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 THE
CHALLENGE
 Quill,
a subsidiary of Staples, primarily acquires customers through
direct mail. As with other direct mailers, customer response
rates decreased and it became more challenging and expensive
for Quill to acquire customers through catalogue mailings.
Quill
was looking for another channel to acquire customers - one
that would achieve acquisition goals, yet be cost effective.
In addition, it needed a partner that would provide speed-to-market
and flexibility.
THE
CYDCOR SOLUTION
Quill was referred to Cydcor by Staples, its parent company,
which had been using Cydcor to sell office supplies in markets
where Staples did not already have a sales force in place.
Quill met with Cydcor to formulate a comprehensive national
sales program. To achieve Quill’s new customer acquisition
goals, the strategy was to deploy 235 full-time sales reps.
Cydcor is able to deploy a sales force of this size quickly,
relieving Quill from the need to invest in an in-house sales
force and related infrastructure. Additionally, Quill did
not have experience managing a large sales force in the small
business market and it was important to have a partner with
expertise in this area.
Acquiring
profitable customers was given priority. Based on market segmentation
studies, Cydcor, together with Quill, was able to identify
the most profitable customers, which provided a road map to
the acquisition strategy.
Quill’s
reputation for world-class customer service is very well documented.
It was critical that any partner selected to acquire Quill’s
customers would reflect the professionalism, integrity, and
the customer-first attitude that Quill is known for.
CYDCOR
RESULTS
In utilizing an outsourced sales force, Quill was able to
dramatically increase sales quickly and effectively, while
avoiding the need to invest in increased personnel and the
associated costs. By taking advantage of the built-in marketing
leverage Cydcor provides through its size, scope, and experience,
Quill realized significantly increased per-day sales revenues.
Within
12 months, Cydcor was able to deploy 235 full-time sales reps
in 20 cities across America. The customers delivered by Cydcor
made up 31% of new customer acquisitions for Quill during
that period. Just as important was the quality of the customers
acquired through Cydcor. Based on Quill’s quality metrics,
the customers acquired by Cydcor met its profitability standards.
Due
to the campaign success, Quill has decided to expand Cydcor’s
sales efforts, deploying between 400 and 500 sales representatives
in 30 cities in 2002, 2003 and 2004.
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