Does RedBox have a great CRM program or what?

A while back, I wondered why nobody CRMs me anymore. Nary a “thank you,” a “we want you back,” or a “we have a special offer for you, our best customer.” And I can be a great customer!

Then Rachel in our office told me she hears all the time from a company called RedBox.

I’d never heard of it so Rachel had to tell me that RedBox rents out movies from fancy vending machines for $1.20 a night. They’re in 29,000 locations with a presence in every state.

It’s all computerized. You search for a movie you want and swipe your credit card. If this is your first time you use the onscreen keyboard to enter your email address. Then out pops your DVD in a plastic case. You bring it back the next day. 

The CRM part starts before you get home with a receipt/confirmation sent to your Inbox.

When you return the movie, you get 1) a thank you with a receipt and confirmation; 2) a weekly email, mostly about new releases; 3) a contest to win free movies for a year. RedBox even has a blog with giveaways, lists of top movies and reviews.

Twitter? About 47,000 followers. Facebook? About 4 million likes.

Rachel says “The website and mobile app are great! I can see if the movies I want are at my nearest Redbox so I can save time. I can even reserve the movie online and go pick it up.”

The Los Angeles Times wrote: “…Redbox’s parent company, Coinstar Inc., reported that revenue for the $1.20-per-night DVD rental business surged 40% during the final three months of 2011 to $445.6 million and 35% for the year to $1.56 billion.” That’s a lot of $1.20 credit card swipes.

RedBox’s ongoing contact program, its CRM, offers peace of mind (the confirmations and receipts), useful information and a chance to win something … all the time and oh so effortlessly. Along with the quick service and low price, it’s a great combination. Why do so few companies do things like this?

About Lois Geller

Lois Geller is President and Owner of Lois Geller Marketing Group and headed agencies in New York and Toronto. Lois taught Direct Marketing at NYU. She’s the author of five marketing books, including Response: The Complete Guide to Profitable Direct Marketing. Follow @loisgeller on Twitter.

Source: http://www.joyofdirectmarketing.com/does-redbox-have-a-great-crm-program-or-what/strategy

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