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Published byClarence Arnold Modified over 6 years ago
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Natrodale Targeted Coupon July CashBack ClubCard Mailing Post-Campaign Report
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Contents Introduction Coupon Redemption & Response
Incremental Analysis Immediate ROI Conclusions & Recommendations
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Introduction 130,587 ClubCard shoppers targeted utilising 5one’s targeting tool Campaign period: 28 June 2010 – 30 July Both Current and New customers targeted: 25,617 Current shoppers 104,226 New shoppers Reward level constructed tested: Get R10 off when you purchase 2 or more Natrodale products Get R10 off when you spend R70 or more on any Natrodale products Get R10 off any Natrodale products Control group of look alike customers measured over the campaign period
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The Mailing
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Contents Introduction Coupon Redemption & Response
Incremental Analysis Immediate ROI Conclusions & Recommendations
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Targeted Coupon: Redemption
Redemption: customers who bought featured product at the same time as handing in the coupon Coupon Mailed Redeemed Red. Rate Current: Spend R70 get R10 off 12,736 231 1.81% Current: Buy 2+ get R10 off 12,881 110 0.85% New : R10 off 104,226 76 0.07% TOTAL 129,843 417 0.32% Overall redemption rate is low: 0.32% (above 1% is ‘good’ for Current, 0.5% ‘good’ for New) ‘Spend R70 and get R10 off’ offer generating highest redemption rates How many mailants shopped the promoted products?
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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. Coupon Mailed Redeemed Red. Rate Responded Resp. Rate Current: Spend R70 get R10 off 12,736 231 1.81% 1,303 10.23% Current: Buy 2+ get R10 off 12,881 110 0.85% 1,287 9.99% New : R10 off 104,226 76 0.07% 292 0.28% TOTAL 129,843 417 0.32% 2,882 2.22% Overall response rate is good: 2.22% (above 2% is ‘good’ for Current, above 1% for New) Response rate amongst Current shoppers excellent: 10% New offer driving 292 new shoppers to the brand
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Contents Introduction Coupon Redemption & Response
Incremental Analysis Immediate ROI Conclusions & Recommendations
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Incremental Shoppers How many shoppers were incremental?
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? Coupon Mailed Resp. Rate Responded Control Resp. Rate Incremental Shoppers % Incremental Current: Spend R70 get R10 off 10.23% 1,303 8.4% 236 18% Current: Buy 2+ get R10 off 9.99% 1,287 9.5% 67 5% New : R10 off 0.28% 292 0.5% - 0% TOTAL 2.22% 2,882 4.7% 303 11% Overall the control group shopped at a substantially high rate compared to targeted shoppers resulting in a low % of incremental shoppers 11% 9 9
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Incremental Units How many more units were purchased?
Coupon Total Mailed Units Incremental Units % Incremental Current: Spend R70 get R10 off 4,134 1,122 27% Current: Buy 2+ get R10 off 4,048 601 15% New : R10 off 831 - 0% TOTAL 9,013 1,723 19% 19% of total units purchased were incremental 10 10
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Incremental / Responder
Incremental Sales How many more sales were achieved? Coupon Total Mailed Sales Incremental Sales % Incremental / Responder Current: Spend R70 get R10 off R 401,147 R 97,968 24% R 75.2 Current: Buy 2+ get R10 off R 410,500 R 72,257 18% R 56.1 New : R10 off R 77,294 - 0% R 0.0 TOTAL R 888,941 R 170,225 19% R 59.1 Total mailed sales of R888k achieved, with 19% sales being incremental 11 11
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Contents Introduction Coupon Redemption & Response
Incremental Analysis Immediate ROI Conclusions & Recommendations
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Immediate Return On Investment
What was the immediate ROI of the targeted coupon based on Incremental sales? Coupon Total Mailed Sales Incremental Sales Production Costs Gross Profit ROI Current: Spend R70 get R10 off R 401,147 R 97,968 R 26,089 R 71,879 276% Current: Buy 2+ get R10 off R 410,500 R 72,257 R 4,430 R 67,827 1531% New : R10 off R 77,294 - R 4,481 -R 4,481 -100% TOTAL R 888,941 R 170,225 R 35,000 R 135,225 386% Overall ROI is good: 386% 13 13
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Contents Introduction Coupon Redemption & Response
Incremental Analysis Immediate ROI Conclusions & Recommendations
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Campaign Summary Overall campaign generated ideal response:
Redemption rate: 0.32% (417 shoppers) Response rate: 2.22% (2,882 shoppers) Highly successful at driving incremental behaviour: Shoppers: 303 (11%) Units: 1,723 (19%) Sales: R170,225 (19%) Overall campaign generated immediate ROI 386% at a promoted product level
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Campaign Comparison Mailing Mailed Shopped Inc Shoppers Units
Inc Units Sales Inc Sales ROI Aug-09 94,315 2,639 2,490 7,979 7,621 R699, 000 R674,000 1248% Dec-09 146,449 6,121 4,393 11,260 5,645 R937,945 R434,993 770% May-10 139,649 1,014 517 1,132 157 R40,275 R4,736 -91% July-10 130,587 2,882 303 9,013 1,723 R888,941 R170,225 386%
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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
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Thank-you Nikki Emerton – 5one Account Manager
Zakariya Patel – 5one Analyst
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