Daxon Case Study

Increasing new business ten-fold

A leading fashion and household cataloguer for over 60 years, Daxon had built a valuable file of older female customers which they marketed through insert opportunities in their statement mailings. Response One Media Sales reinvigorated Daxon's programme in order to increase overall revenue and deliver sustainable, long term business.

The Strategy

• Reposition the Daxon profile and create a unique data and insert proposition
• Increase market potential & maximise existing revenue
• Win new business from both existing and new market sectors

Our Solution

Repositioning the Daxon brand
In order to fully exploit advertising opportunities we needed to reposition Daxon to ensure that their programmes were not seen as just another generic profile of over 50’s females. By gaining a clear knowledge of what truly differentiates Daxon, and devising a fully integrated multi channel marketing plan, we delivered a sequence of successful initiatives which focused on advertiser retention and reactivation, new business and a detailed awareness campaign developed to challenge brokers’ perceptions.

Expanding market potential
Daxon were successfully promoting space in their statement mailings. We identified that their monthly product despatch and database of loyal customers offered strong opportunities for insert and data sales – both previously untapped sources of revenue. In just 12 months we trebled the number of programmes offered on the market, allowing us to actively cross-sell and increase an advertiser’s overall spend.

Maximising existing revenue opportunities
In order to maximise the opportunities for carrying advertisers’ promotions alongside Daxon’s own marketing, we worked in close partnership to keep abreast of any changes to their in-house activity. This enabled us to identify additional space which would otherwise have been overlooked. We also examined ways to lessen the impact of restricted opportunities. Daxon’s own financial service product prevented outside financial service advertisers promoting alongside - by confining Daxon’s exclusivity to statement mailings, we were able to open up product despatch and list rental to financial service advertisers; significantly increasing revenue by offering advertising opportunities to one of the largest sectors using Direct Marketing.

Maximising acquisition potential
New advertisers, existing markets: We now work with brokers to prepare for any sudden strategy change by a regular advertiser and continually build a pool of prospects from similar sectors. We have ensured a constant flow of new business, with 34 brand new advertisers introduced – a 53% increase in just 12 months. This approach ensures that inevitable changes in an advertiser’s marketing plans do not impact on revenue.
New advertiser, new markets: We are building a sustainable programme and widening market potential; including the introduction of entirely new sectors such as competitions and lottery – an area Daxon had not previously worked with now represents their largest advertising sector.

Results

• Re-educating the market about Daxon through a targeted contact strategy has increased new business ten-fold
  
• Amidst a challenging list and insert market, we have reactivated lapsed advertisers, identified lucrative new sectors and secured long term bookings
  
• We have over-achieved on projected net sales across all Daxon programmes by 43% with 26% of sales generated entirely from new business