Why Choose Savvy Saver?
We provide only 4-5 mailings per home / per year
- 1 coupon every 10 weeks will not train customers to only use coupons
- Printable coupons are not on-line so customers can't abuse discounts
- Magazines are not left in piles anywhere. Households only receive one
Customers In your business are not at your competitors
- Existing loyal customers will come one more time than planned
- Building brand equity through awareness and loyalty
- Word of mouth starts with customers in your business
You will attract more business and spend less ad dollars
- Your combined Ad Cost + Discount Given away is less than other media
- You will bring in more customers than other media for less/customer
- Your ad cost will go down / Gross Profit will increase / Net Income Grows
- Discounts given away is just ad dollars not spent on expensive media
- Increased business will decrease your labor cost and offset discounts
Service and Quality will not change one bit
- You will still serve the same products/food at the same quality levels
- Your staff will work harder as they see business increase
- Customer service actually increases as you look to retain new business
- Moral increases as they see the results of your investment
Savvy Saver clients are not going out of business
- We have seen many worry about brand equity but close the business
- All of the Savvy Saver clients are operating profitably
- Ask any Savvy Saver client and they will confirm the results help not hurt
At Savvy Saver we don't focus solely on number of redemptions. We focus on Quality of Customers and finding NEW long-term full price paying loyal customers for YOUR business.
Internet coupon sites allow the same person(s) to continuously print off discounts and thus never pay you full price for your goods/services. Since nearly everyone in every household has 1-2 e-mail accounts the household not only receives multiple offers but everyone in the household can print as many coupons as often as they like.
Internet printable coupons train these customers to never pay full price as you are allowing each of them to print and receive a discount whenever they want. The internet coupon providers may end up gaining you redemptions, but only from a very small pool of households and the effect on your pricing structure must be considered.
When using internet coupons there is no control over the demographics. Since internet coupons do not use a targeted mail list, it then makes sense that anyone who finds the provider site on the internet can use them (over and over again). As such, you are potentially providing discounts to a group of people who may not be able afford your full priced products and services on a regular basis, thereby attracting customers to your business who are not going to be a long-term repeat full price paying client.
When you use internet printable coupons your employees will also know it. As such, there is GREAT RISK of employee fraud. With a printed internet coupon that your employees print it off at home and claim discounts by customers when they really took it as a tip or what we call an unauthorized bonus from your hard earned revenue. Too many businesses have fallen into this trap and learned the hard way how expensive the temptation of printable coupons are.
Compare this to how the limited 5 time per year targeted demographics Savvy Saver direct mail coupon works and you will find out like so many others why campaign produces so much more ROI for your business. Call us for more information.
If you are approached, here is a short list of considerations before agreeing to "the deal":
1) Who is Making the Profit from the Deal
Please understand what you are really offering consumers is a giant coupon. Nothing more or Less. 50% OFF your purchase up to a max value. Call it a gift certificate or anything you like, but in the end it is just a deeply discounted coupon. However, the cost of running the coupon is NOT Fixed. This means the "Deal of the Day" provider is your business partner and gets 1/2 of the revenue.
The internet service providers offering "50% OFF Deal of the Day" products often try to persuade you that "they will pay you part of the cash profits and your only cost will be gift certificates". It seems as if you can't lose. However, the service providers are actually profiting more than virtually any other form of advertising you can buy and they are doing at your expense. One key factor is that there is little to no expense to the service provider. What the "Deal Provider" makes from the the gift certificates sold is virtually all profit to them. Yet if you have any product cost at all (not to mention labor costs) you will most likely lose money on each redemption. All the while they earn huge profits by taking a percentage of each sale. Since you would never agree to pay your landlord a percentage of each sale why would you do so with an advertising company?
Here are the basics:
Typical Internet Deal (Restaurant / Retail) :
|
Redemptions from Promotion (Gift Certificates Sold) |
300 |
|
Face Value of Promotion / Value of Gift Certificate Offered |
$50 |
|
Price Customer Pays For Each Gift Cerficate |
$25 |
|
Internet Provider Gets 25% Each Certificate Sold |
$12.5 |
|
Merchant Gets 25% Each Certifcate Sold less 3% Visa |
$12 |
|
Total Revenue Collected by Merchant from Promotion |
$3,638 |
|
Cost of Goods Sold @ 30% Product Cost (ie before labor) |
-$4,500 |
|
Total Goods/Services cost before labor |
|
|
Merchant Net Loss before Labor |
-$863 |
|
Ad Cost |
|
|
Collected by Internet Media Company |
$3,750 |
Most companies have more than a 30% product cost and as such the loss is even larger. The Internet Company is at no risk and leaves you to handle the reconciliation and tracking the redemptions on top of all this. Further, the consumer made the purchase from the internet provider and not from your business. As such, they recognize the value of the internet company not your business. To the consumer you are ancillary to the sale of the internet companies product. Hardly a position you would want to be in.
