Marketing Case Study For Relationship Building: Gentle Hands Massage

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This is a marketing case study on the effective use of business relationship building to reach new clients and increase revenue. It outlines the case of Gentle Hands Massage in New Haven, CT, and how the owner established partnerships with neighboring businesses to bring in customers.

Transcript of Marketing Case Study For Relationship Building: Gentle Hands Massage

Page 1: Marketing Case Study For Relationship Building: Gentle Hands Massage

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Marketing Case Study For Relationship Building:Gentle Hands Massage

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•In 2006, Gretchen Parker purchased the struggling New Haven Massage Parlor in New Haven, Connecticut.

•Seeing a rebranding opportunity, she changed the name to Gentle Hands Massage.

•Along with the name change came a complete storefront-remodel.

•Parker immediately set to work recapturing lost clients—she salvaged roughly 50%.

Company Profile

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•Hoping to break the stigma of the previous ownership and name, Gretchen created an attractive storefront design promoting the “Grand Re-Opening!”

•She also began advertising through newspaper ads and online directories.

•The first month of ads cost $2,500 and produced 15 new clients.

Marketing Efforts

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•Looking to increase awareness for less money, Parker approached nearby businesses—New Haven Floral Studio, Giovanni’s Italian Restaurant, and Tiny Tots Daycare.

•At New Haven Floral, she offered free massage coupons to distribute amongst the arrangements.

•At Giovanni’s she proposed a date package of a discounted massage with the purchase of two Giovanni’s entrees.

•At Tiny Tots she offered a discount to all of the employees as well as the mothers of students.

Relationship Building

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•Response to the offers was quite positive.

•By networking with local business owners, Gentle Hands has shown support for the community and in return receives referrals from its neighbors.

Neighborhood Feedback

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•2 months after implementing the partnerships, Gentle Hands has seen 30 new clients from New Haven Floral, 22 from Giovanni’s, and 43 from Tiny Tots.

•The total expense of these partnerships was less than $250.

•Rather than promotional material, Gretchen chose to discount her rates to establish a loyal following.

•Both businesses have benefitted from the exposure.

Conclusion

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•Rebrand carefully—be different enough that customers recognize the improvements, but stay somewhat-recognizable so loyal customers can identify you. •Take advantage of networking opportunities with local businesses. •Offer them a chance to try you with no strings attached. Once you win them over, you’ll have a chance to make your sales pitch. •When creating partnerships, make sure there’s something that benefits both parties involved.

Recommendations

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