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Novartis: Excedrin Targeted Coupon August CashBack ClubCard Mailing Post-Campaign Report November 2010. Contents. Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction.

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slide1

Novartis: Excedrin Targeted CouponAugust CashBack ClubCard MailingPost-Campaign ReportNovember 2010

contents
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
introduction
Introduction
  • 149,998ClubCard customers targeted utilising 5one’s targeting tool
  • Campaign period: 16 Aug 2010 – 18 Sep 2010
  • Both Current and New customers targeted:
      • 140,356New shoppers
      • 9,642Current shoppers
    • Reward level constructed tested:
      • Get 20 points when you purchase Excedrin tablets & Excedrin powders
    • Control group of look alike shoppers measured over the campaign period
contents1
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
targeted coupon redemption
Targeted Coupon: Redemption

Redemption: shoppers who bought featured product at the same time as handing in the coupon

  • Overall redemption rate is low due to high proportion of new shoppers: 0.29% (above 1% is ‘good’ for Current shoppers, 0.5% ‘good’ for New shoppers)

How many mailants shopped the promoted products?

targeted coupon response
Targeted Coupon: Response

Response: shoppers 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 1.07%(above 2% is ‘good’ for Current shoppers, above 1% for New shoppers)
  • The new offer drove an additional 588 new shoppers to the brand!
  • Excellent response rates for current shoppers with 10.5% shopping the brand
contents2
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
incremental shoppers
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?

  • Overall the mailed group shopped at a higher rate than targeted shoppers resulting in 42% of shoppers being incremental

9

incremental units
Incremental Units

How many more units were purchased?

  • Due to high response rates of shoppers 53% of total units purchased were incremental
  • Mailed units are higher than responders indicating some shoppers picking up more than one product during the promotional period

10

incremental sales
Incremental Sales

How many more sales were achieved?

  • Total mailed sales of R28k achieved, with 37% sales being incremental

11

contents3
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
immediate return on investment
Immediate Return On Investment

What was the immediate ROI of the targeted coupon based on Incremental sales?

  • Overall ROI is negative: -79%

13

contents4
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
campaign summary
Campaign Summary
  • Overall campaign generated ideal response:
    • Redemption rate: 0.29% (433 shoppers)
    • Response rate: 1,07% (1,600shoppers)
  • Successful at driving incremental behaviour:
    • Shoppers: 675 (42%)
    • Units: 1,284 (53%)
    • Sales: R10,707 (37%)
  • Overall campaign generated negative immediate ROI -79% at a promoted product level
recommendations
Recommendations
  • Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands
  • Test broader higher offer levels for new customers
  • In-depth analysis of what the Excedrin shopper looks like, how they shop across the range and what competitor products they are purchasing into
thank you

Thank-you

Nikki Emerton – 5one Account Manager

[email protected]

Zakariya Patel – 5one Analyst

[email protected]

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