September / October 2004

Welcome to the latest edition of Nutraceutical News from IFS. In this issue you'll learn about the unique services we offer to long-time client Teva Neuroscience. In addition, take note of the helpful tips you'll find in the Customer Service Corner about the value of extensive reporting capabilities, along with some creative suggestions about "upselling" in this issue's Marketing column. Ideas from those two columns alone can help you boost your bottom line!

For additional information, you can always visit our Website, www.ifssolutions.com. To share your feedback about this newsletter, please click here. To unsubscribe, please use the link at the end of this issue.

In this issue:

• Case Study: Teva Neuroscience - Sharing Knowledge and Building Relationships in the MS Community
• Fulfillment Notes: The Importance of Accuracy
• Maximize Your Marketing Effectiveness: Upselling: The Key to Instant Profits
• Customer Service Corner: Detailed Reports Help You Take Better Care of Your Customers
• About IFS: For More Information, Contact Us

IFS has become known for offering its clients "high touch" customer service. It is for that reason the company was approached in 1999 by Teva Neuroscience to handle a very unique program through its call center.

Teva Neuroscience, the marketer of the injectable drug Copaxone, has unique needs for its Multiple Sclerosis patients. The company began a free peer-to-peer support program through its Shared Solutions® service, matching newly diagnosed MS patients who are exploring treatment or changing treatment with patient advocates who are undergoing treatment for MS and are using Copaxone. Through this peer-to-peer program, patients are able to discuss questions about MS and therapy.

"It's an involved process," Product Manager Jan Jones said. "We needed our staff to remain focused on other customer needs, so we decided to explore outsourcing part of this program to a highly skilled customer service center."

Teva approached IFS to take on this responsibility. "Since this program is based heavily on relationships, we needed a customer service center that would be able to technically take care of the database, but also provide personalized customer care and relate well to our advocates," Jan said. IFS also took on the job of providing basic fulfillment for Teva, including calling cards and follow up materials for the advocates.

IFS agreed to take on the new call center role. "High touch service is what we're known for," said IFS President Keith Milburn. "This program allowed us to bring that high touch service to a new level."

IFS chose Account Manager Marcia Luke for the Teva account. It's been a perfect fit. "Marcia is a compassionate and caring individual who does such a great job relating to our advocates; they know she is part of our team, and that's what we want," said Jan Jones.

"This is a major project for me," Marcia said. "Every day we receive a file of names from Teva that needs support. After entering their personal information in our database, I review them and assign patients with the advocates that best match their current lifestyle and diagnosis."

"I'm grateful for my involvement with this program," Marcia added. "It's a very rewarding process, and managing this program is both helpful and gratifying."

"IFS has been a great help as our program has grown," Jan said. "They've done a great job of maintaining the relationships, which is what it is all about."

Jan continued, "We see the advocate program as a very important part of the marketing mix. It's one thing to learn about MS from a doctor or nurse, but its different learning from someone who is going through your same struggles. Our peer-to-peer program provides a great connection for patients."

For more on Teva Neuroscience, visit www.TevaNeuroscience.com. For more on Copaxone, visit www.Copaxone.com.

Want your customers to LOVE doing business with you? Then make certain your shipments to them are not just on time, they're accurate.

At some time or another, we've all experienced the receipt of a much-anticipated package, only to have it disappoint us because it was either the wrong merchandise, incomplete merchandise or both. Did you ever do business with that company again? Chances are the answer is "no."

At IFS, we make accuracy a top priority: in fact, we track and consistently measure the accuracy of our shipments, ensuring our customers of a 99.46% accuracy rate. That's because we've put both the people and the systems in place to ensure accurate, on-time shipments. That accuracy has not only lead to customer satisfaction and client loyalty, it has also meant increased operating efficiencies (no time spent tracking down lost shipments or the expense of replacing them). That efficiency directly impacts our clients' bottom line!

Just to clarify the importance of accuracy, studies have shown that the three most important factors to customers in doing business with direct-to-consumer companies are:

• customer satisfaction;
• on-time delivery; and
• accurate shipments.

We're pleased to say, IFS has those covered on all accounts! In addition to our accuracy rate mentioned earlier, we answer all phone calls within three rings and we ship 100% of all orders within 24 hours.

If you'd like help ensuring the accuracy of your fulfillment operation, email us today at info@ifssolutions.com.

You are probably familiar with "upselling" - offering your call-in customers an additional product or service at a good value in order to increase your average order amount. But do you know that upselling can easily double or even triple your profits?

Upselling is easy when you go about it the right way. You need to look at it as a way to solve your customers' problems. Take a look at the reason your customers are calling. What can you offer them that will make their lives a bit easier?

Nutraceutical upselling opportunities include:

• Offering a continuity or subscription plan - You will save your customers from having to call every month to renew. By offering a three-month or more subscription, your customers are saved the hassle of remembering to order on a monthly basis. What's more, you have the immediate profit to use for marketing your product to even more prospects.
• Offering bulk pricing - When your customers call back after their first order, offer them a great price on a bulk order. When customers buy more products at one time, you save by processing one large order instead of two or three smaller ones, plus you also save on the efficiencies in your shipping department (including packaging and postage). Again, this will instantly increase your profits.
• Bundling complimentary products - When customers ask for a specific item, be sure to point out they can get that item, PLUS a great deal by purchasing a complimentary product. Or they can buy another product that will enhance the effectiveness of the first product. It's hard to resist if it's truly a great deal!

By upselling, you give your customers a double benefit: you save them time and money. Plus, upselling a quality nutraceutical product means you also help customers quite possibly improve their health.

Upselling creates a win-win-win situation: your customers win, your company wins and - with the additional profits - you'll have the marketing dollars to reach an entirely new group of prospective customers who will also win!

Are you committed to offering your customers exceptional service? Consider how much better your customer service would be if you had more detailed information at your fingertips. Not only would you develop a reputation as a company that offers exceptional service, you could see big benefits to your bottom line as well!

Accurate and detailed reports can help you better serve your customers. That way, when customers call about their orders, you can answer their questions immediately and resolve any customer service issues or concerns on the spot. Not only will that make your customers happy, it will save you the time - and expense - of having to look up their orders, physically check on the status and call them back with an update.

Detailed reports shouldn't be something you only "hope for." If you're not currently getting reports that provide thorough information about your business, then you need to start demanding them. There is no way to take good care of your customers - or to run a truly successful business - without accurate, timely and detailed information.

At IFS, we insist on the very latest in fulfillment technology in order to provide our clients with real time, accurate and complete data that goes well beyond customer service information. Our reports include, but are not limited to, such metrics as:

• Sales by product, region and/or customer as well as by day/week/month/year/etc.;
• Inquiries received vs. completed orders processed (conversion process);
• Shipments completed as well as reshipments or back orders;
• Inquiries made and complaints received;
• Inventory stock levels, back orders and low level notification;
• Number of returns, by SKU number;
• Tracking numbers of shipments;
• Source code reporting to track effectiveness of marketing campaigns;
• Gift certificates issued;
• Repeat purchases;
• Tax information; and
• Lists of customers, both purchasers as well as inquirers.

Want to know more about detailed reporting? Contact IFS' Database Guru Dee Easley by emailing info@ifssolutions.com.

IFS is a world class, full service fulfillment operation with a track record of success. A woman-owned business, we proudly serve some of the country's most respected corporations. With a special expertise in the fulfillment of nutraceuticals, we can help you run your nutraceuticals business more efficiently and more cost effectively.