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2023 Review: RedChirp Bulk Texts Lead To $50.6 Million of Non-Club Orders

It’s a brand-new year and that’s the perfect time to fire up Excel and do some number crunching about what happened in 2023! We started by reviewing webchats and the sales those led to. If you haven’t read that analysis yet, check it out at https://redchirp.com/what-is-a-web-chat-request-worth-plenty/ and — spoiler alert! — you’ll learn all about how wineries received 99,990 webchats that led to just shy of $12 million of sales.

Now let’s turn to our detailed analysis of Bulk Messages sent in 2023.


First, what is a Bulk Message?

Bulk Messages make it possible — and easy — to text dozens, hundreds, or thousands of people at once; it’s one of the most popular features in RedChirp. Wineries can use the Bulk Message feature for informational and/or promotional messaging.


Popular informational Bulk Messages include reminders to customize your club order, collecting new payment information after declines, and resolving delinquent pickups. These types of messages absolutely generate revenue and delight customers! But please note that — to be conservative — we very intentionally did not include any club sales generated by Bulk Messages in this analysis; see the section “Removing Club Sales From Our Analysis” for all the nitty gritty details about how.

And of course, most RedChirpers use the Bulk Message feature to send out targeted promotional campaigns too. We have seen wineries execute so many creative — and incredibly successful — promotions. But they don’t have to be exceptionally novel ideas to work really well! Popular examples of consistently successful promotional Bulk Messages include last calls for short skus, new releases, holiday campaigns, mystery boxes, and other very familiar content. 


Removing Club Sales From Our Analysis

It’s clear that Bulk Messages — like reminders to customize, incentives to add on, and wildly more successful updates after declines — can help increase total club sales. But without a carefully designed and controlled A-B test, it’s not clear exactly how many of those club sales are attributable to the text messages versus those that would have happened anyway in an aggregate analysis like this.

So, to be conservative, we went through great pains to make sure that club orders were not included in this analysis.

Not every winery is the same! So, each winery can customize its order attribution settings and choose exactly which of its order types they would like to include, or exclude, in all of RedChirp’s automated Order Attribution reports. Our first step to eliminate club sales from our data set was to immediately remove all orders excluded in each winery’s default order attribution settings. If a winery didn’t want to count that order type in their reports, we removed it from our aggregate data set right away.

However, not every winery has customized its order attribution settings and they certainly don’t all customize them in the same way. So, we took several more steps to try and identify and exclude club orders. No matter how the winery had configured its order attribution settings, we next removed all orders if the order type contained the word “Club”.

Still not satisfied, we then generated a list of each winery’s order types and ranked them by highest value to lowest value. We reviewed the list by hand, imagining most wineries’ most frequent order types would be club related. This led us to exclude any other order types we could reasonably suspect were club related; some examples include order types like “WC”, “WC Shipment”, “Allocation”, “Membership”, etc.

If we could not confidently identify the order type(s) representing club orders after all of the above, we removed that winery from our dataset entirely.

After all that careful analysis, we’re confident club orders are excluded from this dataset.


Even more requirements for sales to be included:

In addition to carefully excluding all club sales, we only considered order attribution for wineries that:

  • Used RedChirp for at least three months of 2023
  • We could confidently identify and exclude club sales (see section above)
  • And had a CRM/POS integration providing RedChirp with order information


RedChirp adoption has been growing exponentially within the wine industry, with many wineries just recently launched in Q4 of 2023. In total, 174 wineries — a little less than 40% of the wineries using RedChirp in 2023 — made it through these very careful requirements to be included in this rich dataset of almost 5,000 Bulk Messages sent to over 4 million recipients. 


How many Bulk Messages were included in this 2023 analysis?

In total, the wineries in our dataset sent 4,894 Bulk Messages to 4,338,837 recipients in 2023! That number really blew us away.


Opt Outs Are Bound to Happen:

There will always be some customers who choose to opt out of receiving your text messages. To be as conservative as possible, we counted every single opt out from these 4,338,837 recipients received in 2023, no matter how close or far it was from the Bulk Message included in this analysis.