Now consider the same deal in Savvy Saver. Our typical FIXED price would be around $500 and we could get you the same or more business, ensuring that virtually every redemption was from a unique household. We target our mail list to avoid lower income areas and do not require you to reconcile gift certificates turned in to a list provided. Further, the consumer doesn't buy from us, they come to you and buy directly to you, thus recognizing the value of your business.
To make the numbers easy let's say an average ad costs around $500. You would have made $25/redemption so your revenue doubles. Here is the improved bottom line:
|
Redemptions from Promotion (Gift Certificates Sold) |
300 |
|
Face Value of Promotion / Value of Gift Certificate Offered |
$50 |
|
Price Customer Pays For Each Gift Cerficate |
$25 |
|
Savvy Saver has a fixed fee |
$500.0 |
|
Merchant Gets $25 Each Certifcate Sold less 3% Visa Charge |
$25 |
|
Total Revenue Collected by Merchant from Promotion |
$7,500 |
|
Cost of Goods Sold @ 30% Product Cost (ie before labor) |
-$4,500 |
|
Total Goods/Services cost before labor |
|
|
Merchant Net Profit before Labor |
$3,000 |
Wouldn't you rather make $2,500 (3,000 - $500 ad cost) than lose $863? How would you like to make even more.
If you let us place a properly designed coupon our cost would still be let's say $500 but we can increase your bottom line even if you don't get as many results. This is due to the discounts being less. Contact us and we will be happy to walk you through how it all works. You'll be amazed at the customer counts coming in, the affordability of the advertising program and the bottom line profit your business will see. If that isn't enough, you'll love the class of customer that comes to frequent your business.
2) Who the Consumer is Buying from
As mentioned, the consumer is buying from the Internet Deal of the Day Service Provider (or any of the clone programs that are now available). They are not buying from you.
You are brokering out gift certificate sales to a third party and consumers are forced to buy your gift certificates from that third party. In turn this reinforces to the consumer the value of the third party's service, not yours. You need your customers to buy directly from you and recognize the value of your business, not the value of the internet service provider.
That is 100% opposite of offering a small discount with a coupon. The coupon concept is based on the consumer coming into your business, paying some cash commitment directly to you and then getting a small discount from the gross revenue. The shallow discount coupon concept brings PAYING customers to you and reinforces the value of your business or service on them.
3) What Consumer Demographic is Actually Being Reached
Who really is the typical consumer related to these products? Where do they physically reside at? Will they turn into regular customers or will you never see them again? Are they your regular customer already? Is there any up-sell when redeemed or do they only spend the minimum per the gift certificate and leave? Will they tip your staff on full face value or are you all working harder for less money? These questions should be critically assessed before making the buy decision.
This program (like other internet marketing campaigns) is not a targeted marketing campaign. The internet service provider tries to sell the program as the most likely buyer will be your typical desired customer. However, ANYONE with a credit card and an e-mail is a potential buyer. In fact within the same household, multiple credit cards and multiple e-mails exist, meaning the same home/person can buy multiple times (often this is the case).
The internet service provider has very little or no control over the demographics or number per household that is sold. Anyone who signs up for the service under any name/e-mail can participate. Just like most internet programs those consumers who only buy/shop based on someone offering the deepest discount will sign up and buy. As such, the likely buyer is already a loyal customer who already knows your business or a deep discount shopper who is only motivated by a deep discounted deal to good to pass up. This makes the campaign even a more expensive way of finding new customers who can be converted as they are probably the smallest percentage of the buying group.
Also, consumers who buy the deal and do not reside near enough to regularly frequent your establishment probably should not be sold such a deep discounted gift certificate. Further, the required deep discount is so big you are in essence devaluing your price / value to the consumer and possibly your loyal customers who are already paying you full price on a regular basis. That is a different type of devaluation than a regular customer using a shallow discount coupon presented infrequently.
Also, it often takes 3 or 4 times to have a consumer shop with you to convert them. Hence a shallow offer to attract used a few times a year is most likely a better tool to generate repeat traffic from the consumer than a deep discount offered one time.
4) What other services do you get from the Provider
Typically there are no other services or advertising benefits provided to you. Just a limited time posting (without much content, information, or graphics) on an e-mail based website, that's all. This continues to makes it seem like a very expensive program for the benefits received.
Over the course of several months (Nov 2009 to August 2010) Three Forks Wok & Grill in Eugene saved virtually all the coupon redemptions received from Savvy Saver as well as six other direct mail and Internet Coupon provider companies. These coupons were turned over to Savvy Saver for comparison in Feb, July and again in September of 2010.
In Feb the coupons were sorted by marketing company and tallied. The results showed over 2,000 three forks Savvy Saver redemptions to just a handful of competitor redemptions.
In July the new coupons were picked up and sorted again. The results showed yet another 2,000 three forks Savvy Saver redemptions in about 3 months again to just a handful of competitor redemptions during the same time frame (truly 100% apples to apples).
Again in September the new coupons were picked up. Even with a shorter time period and the slower summer months the results showed well over another 1,000 Savvy Saver redemptions, to that of just a handful of competitor redemptions (virtually the same offers). The picture below reflects this September tally.

