GROHE ACTIVE SUPPORT & REWARDS
Building installer loyalty and increasing market share.

The Task
Grohe is a brand that is respected and recognised by installers, but that brand presence hadn’t translated into an increase in domestic sales as efficiently as it should have done.

It was against this background, and because they knew how successful our work with Vokèra had been (see case study: Vokera affinity), that Grohe asked Black & White to develop an installer support and loyalty programme for the UK market targeting one-off installers that could translate brand perception and recognition into revenue and increased market share.

The Brief
Grohe products are premium purchases, and the opportunity for plumbers and contractors to develop a long-term relationship with the brand is limited due the historically small number of Grohe products that any contractor may install. We were asked to find ways to develop long-term loyalty among these ‘one-off’ installers and keep the Grohe brand values clear in their minds.

What we knew
Of the overall market it was identified that around a quarter were one-off installers for whom this scheme would provide significant benefits  
Of these only a small percentage could be identified as current or recent purchasers of Grohe products
No prominent competitor scheme was active
Consumer awareness of the Grohe brand was also low
However Installers have a great influence on the consumer purchasing decision - with the final purchasing decision based on product and brand awareness, confidence, style and quality of product and then of course budget.

What we did
We created an installer support & reward scheme - and all associated processes and infrastructure - but one unlike any Grohe had run before. This was to be a business scheme – between business partners, so not only did the scheme reward the purchase of Grohe products, but encouraged training uptake, attendance at events and spreading the Grohe message by word of mouth.

By making the Grohe Active site the first point of call for Grohe installers it became the place where they interacted with the company and began to understand its values. So membership of the scheme included a priority hotline for membership and technical product related queries, regular news updates, monthly statements, an express spares service and on-line literature ordering.

Perhaps most unusual of all however, were the rewards themselves – not consumer goods but discounts on Grohe products that the installer could sell on to customers at full market value and earn additional profits.

The result was
Pre-registration strategies were put in place and uptake was brisk. Installers accepted the Grohe brand and its values; they saw the value of trading their customers up to Grohe products, in encouraging their colleagues to join the scheme, and in undertaking training.

And a new relationship between the Grohe brand and its audience began to develop. Where once there were one-off purchases, now there was continuous, open, dialogue, with active members.

In Addition
Once the programme was established in the sales channel we synchronised other activities, such as trade shows, product launches and advertising to keep the programme fresh and current.

And because data is key for member recruitment, the potential for programme expansion is significant – promotions to  generate members, third party data acquisition, exchange and affiliate programmes, data leasing and data rental.

 

 
© DES Communications Limited 2008. All rights reserved. All trademarks acknowledged