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Kauffman Case Study 2017-2018

Company Grows Thousands of Gallons in 1 Year Through Continued Investment in Online Marketing

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We’re the first company prospects see when they search Google for propane in our service area. Being more visible helps us win more customers.

Chris Kauffman, Vice President, Kauffman Gas

Visit: www.kauffmangas.com

This case study analyzes work completed between September 2017 and August 2018.

$8 Earned for Every $1 Spent on Online Marketing

To continue growth, Kauffman Gas invests their marketing dollars where they know their prospects are looking: on the web.

In 2017-2018, Bright Orange Thread led online marketing initiatives that delivered an 8:1 ROI

This pay off has led to the purchase of another bobtail, new hires, and new expansion opportunities on the horizon. 

How We Calculated ROI

ROI = (Lifetime Customer Value x Total New Customers Won) / Marketing Spend

Business Challenge

Turning Their Website Into a Lead Generating Asset

After 2 years of online marketing with Bright Orange Thread, Kauffman was generating a steady stream of qualified leads each month. 

Kauffman wanted to continue this growth. Their goal was to grow their propane company by 5% and position their business to acquire a smaller company within 3 years. 

To achieve this growth goal, we had to solve the following challenges: 

  • Increasing the number of leads won from the website-Kauffman knew that the Yellow Pages were dead and online was the key to new business. Kauffman was already winning 3-5 leads per month online. 
  • Optimize the lead follow up process- The leads coming in from the web were starting to bottle neck. Kauffman needed a better process in place for their team to follow up with leads. 

Our Solution

Win New Leads by Capitalizing on New Opportunities

You might have heard the saying, “luck is what happens when preparation meets opportunity.” 

In Kauffman’s case, leads are what happened when preparation met opportunity.

When a local propane supply competitor suddenly went out of business, hundreds of customers were left without a reliable provider. 

Bright Orange Thread and Kauffman seized on this opportunity through: 

  • A Google Ads campaign 
  • Focused and keyword-optimized website landing pages with forms to capture information from interested customers
  • Facebook posts by Kauffman Gas targeted at customers who had lost their provider

We were able to implement quick solutions when this opportunity arose due to the online marketing assets and processes we already had in place. 

Kauffman won dozens of new clients over the slower summer months as a result.

Without an online marketing component, Kauffman would have won far fewer customers by waiting for the phone to ring, 

130% Increase in Leads Through Conversion Rate Optimization

Through a combination of quick action on a prime opportunity, conversion rate optimization, targeted advertisements, new offers and social media promotion, we grew the total number of leads from 130 in one year to 300. 

Save Time and Close More Leads Through Marketing Automation

The customer service representatives are great at answering the phones and providing excellent customer service, but the quantity of leads coming in was making proactive sales follow up a burden. The Vice President of the company was spending too much time chasing down leads. 

To streamline the process, Bright Orange Thread  implemented a CRM (customer relationship management) system. The system helped Kauffman:

  • Deliver fast replies to customers through automated, but personalized emails that set expectations.
  • Ensure no leads slipped through the cracks through text notification and email reminders.
  • Trigger relevant emails based on prospect behavior. For example, if a message was left, a simple tag could be added that would send an appropriate email.

The CRM system:

  • Saved countless hours of email and call follow up
  • Helped Kauffman reply faster to hot leads and increase their close rate 
  • Track leads and marketing ROI 

Impact 

Kauffman Gas earned 8 dollars in revenue for every 1 dollar they invested in online marketing

We expect this growth to continue into the future. Kauffman's third year of marketing will continue to pay dividends both in terms of the customer's lifetime value, and the improved lead generating potential of the website.

As we move forward with Kauffman’s online marketing strategy, we’ve set the bar even higher for our annual marketing goals. We’d like to increase their conversion rates, improve our lead tracking process, and garner more raving customers for their business.