In its second-largest acquisition, Amazon buys the company for $970 million.
A 20% off coupon does the trick.
That’s because the retailer has found that the conversion rate for consumers clicking to Crocs.com from an e-mail vastly outpaces the rate for shoppers clicking from Facebook. It declined to disclose the specific conversion rates.
That makes sense because consumers are accustomed to engaging in a dialogue with brands and other shoppers on Facebook while they expect to find promotions in e-mails, says Andrea Stow, senior global e-marketing manager for Crocs, No. 198 in the Internet Retailer Top 500 Guide.
“Each channel is different, which is why we treat them differently,” she says. “E-mail and Facebook complement each other, and we can promote each channel in the other channel.”
Working with Digital Evolution Group and interactive marketing agency ExactTarget, Crocs’ “Facebook Collect” campaign aims to entice shoppers to sign up for marketing e-mails on the retailer’s Facebook page in exchange for a 20% off coupon.
Since launching, the campaign has contributed about 12% of the retailer’s new e-mail marketing sign-ups. The remainder of the growth was organic, she says. The cost of its Facebook Collect campaign was in the low thousands and it has already paid for itself, says Stow. That’s because its e-mail marketing efforts have proven successful—the retailer says it regularly has around a 40% e-mail open rate and a high conversion rate that produces a “very significant” return on its investment, says Stow, who would not disclose the exact conversion rate or ROI. “The reason it works is we’re finding ways to stay engaged in a relevant way with our customers,” she says.