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Vital Targeted Coupon July CashBack ClubCard Mailing Post-Campaign Report

Vital Targeted Coupon July CashBack ClubCard Mailing Post-Campaign Report. Contents. Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction. 70,507 ClubCard shoppers targeted utilising 5one’s targeting tool

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Vital Targeted Coupon July CashBack ClubCard Mailing Post-Campaign Report

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  1. Vital Targeted CouponJuly CashBack ClubCard MailingPost-Campaign Report

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

  3. Introduction • 70,507 ClubCard shoppers targeted utilising 5one’s targeting tool • Campaign period: 28 June 2010 – 30 July 2010 • Both Current and New customers targeted: • 10,614 Current shoppers • 59,893 New shoppers • Reward level constructed tested: • Get R10 off when you purchase Colon Complete, Cranberry Complex or Arthrit Ease from Vital • Control group of look alike customers measured over the campaign period

  4. The Mailing

  5. Contents • Introduction • Coupon 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 was average 0.53% : (above 1% is ‘good’ for Current, 0.5% ‘good’ for New) • Current offers generated excellent redemptions rates 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 is good: 1.33%(above 2% is ‘good’ for Current, above 1% for New) • Response rate amongst Current shoppers is excellent at 6.64% • New offer driving 231 new shoppers to the brand

  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? • Overall the mailed group shopped at a higher rate than control, resulting in a % increase of incremental shoppers 26% 9

  10. Incremental Units How many more units were purchased? • Overall 41% of total units purchased were incremental 10

  11. Incremental Sales How many more sales were achieved? • Total mailed sales of R62k achieved, with 13% sales being incremental 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 based on Incremental sales? • Overall ROI is poor: -76% 13

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

  15. Campaign Summary • Overall campaign generated ideal response: • Redemption rate: 0.53% (376 shoppers) • Response rate: 1.33% (936shoppers) • Highly successful at driving incremental behaviour: • Shoppers: 242 (26%) • Units: 551 (41%) • Sales: R8,305 (13%) • Overall campaign generated a poor immediate ROI -76% at a promoted product level

  16. Recommendations • Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands • Test broader offer for new customers (less niched / fewer constraints) • In-depth analysis of what the Vital shopper looks like, how they shop across the range and what competitor products they are purchasing into

  17. Thank-you Nikki Emerton – 5one Account Manager Nikki.emerton@5one.co.za Zakariya Patel – 5one Analyst Zakariya.Patel@5one.co.za

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