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January 2012 Cash-back mailing Bio-Strath supplier offer Post-campaign Report Feb 2012

January 2012 Cash-back mailing Bio-Strath supplier offer Post-campaign Report Feb 2012. Contents. Introduction Redemption Response Immediate ROI Average Customer Spend Summary, Conclusions & Recommendations. Introduction . 150,000 sample of all qualifying ClubCard members:

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January 2012 Cash-back mailing Bio-Strath supplier offer Post-campaign Report Feb 2012

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  1. January 2012 Cash-back mailing Bio-Strath supplier offerPost-campaign Report Feb 2012

  2. Contents • Introduction • Redemption • Response • Immediate ROI • Average Customer Spend • Summary, Conclusions & Recommendations

  3. Introduction • 150,000 sample of all qualifying ClubCard members: • current Bio Strath users in the past 12 months • new / potential shoppers – who have not purchased Bio Strath in the past 12 months but have the propensity to shop within the lifestyle supplements department • R5 OFF any of Bio-Strath Elixir 200ml or Bio-Strath 100 tablets. • Campaign period 20 January 2012 to 22 February 2012

  4. Targeted Coupon: Redemption Redemption: mailed shoppers who bought featured product at the same time as handing in the coupon

  5. Targeted Coupon: Total Response Response:mailed customers who received the offer and bought Bio-Strath products with or without redeeming the coupon. A more accurate metric for campaign success as the coupon acts as a call to action and a marketing message. (Buying without redeeming is the ideal as the supplier does not carry the cost) • A larger percentage of redemptions and overall response to tablets rather than syrup across both markets • Current users respond better than new users

  6. Immediate Return on Investment What was the immediate ROI of the coupon within offer period? *Revenue less redemption and marketing cost

  7. Summary • Overall campaign generated the following response: • Redemption rate: 0.9% (104 shoppers) • Overall response rate within offer period: 4.3% ( 432 shoppers ) • Response by current users: 8.45% ( 193 shoppers ) • Response by new users: 0.16% ( 239 shoppers ) • 63% of sales from tablets ( 272 shoppers ) • 37% of sales from syrup( 160 shoppers ) • Mailed Sales within offer period: R48,103.61 • ROI: -10.12%

  8. Conclusions • As expected, sales from existing users was much better than new prospects. • The redemption for existing users was good and the results indicate that the voucher served as awareness and stimulated further sales without voucher redemption • The redemption from new prospects was poor but the voucher served as awareness and stimulated further sales without redemption and increased overall response to acceptable levels. • New users redeemed at a higher rate than existing users (Existing 40/193 sales i.e. 20% vs of total vs 64/239 i.e. 27%) • Sales of the tablets far exceeded the syrup.

  9. Recommendations • Considering that a large proportion of shoppers targeted had not purchased Bio Strath before this is a good result. Repeat purchases from new buyers will soon turn the small loss into a profit. • Consider testing various Rands-off offers to new shopper to assess the optimal offer.

  10. Thank YouClicks Data Analyst:Jaco Van StadenEnquiries:Belinda Walsh K&B Direct 021 7971628Belinda@kbdirect.co.za

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