Make adjustments in your mailing program. Don't include extra zip codes when sending out brochures to increase the radius of a campaign. For example, it's better and more effective to target the same 5,000 households on a bi-monthly schedule than to blow an entire budget sending 60,000 brochures to households in a much larger area once a year.
If your operation is profitable in your primary target area, expansion is fine. To establish a new target area, follow the money. Select well-to-do neighborhoods and establish the total number of residents. Now reduce that radius by 50% and send out the brochures every other month to your new mailing list. Assume no more than a 1/2% response on a mailing.
Sadly, you can spend 100% of your ad budget and have no idea how effective it is. It's important that advertising efforts be measured. Always have an expiration date on special offers and coupons. When a prospect calls for a quote be sure to ask, "How did you choose to call us for service?" The most important part is to keep a record of their response.
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