BombBomb reduces the churn rate by 23% and saves 17% of dunning accounts with direct mail automation

Offline communications in general and direct mail in particular can solve a broad range of problems, be it a high churn rate or the need to request updated
Video email marketing platform
Colorado Springs, CO
BombBomb is a cloud-based platform for video messaging through email, mobile, and web channels.
BombBomb needed a solution to integrate offline marketing channels into their multi-channel campaigns for customer retention and credit card expiry notifications.
BombBomb integrated Inkit’s webhook with Marketo and ran three direct mail campaigns focused on New Monthly Signups, Dunning Accounts, and Annual Renewals. All the mailings were fully automated and connected with the events and customer activity within other channels.

We wanted to add another touchpoint into our customer’s journey and expected to see great results with any direct mail campaigns we implemented. However, the increases we saw in retention and engagement dramatically exceeded our expectations.

JK Sparks
Director, Marketing Operations at BombBomb
Churn rate reduction of new monthly signups
Increase in saved dunning accounts
Growth in customer retention of users who had to renew their accounts

Why BombBomb Chose Inkit

Before setting up direct mail campaigns, BombBomb was mainly focusing on social media and email marketing. When they decided to power their digital efforts with offline marketing channels starting with direct mail, it turned out that the majority of the available solutions were either overpriced or difficult to get started with.

That’s when the Inkit’s team contacted JK Sparks, BombBomb’s Director, Marketing Operations, to offer its mail automation services. Right after the Inkit’s demo, BombBomb realized that the tool perfectly fit their business model for two main reasons:

  • Quick and simple integration. Inkit connects with hundreds of third-party tools for digital marketing, data validation, and analytics. This allowed BombBomb to integrate Inkit’s webhook with its current stack of marketing apps and tools within the shortest time.
  • Customer support and seamless onboarding. The Inkit’s team works on a case-by-case basis, therefore, every customer is treated individually. From the initial contact to the campaign launch, BombBomb has always received timely response and quality backup from Inkit.

JK Sparks, BombBomb’s Director, Marketing Operations, was thrilled about the ease or the integration and the support provided by Inkit: “Super easy. We set up a program in Marketo, set up triggers, and it started sending postcards.”

BombBomb’s Direct Mail Campaigns

Churn Reduction

The first direct mail campaign launched by BombBomb was targeted at those who had just joined the platform. The company decided to create a simple welcoming postcard without any calls-to-action simply to show appreciation to their new monthly signups.

The postcard was designed in BombBomb’s brand colors and said: “Thank you for noticing us in your mailbox. Now, it’s your time to get noticed in the mailbox.” The backside briefly listed the benefits of the BombBomb’s marketing platform and the contact email of the support team. 

Once the design was ready, BombBomb uploaded it to Inkit and created a mail marketing campaign in Marketo to launch mailing. Thus mail printing and delivery became fully automated. As soon as a new customer joins the monthly plan and the system records this, it automatically mails a welcome postcard. In addition, Inkit helped BombBomb with customer address verification to minimize the number of returned postcards.

Credit Card Expiry Notifications

The same software integration was used for the next direct mail campaigns launched by BombBomb. After the successful New Monthly Signups campaign, the company saw how mail could help them solve customer relationship issues. Expired credit cards were one of them. This problem often hits financial institutions and companies that process customer credit card details.

Previously, BombBomb always requested new payment details by sending an email or calling customers directly. Now, they’ve started sending additional reminders via postcards.

As a result, mail marketing saved much more dunning accounts than expected. It made customers return to BombBomb, update their payment information, and remain loyal to the company.

“What we saw with that was a 17% increase in saved dunning accounts. They returned to us, they updated payment information, and are still with us 9 months later. So that’s super exciting.” - JK Sparks, Director, Marketing Operations at BombBomb.

Customer Retention

Another type of mailing campaign launched by BombBomb targets users who are about to renew their accounts. The company decided to complement email notifications with custom postcards, expressing gratitude to such customers and inviting them to keep using the platform. Like the first two campaigns, it has also proven to be highly effective and stays a part of BombBomb’s customer retention program on an ongoing basis.

Results: How Direct Mail Boosted BombBomb’s Marketing Effectiveness and Reduced Churn

To estimate the effectiveness of the delivered postcards, BombBomb measured the results against the control group. The company compared the behavioral metrics of those customers who received a postcard and those who haven’t. It turned out that BombBomb’s customers liked a special touch of custom postcards and took the requested actions, which resulted in:

  • 23.4% churn rate reduction in the New Monthly Signups campaign (annualized)
  • 17% increase in the number of customers who updated their payment information in the Dunning Accounts campaign
  • 21.6% retention rate increase in the Annual Renewals campaign

BombBomb admitted that they were delighted with the outcome of the Inkit-powered mail campaigns. “We wanted to add another touchpoint into our customer’s journey and expected to see great results with any direct mail campaigns we implemented. However, the increases we saw in retention and engagement dramatically exceeded our expectations,” shared JK Sparks, BombBomb’s Director, Marketing Operations. 

Currently, the company continues with all three direct mail campaigns and plans to introduce new mail campaigns for Account-Based Marketing and, potentially, lead generation.