Do you own an LPG plant or you are thinking on starting your own cooking gas plant? But here, I’m sharing with you some of the ideas you can implement to increase sales for LPG plant.
It’s important that you read through and find some strategies that would work for you. There are several ways to increase sales for LPG plant, but not all of them may be applicable in your location. Some might be costly to implement as well.
As the huge Investment opportunity in cooking gas increases, so will the revenue starts to decrease as well. Because there will be more LPG plants targeting same location or even outrightly taking over some share of your market.
When that begins to happening, as it’s already happening for some plants, how do you hope to increase sales for your LPG plant?
Understanding Location Based Advertising
If you already knowledgeable about advertising, you would be familiar with LBA or location based advertising. This kind of advertising was born at the beginning of the mobile phone era. Although, not much is being said about it lately because it’s virtually being used in every digital platform today.
This kind of advertising deals with targeting customers to patronize a business within a specified location. This advertising is targeted only at those who are within the preferred location, and at the time they can use the service or buy the product.
So, this advertising favours businesses that are location based like LPG plants. The question is, how do you utilize such marketing to increase sales for LPG plant? How do you implement LBA for you plant, and what technology is most effective for your target audience?
Together we are going to be looking at some of the existing platforms you can use to increase sales for LPG plant. But it will be up to you to decide which one or ones that are suitable for you to use.
Tips To Increase Sales For LPG Plant
I have outlined these tips as a way to guide your marketing plan. Most LPG plants don’t think there’s anything they can do to promote their business. They just believe that the customers would always come into their plant to buy gas when they need to refill. As much as that could be true now, it may not be true for all time.
The main reason for marketing is competition, and without competition there will be no need for marketing. Because your customers would always find you when they really need you. But since they don’t have to choose you, then you have to find a way to make them to choose you.
The idea to increase sales for LPG plant is to go beyond the wait and see conventional sales strategy for gas plants, where the customers on their own would find the nearest plant to buy gas. I have bought cooking gas from different plants as I choose because no one gave me any reason to choose them.
But if you plan to increase sales, you don’t just seat and wait for customers to decide in their house which plant they would buy from when their gas cylinder is empty. You can help them to choose you, long before they ever need to refill their gas cylinders.
Holiday Sales Marketing
Holidays are the best times to increase sales for LPG plants. One of the benefits of holidays is that people want to spend. They have plans to spend more money and that can increase your sales normally. But that’s not always the case.
Inasmuch as people want to spend money during holidays, they don’t have to spend it on your product. If you want their money it’s up to you to strategies on how to get it. That means, as an LPG plant you have to have holiday sales plan.
It’s not enough to say my customers would buy from me. What about increasing sales during holidays? You have to see holiday season as a time to increase sales for your plant and not just to seat with the hope customers would buy from you.
The marketing strategies I’m sharing with you here would help you to plan your holiday sales better. Also, I recommend you read the following articles: How To Sell – A Simplified Guide and How Marketing Works For Beginners.
Membership Database Marketing
One of the most important form of marketing that’s being ignored by LPG plants is membership or customers database. In all the gas plants I have visited and even worked with, they never see this as important.
Most of them don’t even have the contact details of their customers. They treat everyone as a walk in customer without any relationship or attachment with the plant. You can send text and whatsapp messages to notify your customers of discounts, incentives and closures and holiday sales.
You can even send them holiday greetings during Christmas, Easter, workers day and Salah holidays. You can also send birthday reminders. People love to be celebrated. I have testified of my story, how my bank used to remind me of my birthdays until social media took over.
Recently, I learnt one of the popular LPG plants around me had a free gas day during the Covid-19 lockdown. I wasn’t aware, even though I have been buying gas from the plant. I first thought it wasn’t properly publicized or they used a different platform not targeted at their customers.
Then it occurred to me, they don’t have my contact, even if they wanted to reach me. This should be a lesson to all LPG plants to have a database of their customers. If someone ever bought cooking gas from your plant, you should have at least their phone number and cylinder KG size. Everything is tagged to phone numbers these days.
We currently implemented this for a client, and I will explain it all in the case study. I will explain how we implemented this strategy. You too can do the same, tapping into my ideas for your plant.
Mobile App Strategy
Mobile apps are changing the way we do business with our mobile phones. One of the best ways to build membership or customer database is with mobile apps. While most plant owners still argues that it’s still early to adopt such strategy, they forget that you don’t build customers overnight.
A mobile app would help you start building members database now, long before your business would become more competitive. The app can do much more than just members database profiling. It would help you increase sales for LPG plant by giving users access to order cooking gas and buy cylinders on their phones.
It may cost some money to develop an app like this but it helps plant owners increase sales through customer database management. However, an entrepreneur can also provide such marketplace for all gas plants in the country to use.
Social Media Marketing
This may not be the perfect way to increase sales for LPG plant, but it’s a way to help brand your gas plant in the mind of your target customers, and publicize your future promos like discounts.
You cannot avoid having social media presence, at least in platforms like Facebook, Instagram and Twitter. You may need to localize your social handles as well to avoid people who are not from your location joining your fan base. You don’t need your followers polarized. That would make your social media campaigns less effective.
