tip top nails:targeted coupon may 2010 cashback clubcard mailing post-campaign report
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Tip Top Nails:Targeted Coupon May 2010 Cashback ClubCard Mailing Post-Campaign Report. Contents. Introduction Coupon Redemption & Response Incremental Analysis Immediate ROI Conclusions & Recommendations. Introduction. 88,180 ClubCard shoppers targeted utilising 5one’s targeting tool - PowerPoint PPT PresentationTRANSCRIPT
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Tip Top Nails:Targeted Coupon
May 2010 Cashback ClubCard MailingPost-Campaign Report
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Introduction
• 88,180 ClubCard shoppers targeted utilising 5one’s targeting tool• Campaign period: 3 May – 4 June 2010• Both Current and New shoppers targeted:
• 37,911 Current • 50,269 New
• Reward level constructed tested:• Buy 3 Tip Top Products, one of which must be a Nail Treatment, and receive R10 off • Buy any Tip Top Nail Treatment and a Tip Top Nail Chic Colour and receive R5 off • Get R5 off any Tip Top boxed Nail treatment
• Control group of look alike shoppers measured over the campaign period
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The Mailing
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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
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Targeted Coupon: Redemption
Redemption: shoppers who bought featured product at the same time as handing in the coupon
How many mailants shopped the promoted products?
• Overall redemption rate is low, however due to the large number of New shoppers targeted: 50k (above 1% is ‘good’ for Current , 0.5% ‘good’ for New )
• Current R5 off offer generating good redemptions rates, i.e. 0.5%
Coupon Mailed Redeemed Red. RateNew R5 off(treatment) 50,269 36 0.07%
Current R10 off (buy 3) 11,058 0 0
Current R5 off(treatment & colour) 26,853 121 0.5%
TOTAL 88,180 157 0.2%
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Targeted Coupon: Response
Response: shoppers 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: 3.6% (above 2% is ‘good’ for Current , above 1% for New )
• Response rate amongst Current shoppers is very high• New offer generating good response rate: Driving 1,130 new shoppers to the
brand!
Coupon Mailed Redeemed
Red. Rate Responded Resp. Rate
New R5 off(treatment) 50,269 36 0.07% 1,130 2.3%
Current R10 off (buy 3) 11,058 0 0 487 4.4%
Current R5 off(treatment & colour) 26,853 121 0.5% 1,510 5.6%
TOTAL 88,180 157 0.2% 3,127 3.6%
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
8
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Incremental Shoppers
Coupon Mailed Resp. Rate Responded Control
Resp. RateIncremental
Shoppers%
Incremental New R5 off(treatment) 2.3% 1,130 0.2% 1,017 90%
Current R10 off (buy 3) 4.4% 487 11.5% 0 0
Current R5 off(treatment & colour) 5.6% 1,510 16% 0 0
TOTAL 3.6% 3,127 2.8% 1,017 33%
• Overall the control group shopped at a substantially higher rate than targeted shopper
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?
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Incremental Units
How many more units were purchased?
• No incremental units due to high control response rates• Again, targeting new shoppers generating high % incremental units
Coupon Total Mailed Units Incremental Units % Incremental
New R5 off(treatment) 1,550 1,423 92%
Current R10 off (buy 3) 650 0 0
Current R5 off(treatment & colour) 2,135 0 0
TOTAL 4,335 1,423 33%
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Incremental Sales
How many more sales were achieved?
• Total mailed sales of R160k was achieved
Coupon Total Mailed Sales
IncrementalSales
% Incremental
Incremental / Responder
New R5 off(treatment) R57,122 R52,654 92% R47
Current R10 off (buy 3) R27,697 0 0 0
Current R5 off(treatment & colour) R74,600 0 0 0
TOTAL R159,419 R52,654 33% R17
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Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
12
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Immediate Return On Investment
• Overall ROI is Excellent : 427%
What was the immediate ROI of the targeted coupon based on Incremental sales?
CouponTotal
Mailed Sales
Incremental
SalesProduction
CostsGross Profit ROI
New R5 off(treatment) R57,122 R52,654 R 5,701 R 46,953 824%
Current R10 off (buy 3) R27,697 0 R 1,254 R -1,254 -100%
Current R5 off(treatment & colour) R74,600 0 R 3,045 R -3,045 -100%
TOTAL R159,419 R52,654 R 10,000 R 42,654 427%
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
14
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Campaign Summary
• Overall campaign generated ideal response:• Redemption rate: 0.2% (157 shoppers)• Response rate: 3.6% (3,127 shoppers)
• Highly successful at driving incremental behaviour:• Shoppers: 1,017 (33%)• Units: 1,423 (33%)• Sales: R52,654 (33%)
• Overall campaign generated an excellent immediate ROI 427%
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1. Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands
2. Test broader offer for new shoppers (less niched / fewer constraints)
3. In-depth analysis of what the Vital shopper looks like, how they shop across the range and what competitor products they are purchasing into
Recommendations
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Thank-youNikki Emerton – Account Manager [email protected]
Zakariya Patel – 5one [email protected]