This figure then certainly includes some opt outs that are unrelated to the Bulk Message…but if you haven’t figured this out yet, we always prefer to err on the side of caution. Using this conservative measure, the wineries in our dataset received 129,566 opt outs in 2023, which equals an aggregate opt-out rate of just under 3%.

Special Note: the aggregate opt outs are interesting to look at, but we did notice opt-out rate was very weakly correlated within the data set. A weak correlation means there were big differences in the average opt-out rate from winery to winery, with opt-out rates ranging from very near 0 up to near 18%. 

The moral of the statistics is that the value of your content, and the precision of audience segmentation, will have a significant impact on your opt-out rate.


And lots of sales too!

Once we confidently narrowed down the wineries to include — and made sure we were not counting any club orders — we could tally up all the non-club orders placed by recipients right after receiving these Bulk Messages.

To be counted in this total, a consumer must have received a Bulk Message from one of the carefully selected wineries included in this analysis, and then gone on to place a non-club order with that winery — using the exact same phone number — within 14 days of receiving the Bulk Message. The total order value was huge; these Bulk Messages led to $50,656,825 of non-club sales!

The total order value was impressive, but it was also powerful to see the distribution of these over time. Most of these orders — $16,229,760 (about one-third of them) to be exact — happened right away. That shows how clear and immediate the connection was between receiving the message and making the purchase.

This plot shows the attributed order value by proximity (number of days) since the Bulk Message was received. Because time is one of the most complicated concepts in the universe, please note that 1-day proximity means the order was received either the same day the Bulk Message was sent or the next day (i.e. less than 24 hours).

This very large and very carefully cleaned dataset shows that the orders are clearly related to the Bulk Message having been sent; if nothing else, the dramatic falloff over time illustrates that case.

Not all of these messages were meant to drive non-club sales; for example, surely hundreds of the 4,894 Bulk Messages included in this analysis were meant instead to remind members about customizing their club, to pick up purchases already made, to resolve declined payments, etc. Although these messages are included in the total number of 4,338,837 recipients, it’s important to note that the club-related sales they generated are not included in the attributable orders above. Even given this extremely conservative analysis, the average Bulk Message still generated $11.67 of non-club sales per recipient!

Incredible!



Other Learnings: When’s the best time to send a Bulk Message?

With over four million Bulk Messages sent in 2023, we have a broad statistical basis to analyze send time and its effect on subsequent orders placed. First, a word of caution: the best time to send a Bulk Message is when it makes the most sense to do so. This data is only useful when you have several times that might suit the content of your message and want to pick the best among them.

With that being said, weekdays performed better than weekends and Fridays performed slightly better than the other days of the week. Like opt-out rates, order value by send time was weakly correlated, meaning it did vary quite a bit from winery to winery. That further reinforces that the most important consideration is the timing that makes the most sense given the exact content of your specific message.

Beyond just which day of the week, you may be wondering what time of day is best to send your Bulk Messages. Statistically, the “best” time is 3:07 PM Pacific Time.

Before you get out your stopwatch for precision timing, remember that it’s not possible to send all your text messages at once! Businesses are rate-limited by the telephone carriers and most wineries are allowed to send about one text per second. There’s also no way to guarantee someone receives your text message right when you send it; if that consumer has their phone in airplane mode, for example, they’ll receive it later when they reconnect. 

This graph shows order attribution per recipient by time of day the message was sent, bracketed by hour. 

For a more realistic view, imagine the graph with all those points rounded out and connected. 

It does clearly show it’s best not to send your Bulk Messages too early, or too late, and that targeting the mid-afternoon is a safe choice.


Other Learnings: Should you include an image, or not?

With this much data, we were able to find that the Bulk Messages that did not include an image resulted in a higher order value per recipient than those that did. Does that mean you should never include an image? Nope. It’s much more nuanced than that.

The correlation coefficient was low, meaning there was quite a bit of variation from winery to winery. That makes sense when you consider that not all winery’s customers are the same and that the specific content of some messages might lend themselves to imagery more than others.

