers, people need to  register online. This is why Graze DM comes with tear-off coupons that can be easily given to friends and colleagues.

It’s all about the little luxuries

Now £3.89 may not sound like much to fork out every week for something this nice, healthy and convenient, but then that’s the whole point. The majority of people won’t notice a little under £4 leaving their bank account every week. But say you stay with Graze for three years, receiving a box every seven days, you’d be shelling out around £600. Multiply that by the 100,000 customers signed up and all of a sudden you’re looking at BIG money.

This is where the Graze model is so clever: a low price point that won’t be perceived as a big financial hit, but a product that offers such choice, convenience and perceived other benefits (health,  eco-friendly) that people will continue to buy week after week.

They’re also selling in a vacuum.

Chances are, you wouldn’t pay £4 for a box of nuts in a shop but the fact that it’s all done for you – you’re given a massive choice of snacks, selected at random and packaged beautifully before  landing on your desk regular as clockwork – turns it into something of an event. A treat. It’s like a gift to yourself – and who wouldn’t pay a little extra for that?

They’re good listeners

If there’s one thing the guys at Graze like to do it’s hear from their customers. From the moment you sign up, they’re regularly in touch via email and social media to find out what you liked about your last delivery, what you wouldn’t want to eat again, things you’ve never tried but would like to and, of course, your thoughts on the overall service.

The result? The chances of you getting anything in your next order that you don’t like are pretty slim – no mean feat when you consider there are nearly five million possible combinations of  snacks available – and the chances of cancelling your subscription because you don’t like the product are practically zero.

7 things we love about Graze…

1 – Just set it up and never think about it again
2 – They’ll deliver straight to your door
3 – Their branding is bang on – just look at their website
4 – It’s like a present to yourself
5 – You can order more of what you like…
6 – And none of things you don’t
7 – They make brownies and flapjacks feel healthy