If you have multiple plants, it will be best to either add the locations you want customers to follow you or create each handle for particular location. Don’t attempt to target everyone with your social media pages. Focus only on your target location.
Customer Delivery Services
Another strategy you can apply to increase sales for LPG plant is delivery. During the pandemic, many customers, both homes and businesses wanted to get their gas delivered to them but couldn’t find such service anywhere.
This kind of service is what is still keeping the road-side gas refill stores operational. People find them convenient when they don’t feel like going any distance to buy cooking gas. Also, in time of emergency, when gas suddenly finishes during cooking and you have no one to send to refill your gas cylinder, delivery service may be the only hope. There are customers who won’t might paying delivery charges.
Some businesses like restaurants, hotels, etcetera, would use delivery services when offered. You have to understand your customers needs then look for a common ground to provide such services in a way it will serve a purpose.
Promotional Tips For LPG Plants
I have given you some important clues as to what you should be doing about how to increase sales for LPG plant. First, I explained about location based advertising – meaning your promotion should be location based only. You target only those within your business coverage.
Secondly, i highlighted in the steps to increase sales for LPG plant database marketing and mobile apps. These two should work together to be more effective. You need an app to manage customer database. You can also collect customers data any other way or even using manual method.
But for LPG plants that deals with more customers or multiple locations, using a mobile app would of great benefit. I even advised that it would have better subscribing to an existing LPG marketplace app to save cost in developing your own app.
The real concept is how you can communicate to your customers through their most effective platform. And then, the social reach out. It’s also an avenue to promote discounts and incentives. Most importantly, it’s to brand your LPG plant business. While I also explained delivery as a value service that can increase sales for your gas plant as well.
Let’s now look at some implementation strategies, as a way you can increase sales for LPG plant:
Promote With Incentives
Incentives are most effective way to attract, motivate and encourage customers to do something. You remember the popular campaign, BUY 1 GET 1 FREE! Such incentive drives sales in a way you may not be able to control.
However, I would only advise using promo that can increase sales for LPG plant and that will not reduce your revenue.
Moreover, the only way promos work effectively is if they are amply advertised. There’s no way it works without more customers being aware of it. It doesn’t matter if you are giving out discounts or souvenirs, they are the same. If nobody hears of it, nobody will participate in it.
Offer Discount Promos
Let me start with discount sales for either all your customers or segment of your customers. You may not know how effective discounts work for sales until you try one. This kind of strategy is used a lot by supermarkets, and it works.
Once customers know they can pay less they would want to come back for more. Study and strategies on different promo discounts to help you boost sales regularly.
However, if you have been operating for up to one year, you should have noticed your high and low-peak periods. This would help you plan your discounts to either help attract new customers or increase sales from dormant customers.
With discounts nothing is done without a target. You might observe my emphasis on mobile app, it’s because to better manage promos in this age you need it. It will help you to better manage customers who benefits from those promos and for proper accountability. You don’t want discount fraud or encouraging your workers on how to steal from you.
Give Out Souvenirs
This kind of promo is usually good when you are launching your gas plant. It helps to create massive awareness around your target communities. Also, most customers would come just to get the souvenirs.
You can either give it out freely to everyone, depending on the type of souvenirs or use it to increase sales or patronage. You should use something that’s attractive and that would help promote your new plant.
For example, t-shirt or face cap can do the Magic better. While everyone would like to get this kind of souvenir, it can also help you increase patronage. You can offer the customers that buys up to 12.5kg gas quantity in one month. Not everyone would qualify but surely everyone would be talking about it.
This kind of promo would work best with mobile app, so you can collect their data as well and use it to capture your first customers. How you implement this would matter a lot.
Case Study: OBO GAS Promo
Let me say client name is OBO Gas. They wanted to implement a system to help them manage and reward customers. We launched a campaign, know your cylinder size. They campaign was to help document regular customers and to know how much gas they buy monthly.
OBO couldn’t automate the system, we used its receipt system. Customers were issued with a tally number to indicate how much kilogram of gas they have bought. Every repeat purchase gets a new tally number with current KG total.
We exchanged customers data during the first tally collection for the month, and announced winners at the beginning of each month. Top 3 customers with the highest KG purchase gets gift items. Their phone numbers, kg purchased and gift they qualified for where published and posted for everyone to see. And we took pictures for the social media campaign.
At the end of 3 months, we collected 247 customer data, and had 60% increase in return customer rate. There were challenges too, and we hope to do it even better next time.
If you are focused on how to increase sales for LPG plant, you will always find ways to promote your plant better. But what’s more important is how best you can reach out to target audience during your promo period. It’s important you consider the options that would give you more reach at cheaper cost.
Also, you have to know which segment of your customers you want to target with the promo and what the motive for the campaign. Whether you are using discount or souvenir, whatever incentive you agreed to use shouldn’t be wasted on the wrong target.
Finally, customer management is more important and should be part of your plan from the beginning. Managing customers is like managing your revenue source. It’s not something to take likely. And I strongly recommend to focus on phone numbers. Everyone has phone these days. If you would buy into my idea of a mobile app, contact me for how you can implement it for your gas plant.