sister lilian targeted coupon july cashback clubcard mailing post-campaign report
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Sister Lilian Targeted Coupon July CashBack ClubCard Mailing Post-Campaign Report. Contents. Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction. 149,876 ClubCard customers targeted utilising 5one’s targeting tool - PowerPoint PPT PresentationTRANSCRIPT
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Sister Lilian Targeted CouponJuly CashBack ClubCard MailingPost-Campaign Report
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Introduction
• 149,876 ClubCard customers targeted utilising 5one’s targeting tool
• Campaign period: 28 June 2010 – 30 July 2010• Both Current and New customers targeted:
• 1,300 Current shoppers • 148,576 New shoppers
• Reward level tested:• Buy any 2 Sister Lilian Remedie and get R15.00 off• Buy any Sister Lilian Remedies products and get R10.00 off
• Control group of look alike customers measured over the campaign period
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The Mailing
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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
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Targeted Coupon: Redemption
Redemption: shoppers who bought featured product at the same time as handing in the coupon
How many mailants shopped the promoted products?
• Overall redemption rate is low 0.05% (above 1% is ‘good’ for Current, 0.5% ‘good’ for New)
Coupon Mailed Redeemed Red. Rate
New R10 148,576 65 0.04%
Current R15 1,300 12 0.92%
TOTAL 149,876 77 0.05%
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Targeted Coupon: Response
Response: customers who bought featured product regardless of whether they handed in the coupon A more accurate metric for campaign success as the coupon acts as both a discount and marketing message.
• Overall response rate is low: 0.19% (above 2% is ‘good’ for Current, above 1% for New)
• However, response rate amongst Current shoppers is excellent 5.23%• New offer driving an additional 216 new shoppers to the brand
Coupon Mailed Redeemed Red. Rate Responde
dResp. Rate
New R10 148,576 65 0.04% 216 0.15%
Current R15 1,300 12 0.92% 68 5.23%
TOTAL 149,876 77 0.05% 284 0.19%
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
8
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Incremental Shoppers
CouponMailed Resp. Rate
Responded
Control Resp. Rate
Incremental
Shoppers%
Incremental
New R10 0.15% 216 0.1% 134 62%
Current R15 5.23% 68 6.3% - 0%
TOTAL 0.19% 284 0.1% 134 47%
• Overall 47% incremental shoppers, with 62% of New shoppers being incremental
• Control response rate for current shoppers is quite high, an indication of a promotion perhaps?
Incremental analysis shows how total mailed responders would have shopped had they not received the mailing – essential in understanding actual effect of the campaign.How many shoppers were incremental?
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Incremental Units
How many more units were purchased?
• 45% of total units purchased incremental
Coupon Total Mailed Units
Incremental Units
% Incremental
New R10 271 168 62%
Current R15 101 - 0%
TOTAL 372 168 45%
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Incremental Sales
How many more sales were achieved?
• Total mailed sales of R21k was achieved, with 45% sales being incremental
Coupon Total Mailed Sales
IncrementalSales
% Incremental
Incremental / Responder
New R10 R 16,021 R 9,889 62% R 45.8
Current R15 R 5,969 - 0% -
TOTAL R 21,990 R 9,889 45% R 34.8
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
12
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Immediate Return On Investment
• Overall ROI is negative: -72%
What was the immediate ROI of the targeted coupon based on Incremental sales?
CouponTotal
Mailed Sales
Incremental
SalesProduction
CostsGross Profit ROI
New R10 R 16,021 R 9,889 R 34,696 -R 24,808 -71%
Current R15 R 5,969 - R 304 -R 304 -100%
TOTAL R 21,990 R 9,889 R 35 000 -R 25,111 -72%
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
14
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 15
• Overall campaign generated ideal response:• Redemption rate: 0.05% (77 shoppers)• Response rate: 0.19% (284 shoppers)
• Highly successful at driving incremental behaviour:• Shoppers: 134 (47%)• Units: 168 (45%)• Sales: R9,889 (45%)
• Overall campaign generated a negative immediate ROI -72%
Campaign Summary
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1. Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands
2. Test broader offer for new customers (less niched / fewer constraints)
3. In-depth analysis of what the Vital shopper looks like, how they shop across the range and what competitor products they are purchasing into
Recommendations
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Thank-youNikki Emerton – Account Manager [email protected]
Zakariya Patel – [email protected]