Case Studies
Schlage Locks in Sales with Rebate Program Management
Retail is a competitive world. Increasing sales while minimizing costs and logistics is a challenge. Schlage, a division of Ingersoll Rand Security Technologies, found their solution with a “mail-in gift with purchase” program. And by outsourcing the rebate program management process to Dare Marketing, costs were well managed and logistics were not a challenge at all.
Schlage locks are sold at retailers across Canada. There are many possible ways to drive retail sales including offering uniquely bundled Schlage products. However, these options need long lead times, can cause inventory management issues and demand inventory participation by the retailer. Thanks to rebate program management outsourcing, the ‘gift with purchase’ solution is a more simple and cost-effective promotional option. In 2005 Ingersoll Rand offered the Digital Camera giveaway. Following on its success, they offered the Schlage “Night at the Movies” gift in 2006. Both programs ran for two to three months and each was successful in cost effectively increasing sales.
There are many steps in the rebate program management process. It begins with literature fulfillment to sales representatives and retailers. Before the campaign even appears to consumers, kits must be assembled and sent to sales managers according to their need – one manager may need nine kits and another only two. Its totally individual.
Once the campaign is underway, communications with consumers begins by phone and mail. Both are managed by Dare Marketing. Dare responds to consumer questions about the gift offer on a dedicated Ingersoll Rand telephone line. Dare staff review mail-in coupons to ensure that they are complete and valid. They then mail out the gift and automatically update a database of the consumers responding to the campaign. Dare Marketing reports on the campaign’s progress to Ingersoll Rand every Monday morning.
By partnering with Dare Marketing, the Schlage division of Ingersoll Rand increased sales while minimizing cost and demand on internal resources. Rebate program management – with its many details including kit assembly, telephone support and fulfillment – is a marketing strategy for which outsourcing should be considered.
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