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Nice n Easy DM Campaign Post-Campaign Report October 2011

Nice n Easy DM Campaign Post-Campaign Report October 2011. Contents. Introduction Redemption Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction. 150,000 ClubCard customers targeted using 5one’s targeting tool

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Nice n Easy DM Campaign Post-Campaign Report October 2011

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  1. Nice n Easy DM CampaignPost-Campaign Report October2011

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

  3. Introduction • 150,000 ClubCard customers targeted using 5one’s targeting tool • Campaign period: 18 July 2011 – 14 August 2011 • Promotion: R10 off Nice n Easy Colourblend Foam • Competitive colourers and Nice n Easy shoppers selected • 130,000 shoppers who have purchased into competitor haircarecolourants • 20,000 Nice n Easy colourant shoppers • Control group of ‘’look alike’’ customers measured over exact same campaign period who did not receive the mailing

  4. Creative

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

  6. Targeted Coupon: Redemption Redemption: shoppers who bought featured product at the same time as handing in the coupon • Overall redemption rate is very good: 2.8% (above 1% is ‘good’ for Current shoppers, 0.5% ‘good’ for new shoppers)

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

  8. Targeted Coupon: Response Response: customers who received the mailing and bought Nice n Easy with or without using the voucher. A more accurate metric for campaign success as the mailing acts as a call to action and a marketing message. • Overall response rate is very good: 4.5% (above 2% is ‘good’ for Current shoppers, above 1% for new shoppers)

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

  10. 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 50% of shoppers responding to this campaign were incremental, i.e. 3,385 customers shopped as a direct result of this mailing

  11. Incremental Behaviour What other incremental behaviour did this campaign drive? • Incremental sales of R 338,988 (52%) driven by increased spend on Nice n Easy products (with customers purchasing 3,800 additional units) and as well as driving additional shoppers into store to purchase Nice n Easy (3,385 additional shoppers). There was an additional 3,671 baskets containing Nice n Easy as a result of this campaign.

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

  13. Immediate Return On Investment What was the immediate ROI of the mailing based on incremental sales? • However it is important to keep in mind this is a brand awareness exercise and shoppers will drive long term ROI over time if they are happy with the product and continue to shop the brand

  14. Medium Term Return On Investment: example If, for example, a conservative 50% of the 6779 NEW shoppers (3389) buy again at an average of R96 spend each, these are the following ROI scenarios: • Profit is realised after only 1 repeat purchase

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

  16. Campaign Summary • Overall campaign was very successful and generated the following response: • Redemption rate: 2.8% (4,264 shoppers) • Response rate: 4.5% (6,779 shoppers) • 5,416 competitive colourer shoppers switched to Nice n Easy • 1,363 Nice n Easy shoppers bought the promoted product • Not only is this a call to action, but also a brand awareness exercise so customers who may shop at a later stage outside of the analysis period • Overall campaign generated initial R338 988 incremental sales • Based on conservative repeat purchase forecast, profit should be realised after first repurchase

  17. Recommendations • Continue to use targeted direct mailings to invoke re-purchase and gain market share to the brand • Consider testing various Rands off offers across both markets to assess offer sensitivity

  18. Thank-you Enquiries: Call Belinda Walsh 021 797 1628

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