Analytics provides a valuable lift and a surprise conclusion

After each campaign, the V360 team closely evaluates the results of the initiative and seeks opportunities to improve on key metrics.

The 2020 Fall Sweepstakes campaign for The Department of Florida provided one of those opportunities.

In an effort to increase response rates — and in theory net revenue — The Department of Florida had reduced mail volume, achieving a 7.5% on the Fall Sweepstakes campaign in 2019. However, our analysis suggested that they were leaving an opportunity on the table. In this case, higher response rates didn’t necessarily equate to more income.

When including the cost of prizing into the equation, V360 explained that the existing mail volume was doubling the cost of the initiative at the current mail volume and that expanding the total number of donors mailed would spread that cost out. Simply put, as long as the next 30,000 donors responded at more than 2% response rates, the lower cost by spreading the prize costs out would mean more net revenue. They agreed to give it a try.

The results were powerful.

While overall response rates declined from 7.5% in 2019 to 5.5% in 2020, the Department’s net income from the Fall Sweepstakes grew a whopping 63%.

Sometimes, less is more. This is certainly a case where more is certainly MORE!