Case Study – Cosmetic Store Create Leads Database

We will continue with case studies for our cosmetic store, which has its own business blog from earlier posts. This case study is related to the earlier post about how to create a leads database.

Now the entrepreneur of the store wants to start with collecting leads data for the business purpose. So, she needs to create a leads database. Because of that, she starts with one simple MS Excel document with nine different columns:

  1. Name and Surname,
  2. Postal address,
  3. Phone number,
  4. E-mail,
  5. Marketing activities that were taken,
  6. Date of those marketing activities,
  7. Reaction of the person after specific marketing activity,
  8. Yes/No related to purchasing and
  9. Future marketing activities.

She wants to collect data required from the first 4 columns in this sheet. Where it is possible to collect all these data. At the starting point, the table is empty, and she wants to start to fill the table with the necessary data. Here are the steps that she takes to start with collecting information in order to create a leads database:

  • Start with her personal address book and put information about friends and cousins into the table. If there is some data that is not available she makes the call to the person tell him that she needs more data to be able to send him information about promotional products. In such a way, she completed the table with all required data. He collects the data for 20 people into the table.
  • Ask each person that will come to buy in the store and buy for more than $100 to give her contact details that she will use to contact him about promotional products and special discount. This strategy gives her a very big amount of information about current customers because everybody wants to know when something can be with a special discount. So, in the first week she collects data from 100 current customers. Now she has 120 leads into the table, while trying to create leads database.
  • Take local phone directory and find 50 people that are living in the neighborhood of her store and put their contact details into the table. Now she has 170 leads into the table.
  • She open a business account on Facebook creating a business page where start to build a fan base of her business. To collect more fans on a Facebook page she starts to give them a discount card of 10% that they can use when shopping in her cosmetics store. After one week, using her Facebook page, she collects 100 fans from which 50 comes in the store to buy something with a discount card. All of those people that come to buy in the store was asked to tell her additional contact details as a name, email and phone number. In such a way, she collects 220 more leads for her leads database.
  • On her blog, she made an opt-in form and collects email addresses and names of the readers of the blog. For each opt-in, she gives them free e-book about how to look perfect for 20 minutes.

With this simple strategy, this entrepreneur collects 300 people in the process of creation of leads database. The process will continue. Now for her, it is the right time to start with planning marketing activities. She wants every week to contact each person from the list with email sharing information about blog posts and promotional products and special discounts. Each time when she sent an email she gets an increase in sales.

Every time when the person from the list comes to buy something, she updates the Yes/No Purchase column in the table with Yes. In such a way, the entrepreneur knows that somebody becomes a customer of their business and can change marketing strategies for those persons. Another column that she continuously update is the reaction of the persons. This shows her what is the real reaction of the customer and who becomes a prospect and who stays at the level of leads.

After one month from the time when she starts to create leads database, she has a list with 2000 leads. These activities bring her sales increases of 50%. She continues to raise her list and use different marketing strategies to convert leads into buyers. This entrepreneur plans to buy some professional database when the list will become too big and heavy to manage.

Dragan Sutevski

Posted by Dragan Sutevski

Dragan Sutevski is a founder and CEO of Sutevski Consulting, creating business excellence through innovative thinking. Get more from Dragan on Twitter. Contact Dragan