What you can learn from this data is that you probably shouldn’t include an image in every Bulk Message. Review the content of your message critically. If an image makes a big difference, then consider including one. If it doesn’t seem to make a striking improvement, leave it off. Images also take up a lot of space in your message, automatically make the message an MMS (which can be more expensive to send than an SMS), and may encounter deliverability issues that a simpler, text-only, message might avoid.


Other Learnings: Include first names in your messages.

RedChirp makes it easy to automatically personalize Bulk Messages, per recipient, with several universal variables — like {first-name} — as well as the ability to add your own custom variables to any message. Even though you’re preparing and sending hundreds — or thousands — of messages at once, they can still feel like they were personally crafted for just one valued customer.

We compared the order attribution for Bulk Messages that included the consumer’s first name — using RedChirp’s {first-name} variable — verses those that did not, and the results were striking and exceptionally consistent. Unlike some of the other comparisons in this analysis, the correlation coefficient was very high for this data! No matter the size, location, POS, or other differences from winery to winery, Bulk Messages that included the recipient’s first name always tended to lead to more sales.

Pro Tips: The data is clear; include first names in your Bulk Messages whenever possible. But, heed these two tips to make sure that brings you the greatest advantage possible:

 
  1. Take advantage of RedChirp’s Message Patterns to create a version of your Bulk Message that includes the {first-name} variable, and then a second message pattern that does not. RedChirp will try to create the message in your first pattern. If it’s able to create it, great! It will send that message and stop. But….if it runs into a problem and can’t fill in one or more variables —maybe your first name data is missing for the 857th recipient — it will move on and try to create the 2nd pattern instead. This makes sure you never send something embarrassing like, “Hi {first-name}!”.

     

  2. Take a few minutes to review your first name data before sending. Look for names entered in all capital letters, all lowercase letters, or in odd ways like “William / Bob”. Correcting those will help you realize the big potential this data shows, without accidentally alienating someone by “yelling” at them or calling them a name that makes it clear you didn’t type that message out personally.


Other Learnings: Older customers buy wine from text messages too!

We know that many DTC programs cater to an older demographic; not every Gen Z consumer has the buying power to afford your fine wines. But, if you’re assuming that your Baby Boomer customers don’t want to communicate — let alone buy wine — over text…think again!

We sliced up the orders these Bulk Messages generated by generational demographics (as defined in https://en.wikipedia.org/wiki/Generation) and found nearly even distribution among Millennials, Gen X, and Baby Boomers, with Baby Boomers performing slightly better than the rest.

It’s not every day you come across a tactic that can help engage younger customers and resonate with your older customer base at the same time. Text messaging is one of the most unique technologies with such universal adoption across age ranges.


This comprehensive analysis clearly illustrates the significant impact these Bulk Messages had on 2023 sales. With more than $50.6 million in non-club sales attributed to just this careful subset of messages, it’s clear wineries can’t afford to sit on the sidelines and overlook the power of text messaging. If you’re not texting already, the time to start is “now”! If your winery is already texting, leverage these insights on send time, personalization, and content to further optimize your strategies. Embracing text messaging as a first-class communication channel will be key to reaching sales goals in a challenging 2024 market.  

SMS SMS Marketing text text marketing texting DTC

About

More customers than ever before want to text your business. But you don't have time to shoehorn together a bunch of tools, buy smartphones for your entire team or ask you and your team to be available 24/7. We've solved all these problems with RedChirp! Founded by a group of experienced SaaS entrepreneurs with a passion for — and a proven track record of — helping small and medium-sized local businesses compete with the “Big Brands”, RedChirp finally makes effective business messaging technology accessible to main street businesses. 


Start using RedChirp in just one day:

  • Text, video chat and call from any smartphone, tablet, laptop, or desktop computer

  • Start text conversations with leads right from your web site

  • Collect payments faster, and more securely, by text

  • Delight your customers with a seamless, text-enabled curbside pickup experience

  • Schedule, send reminders and reduce missed appointments

  • Text team members and customers in bulk about sales, events and announcements

  • Replace hours of time wasted on phone tag with just a few minutes of texting


At RedChirp, we believe in small businesses. We think you can delight your customers, and teammates without breaking the bank and enjoy doing it too. 



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