ShopLink.com, the online grocery shopping service, is planning a major expansion in which teleservices and the Internet will be linked.
The Westwood, MA-based firm plans to open fulfillment warehouses in 22 suburban markets by 2002. And it is working with Wilmington, MA-based TeleSales Inc. to develop online teleservices programs.
ShopLink generates an average grocery order of $100 in the two markets it now serves – suburban Boston and the New York City area. The firm relies heavily on inbound and outbound teleservices for prospecting and helping consumers use its Web site (www.shoplink.com).
Inbound calls are generated by quarterly direct mail campaigns – the firm sends 50,000 pieces a year to suburban households with incomes of $75,000 or more – and by Web site incentives for customer referrals. ShopLink also utilizes space ads, radio spots, special events and outdoor advertising.
Direct mail produces the best conversion rate – one-third of inbound callers generated by mail become customers – and it has produced 70% of ShopLink’s customers.
“Most of our marketing is offline,” says Tim Guen, ShopLink’s vice president of marketing and e-commerce. Offline media are better for targeting small geographic areas, he says. “The folks offering geographic targeting online don’t get enough eyeballs to justify the high expense.”
When a consumer registers on its Web site to become a customer, ShopLink makes an outbound call to confirm information and set up an appointment for a rep to visit and demonstrate how to shop online.
The firm makes outbound calls to prospects who made Web inquiries or responded to promotions but did not register as a customer. It pulls 8% to 10% response rates with outbound calls, says Andrew Koven, vice president of business development and customer relationship management.
Outbound reps try to sound consultative while answering questions. “We call to ask, `Did you get the information? Do you have any questions? And do you want to sign up?'” says Koven.
The information collected by agents and through surveys and clickstream analysis is used for rudimentary targeting by Zip code. However, it will eventually be used for personalized messages.
How does ShopLink plan to integrate its teleservices and Web site? “Text chat and live chat are on our radar screen,” says Guen. But, he adds, “true Web-phone interaction doesn’t exist today.” ShopLink is watching developments in voice chat technology as well as considering the option of a call-me button.