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Revlon: Charlie Targeted Coupon August Cashback ClubCard Mailing Post-Campaign Report. Contents. Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction. 149,984 ClubCard customers targeted utilising 5one’s targeting tool

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contents
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
introduction
Introduction
  • 149,984ClubCard customers targeted utilising 5one’s targeting tool
  • Campaign period: 16 Aug 2010 – 18 Sep 2010
  • Both Current and New customers targeted:
      • Eye Shadow 8 pan palette
        • 74,678 Current shoppers
        • 316 New shoppers
      • Eye Pencils
        • 70,424 Current shoppers
        • 4,566 New shoppers
    • Offers tested:
      • R10 off when you buy 2 or more Charlie Cosmetics Eye shadow 8 Pan Palettes
      • R10 off when you buy 2 or more Charlie Cosmetics Eye Pencils
    • Control group of look alike customers measured over the campaign period
contents1
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
targeted coupon redemption
Targeted Coupon: Redemption

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

  • Overall redemption rate is low for both coupons: 0.07% and 0.09% for Eye shadow and Eye Pencil respectively (above 1% is ‘good’ for Current, 0.5% ‘good’ for New)

How many mailants shopped the promoted products?

targeted coupon response
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 poor: 0.11% and 0.16 for Eye shadow and Eye Pencil respectively(above 2% is ‘good’ for Current, above 1% for New)
  • Driving 181 new shoppers to 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 86% of shoppers incremental

9

incremental units
Incremental Units

How many more units were purchased?

  • 86% of eye shadow units purchased incremental
  • 100% of eye pencils incremental

10

incremental sales
Incremental Sales

How many more sales were achieved?

  • Eye Shadow had total mailed sales of R596 of which 7% was incremental
  • Eye Pencil had total mailed sales of R2,682 of which 82% was incremental

11

how did shoppers respond at a total range level
How Did Shoppers Respond at a Total Range Level

Because the offer was only on Charlie: Eye Shadow, it is important to understand if responders chose a different product from the Charlie range as a result of the mailing.

Again, measuring this against the control group enables us to understand what was incremental

How many more shoppers, sales and units were generated at a range level?

  • Targeted voucher delivered better results at a total Charlie level, generating R43K incremental sales
  • This demonstrates the marketing halo effect of sending targeted communication
slide13

How Did ShoppersRespond at a Total Range Level

Because the offer was only on Charlie: Eye Pencil, it is important to understand if responders chose a different product from the Charlie range as a result of the mailing.

Again, measuring this against the control group enables us to understand what was incremental

How many more shoppers, sales and units were generated at a range level?

  • Revlon Charlie Eye Pencil has done poorly on both a product level as well as on a brand level
  • As a result there was no halo effect from marketing communication

13

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

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

  • Overall ROI was poor : Eye Shadow has -100%, Eye Pencil has -91%

*sales through the till ex VAT

15

immediate return on investment range level
Immediate Return On Investment: Range Level

What was the immediate ROI of the targeted coupon based on Incremental sales at a total Range level?

  • The Eye Shadow range generated R91K and Eye Pencil R114K in total mailed sales
  • Overall ROI for Eye Shadow did better on a range level at 74%,
  • Eye Pencil still has a negative ROI further illustrating the poor performance of the Eye Pencil offer

16

contents4
Contents
  • Introduction
  • Coupon Redemption & Response
  • Incremental Analysis
  • Immediate ROI
  • Conclusions & Recommendations
campaign summary
Campaign Summary
  • Overall campaign generated the following response:
    • Eye Shadow, Redemption rate: 0.07% (56 shoppers)
    • Eye Shadow, Response rate: 0.11% (80 shoppers)
    • Eye Pencil, Redemption rate: 0.09% (68 shoppers)
    • Eye Pencil, Response rate: 0.16% (188 shoppers)
  • Reasonably successful at driving incremental behaviour on Range level:
    • Eye Shadow, Shoppers: 836 (23%)
    • Eye Shadow, Units: 1,096 (33%)
    • Eye Shadow, Sales: R43,386 (4%)
    • Eye Pencil, Shoppers: 26 (1%)
    • Eye Pencil, Units: 85 (3%)
    • Eye Pencil, Sales: R 812 (1%)
recommendations
Recommendations
  • Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands
  • Test broader offer for customers (less niched / fewer constraints)
      • E.g. R10 any Revlon Charlie Eye Shadow and Eye Pencil
  • In-depth analysis of what the Revlon Charlie shopper looks like, how they shop across the range and what competitor products they are purchasing into
thank you

Thank-you

Nikki Emerton – Account Manager

Nikki.emerton@5one.co.za