In order to put this into perspective, the results for the last 10 months (all three pick up dates) in total were sorted and compared - see picture below. Savvy Saver redemptions filled a bag that is 8" x 12" wide at the bottom and stuffed 12" tall. Shown in front of that bag on the table are six other marketing companies redeemed product amounts sorted into individual storage bags (actual results - same time frame).
The total redemptions from these competitors products was very low. Redeemed from the other marketing companies products, over the same 10 months (with virtually the same offers) there are; 4 half full sandwich bags and 2 half full gallon size bags with each bag representing another marketing companies advertising vehicle. When it comes to the highest redemption customer in town you would expect better competitor results. If the competitors products continue not to work for the customers with the highest demand, then they probably won't produce significant ROI for you.
Not everyone will receive this level of results but....
Savvy Saver works and outperforms the rest by a large margin while effectively reaching more households and targeted demographics. Please consider this and call us before paying anyone else for print or e-mail marketing (see website details on why e-mail marketing does not work as promised) to produce like kind products that we offer and produce in higher quality with more distribution and longer life spans.
Results below are actual based on customer presented responses.

The following summary shows actual research data on the effectiveness of direct mail vs. e-mail marketing.
The research has been broken down into a few basic categories:
- Deliverability - without effective delivery rates no product can produce results
- Open/Read Rates - Once delivered the product needs to be in a form that creates the desire/need to open and read the product/message
- Response/Conversion Rates - Once opened every delivered product has some standard response/conversion rates
- Opt or Tune Out Issues - Repetitive products need to ensure that consumers do not opt out or tune out thus lowering open/response rates. Each time the same product is delivered to the same person, the product must be in a form that keeps them interested. Once consumers lose interest the next delivery will suffer a degradation in the open rate.
Deliverability:
Direct Mail accounts for over 58% of all coupons delivered to consumers compared to only 1% of coupons being delivered via e-mail.
The USPS, by law, requires that 100% of all the mail is delivered. However, research shows that 20-25%+ of e-mails are not delivered to the inbox and another 16% just go missing . As such only 60-65% of all e-mails even reach the intended recipient list.
Open/Read Rates:
Research shows that 85% of all direct mail advertising gets opened and read, while 78% of consumers take action and 85% of all Women 25-44 read direct mail.
E-Mail has an extremely low 11.2% open rate , while 32% of Women ages 25-44 prefer direct mail over e-mail
Studies show that most e-mails are not delivered at a time conducive for maximizing open rates and that only a few windows of opportunities (certain hours and days of week/year) exist to ensure maximum open rates. With direct mail, consumers generally go through the mail when they have time to look at it. As such, the chances of missing a critical window to ensure an open vs a delete is not critical to direct mail piece.
Response/Conversion Rates:
Several Statistics show that direct mail achieves an average of over 7% redemption rates. This is contrary to a popular belief that 2-3% redemption rates are standard.
Compare this to a statistically low 1.1 - 2.3% conversion rate for e-mail that was noted in several research studies. Not only are e-mail deliverability and open stats well below direct mail but redemption is also significantly lower.
Opt/Tune Out Issues:
A whopping 247 billion emails were sent each day in 2009. Consumers aged 18-26 receive an average of 12.4 emails per day from companies marketing goods and services, compared with 14.9 emails per day for those aged 27-38 and 15.9 for those aged 39-54
More than 25% of the email that consumers received in their inboxes was marketing related.
- 46% of internet users say commercial emails they receive are not targeted to their needs and 40% of consumers say that generally email comes too often.
In addition, 41% of US Internet users threatened to stop buying from companies that send them irrelevant messages and 22% of US Internet users decided to stop purchasing from a company because of too many or irrelevant emails.
Consumers are turned off, especially the consumers you really want to target. In fact, several research sites quoted declining open/read rates over the last few years at the same time that there has been a growth in e-mail marketing efforts.
Ask us for our Source Sheet
COUPON FACTS (Information by PROMOTION MARKETING ASSOCIATION)
- 79% of the United States population uses coupons.
- 69% of primary shoppers report that they "frequently or almost always check or clip coupons" as part of their shopping behavior.
- According to the U.S. Postal Service 74% of Americans immediately read or look at advertising they receive in the mail
All Age Groups and Income Levels use Coupons!
|
Age |
% Using Coupons |
Income |
% Using Coupons |
|
18-24 |
69.7% |
Under $25,000 |
72.2% |
|
25-34 |
78.2% |
$25,000-$50,000 |
78.9% |
|
35-44 |
81.5% |
$50,000 - $76,000 |
81.7% |
|
45-54 |
79.0% |
$75,000+ |
77.6% |
|
55-64 |
80.6% |
|
|
|
65+ |
72.0% |
|
|
By Gender By Education Level
Females: 86%
Males: 69%
By Education Level
High School: 73.2%
Some College/Graduate: 80.1%
Post Graduate: 79.8%

