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Case Study:

New Product Launch


CLIENT

For over 90 years our client has designed and manufactured thousands of fluid handling products and solutions for industries world-wide and is a recognized leader in the manufacture of spray foam equipment. 

THE CHALLENGE

How to launch a new product when the product disrupts long-established practices? 

KEY RESULTS

Higher adoption and purchase rates among program members led to over 1,000% ROI in a two phase campaign.  

BACKGROUND

Graco Inc., a large fluid handling manufacturer, had an innovative new product that required a promotion to convince contractors long set in their ways.


They wanted to introduce a new Fusion PC spray foam gun and cartridge system, a product that would make contractors lives easier.


The new quick-change cartridge replaced multiple individual parts, eliminating the need to completely break down the gun for regular maintenance and reducing out-of-service time.


Part of their go-to-market strategy was to use their My Graco Rewards program to promote the adoption of the new product to some of their most important users.


The results were hugely impressive. 

Graco Fusion New Lift & Shift Customer

STRATEGY & IMPLEMENTATION 

Lift & Shift created a two-stage reward offer to encourage adoption of the new product among Rewards members:


  1. Bonus offers were promoted on multiple purchase quantities of guns and conversion kits, promoting change-over to the new system. 
  2. A second phase followed with a bonus offer on a multi-pack of replacement cartridges, which reinforced the conversion decision for early adopters while further promoting awareness and value of the overall system to all Rewards members. 

RESULTS

Phase I:

  • Guns/Conversion Kit Offer Member adoption was 482% higher than non- members.
  • Members who purchased the featured products bought 7.1% more than non- members who purchased.
  • Graco enjoyed a 1114% ROI on the cost of the bonus rewards. 

Phase II: Replacement Cartridge Offer 

Member adoption of the overall system grew an additional 61%.

Members increased their total purchase rate of the featured cartridge multi-pack by 177% vs. the initial launch period.

Graco realized a 2551% ROI on the cost of bonus rewards associated with the featured cartridges. 

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