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The Honolulu Advertiser
Posted on: Wednesday, December 4, 2002

Making customers feel appreciated

By Joyce M. Rosenberg
Associated Press

NEW YORK — Buying holiday gifts for customers can be a boring chore for a small-business owner, and one that in the end brings little return on investment. Or, if approached creatively, it can be a great opportunity to cement relations with top spenders.

Dave Ratner, owner of the Dave's Soda and Pet Food City stores in Agawam, Mass., says he gives away a free apple pie to the 500 best customers at each of his three locations. Ratner's best customers also get $5 and $10 gift certificates, redeemable only during the slower second week of December.

Associated Press

Mike Ballard, owner of Ballard Communications, a Las Vegas-based public relations firm, recommends that a business target customers in the same way it would target them with a product or service. He recalled a colleague who kept sending champagne to customers, some of whom didn't drink and returned the gift.

"You have to know the audience," he said.

You also need to find ways to make your gift — in reality, your business — stand out from your competitors. That might mean abandoning the old standards, such as mugs or pens with your company name on them, or the usual baskets of fruit, cheese and crackers.

Ballard suggests sending your gifts very soon, so you won't get lost in the shuffle.

At big companies where he has worked, "After the first one or two (gifts), the bosses who were the decision-makers didn't even know what was coming in. ... A big food tray or basket just goes in the conference room," he said.

Ballard has sent cornucopias of food to his clients, and he's done it before Thanksgiving to be sure they take notice.

Some business owners buy items tailored to each customer.

Taneshia Nash Laird, owner of Posro Media in Princeton, N.J., finds gifts that are appropriate for each of her marketing firm's clients. For example, she'll send a gift certificate for a facial to a stressed-out customer, or a monogrammed tape measure to a construction company client.

It doesn't have to mean a year-end crunch, said Laird, who looks throughout the year for clues about what would make good gifts. "It's about keying into their interests," she said.

But some business owners have burned out buying gifts. Or, they believe that customers would be just as happy to see the cost of the gift spent on a worthwhile cause. So the companies make donations to charities, with acknowledgment cards sent to customers.

Thorp & Co., a Miami-based public relations firm, covers most of its gifts through a donation to Heifer International, an organization that gives good food- and income-producing animals to families in need.

President Patricia Thorp said her company sent expensive holiday cards for years, but "in a world where there are so many challenges and so many people struggling, shouldn't we put that money to better use?"

Johnston Wells Public Relations in Denver has taken a very different route, sponsoring holiday music shows on public radio and offering clients the opportunity to air recorded messages for family, friends and employees during the shows.

Account executive Ann Dickerson said it's not very expensive to sponsor a show on public radio, and her customers have gotten a big kick out of being mentioned on radio.

These ideas work for firms with a relatively small number of customers or clients. But even if you have hundreds of customers — say, if you're a retailer — you can still show your appreciation in a special way to the people who spend the most at your establishment.

Dave Ratner, owner of Dave's Soda & Pet City, a store in Agawam, Mass., gives apple pies to the 500 best customers at each of his three stores. Ratner said he mines his database to determine who the top spenders are, and then mails postcards telling them to come in during the week before Thanksgiving to get their pies.

Ratner doesn't worry about customers miffed at not getting a pie — "we are a firm believer in treating your best customers better than your other customers," he said — but he also keeps some extras around for the people who really pout.

Ratner also sends out $5 and $10 gift certificates to top customers. The certificates are redeemable only during the second week of December, one of the slower periods of the holidays.

At the 13 Half-Price Books stores in the Dallas area, owner Kirk Thompson gives employees discount cards that they can hand out to customers, family or friends for use during the holidays.

"Our employees have the discretion to say, 'This is one of our favorite customers,"' Thompson said. "They love it."

And it is possible to give to everyone — customers probably love nothing better than a discount.

Shelly Mars, owner of Ecoluxe, a dry cleaner in Boston, gives discounts throughout Hanukkah, Christmas and Kwanzaa. Customers get 25 percent off a single order.

"It's a quick, easy way, and they'll appreciate it," Mars said.