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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Vital Health Foods: Weetol Targeted Coupon May Cashback ClubCard Mailing Post-Campaign.

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Presentation on theme: "All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Vital Health Foods: Weetol Targeted Coupon May Cashback ClubCard Mailing Post-Campaign."— Presentation transcript:

1 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Vital Health Foods: Weetol Targeted Coupon May Cashback ClubCard Mailing Post-Campaign Report July 2010

2 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 2

3 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Introduction 85,713 ClubCard customers targeted utilising 5one’s targeting tool Campaign period: 3 May – 4 June 2010 Both Current and New shoppers targeted: 19,514 Current shoppers 66,172 New shoppers Reward level tested: Get R10 off when you spend R50 or more on any Weetol products Control group of look alike customers measured over the campaign period 3

4 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. The Mailing 4

5 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 5

6 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 6 Targeted Coupon: Redemption Redemption: customers who bought featured product at the same time as handing in the coupon How many mailants shopped the promoted products? Overall redemption rate is average (above 1% is ‘good’ for Current, 0.5% ‘good’ for New), however this is due to the large number of New shoppers targeted Current shoppers generated excellent redemption rate of 3.5% CouponMailedRedeemedRed. Rate New R10 66,172320.05% Current R10 19,5146923.5% TOTAL 85,6867240.8%

7 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 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 excellent: 3% (above 2% is ‘good’ for Current, above 1% for New) Response rate amongst Current shoppers is excellent at 12% This campaign has driven an additional 180 new shoppers to the brand CouponMailedRedeemedRed. RateRespondedResp. Rate New R10 66,172320.05%1800.3% Current R10 19,5416923.5%2,44212.5% TOTAL 85,7137240.8%2,6223%

8 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 8

9 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 9 9 Incremental Shoppers Coupon Mailed Resp. Rate Responded Control Resp. Rate Incremental Shoppers % Incremental New R10 0.3%1800.0%180100% Current R10 12.5%2,44211.7%1556% TOTAL 3.06%2,6224%33513% Overall the control group shopped at a substantially lower rate than targeted shoppers resulting in all new shoppers to the brand being 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?

10 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 10 Incremental Units How many more units were purchased? Due to good response rates of customers 39% of total units purchased were incremental CouponTotal Mailed Units Incremental Units % Incremental New R10 213 100% Current R10 3,9161,40136% TOTAL 4,1291,61439%

11 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 11 Incremental Sales How many more sales were achieved? Total mailed sales of R187k achieved, with 25% sales being incremental R52 per responder gained for new shoppers Coupon Total Mailed Sales Incremental Sales % Incremental Incremental / Responder New R10 R 9,437 100%R 52 Current R10 R 177,243 R 37,19321%R 15 TOTAL R186,681 R 46,63025%R 18

12 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 12

13 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 13 Immediate Return On Investment Overall ROI is excellent: 366% Current offer generated an exceptional ROI of 1533% What was the immediate ROI of the targeted coupon based on Incremental sales? Coupon Total Mailed Sales Incremental Sales Production Costs Gross Profit ROI New R10 R 9,437 R 7,723 R 1,71522% Current R10 R 177,243 R 37,193R 2,277R 34,9151533% TOTAL R186,681 R 46,630R10,000R 36,630366%

14 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Contents Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations 14

15 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 15 Overall campaign generated ideal response: Redemption rate: 0.84% (724 shoppers) Response rate: 3% (2,622 shoppers) Highly successful at driving incremental behaviour: Shoppers: 250 (63%) Units: 300 (64%) Sales: R3,420 (55%) Overall campaign generated a poor immediate ROI -93% at a promoted product level Campaign Summary

16 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 16 1.Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands 2.Test broader offer for new customers (less niched / fewer constraints) 3.In-depth analysis of what the Weetol shopper looks like, how they shop across the range and what competitor products they are purchasing into Recommendations

17 All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. Thank-you Nikki Emerton – Account Manager Nikki.emerton@5one.co.za Zakariya Patel – 5one Analyst Zakariya.Pate@5one.co.za


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