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Clicks Sister Lilian Targeted Voucher January Cashback ClubCard Mailing Post-Campaign Report

Clicks Sister Lilian Targeted Voucher January Cashback ClubCard Mailing Post-Campaign Report. April 2010. Contents. Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction.

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Clicks Sister Lilian Targeted Voucher January Cashback ClubCard Mailing Post-Campaign Report

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  1. Clicks Sister Lilian Targeted VoucherJanuary Cashback ClubCard MailingPost-Campaign Report April 2010

  2. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

  3. Introduction • 150,000ClubCard customers targeted utilising 5one’s targeting tool • Campaign period: 22 Jan – 26 Feb • Both Current and New shoppers targeted: • 3,464 Current • 146,529 New • Offer: • R10 off when you spend R60 or more on any Sister Lilianproduct • Control group of look alike customers measured over exact same campaign period

  4. The Mailing

  5. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

  6. Targeted Coupon: Redemption Redemption: customers who bought featured product at the same time as handing in the coupon. • Overall redemption rate is below average: 0.05% (above 1% is ‘good’ for Current, 0.5% ‘good’ for New) • Good redemption rate achieved amongst current shoppers • Low redemption rate amongst new shoppers, indicative of niched / low awareness range How many mailants shopped the promoted products?

  7. 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 significantly higher than redemption rate, but is still below average: 0.2%(above 2% is ‘good’ for Current, above 1% for New) • Again, significantly higher response rates generated by Current shoppers: 4.9% • Of the 232 responders, 63 newshoppers were gained who had not purchase the brand before

  8. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

  9. Incremental Shoppers 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? • Although response rate was low, control group shopped at a significantly lower rate. • This means that nearly all responders were incremental 9

  10. Incremental Units How many more units were purchased? • Total number of units purchased 303,of which 96% was incremental: • Current shoppers: 96% incremental units • New shoppers: 94% incremental units 10

  11. Incremental Sales How many more sales were achieved? Total mailed sales of R17,977 achieved most of which were incremental: 96% *sales through the till ex VAT 11

  12. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

  13. Immediate Return On Investment What was the immediate ROI of the targeted coupon? • Overall ROI is negative: -66% • Exceptionally high ROI amongst Current shoppers: 1122% • Overall negative ROIa result of the low response rate ofNew shoppers: -94% 13

  14. Contents • Introduction • Coupon Redemption & Response • Incremental Analysis • Immediate ROI • Conclusions & Recommendations

  15. Campaign Summary • Overall campaign generated below average response: • Redemption rate: 0.05% (80 shoppers) • Response rate: 0,2% (232 shoppers) • However highly successful at driving incremental behaviour: • Shoppers: 219 (95%) • Units: 290 (96%) • Sales: R17,230 (96%) • Overall campaign generated a below average immediate ROI: • Profit: - R32,770 • ROI: -66% • Campaign performance indicative of a niched / low awareness range • Current shopper behaviour to the campaign does indicate high loyalty to the product and should focus on raising awareness amongst Clicks shoppers

  16. Recommendations • Raise awareness of the Sister Lilian range amongst ClubCard shoppers • Continue to use targeted coupons to invoke re-purchase amongst current shoppers as well as to gain new shoppers to the brands • Test higher reward level for New customers

  17. Thank-you Robert Grace – 5one Senior Consultant robert.grace@5one.co.za Nikki Emerton – 5one Account Manager nikki.emerton@5one.co.za

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