dettol : targeted coupon august cashback clubcard mailing post-campaign report november 2010

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

Dettol: Targeted CouponAugust CashBack ClubCard MailingPost-Campaign Report

November 2010


Contents

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

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Introduction

• 150 000 ClubCard customers targeted utilising 5one’s targeting tool

• Campaign period: 16 Aug 2010 – 18 Sep 2010• Both Current and New customers targeted:

• 125,997 New shoppers • 24,003 Current shoppers

• Reward level constructed tested:• Buy any 3 Dettol Natural 100g Soaps and get R6 off

• Control group of look alike shoppers measured over the campaign period

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The Mailing

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Contents


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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential. 6

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 0.84% (above 1% is ‘good’ for Current shoppers, 0.5% ‘good’ for New shoppers)

Coupon Mailed Redeemed Red. Rate

New R6 off 125,997 869 0.69%

Current R6 off 24,003 394 1.64%

TOTAL 150,000 1,263 0.84%


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 good: 1.46% (above 2% is ‘good’ for Current shoppers, above 1% for New shoppers)

• Offer to new shoppers driving an additional 1,308 new shoppers to the brand!

Coupon Mailed Redeemed Red. Rate Responded Resp. Rate

New R6 off 125,997 869 0.69% 1,308 1.04%

Current R6 off 24,003 394 1.64% 880 3.67%

TOTAL 150,000 1,263 0.84% 2,188 1.46%


Contents


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Incremental Shoppers

CouponMailed Resp. Rate

Responded

Control Resp. Rate

Incremental

Shoppers

% Incrementa

l

New R6 off 1.04% 1,308 0.2% 1,084 83%

Current R6 off 3.67% 880 2.0% 397 45%

TOTAL 1.46% 2,188 0.3% 1,481 68%

• Overall the mailed group shopped at a higher rate than control shoppers resulting in 68% of shoppers 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?


Incremental Units

How many more units were purchased?

• Due to high response rates of shoppers 76% of total units purchased were incremental

• Mailed units higher than responders indicating shoppers picking up more than one product during the promotional period

Coupon Total Mailed Units Incremental Units % Incremental

New R6 off 2,995 2,645 88%

Current R6 off 2,335 1,380 59%

TOTAL 5,330 4,025 76%


Incremental Sales

How many more sales were achieved?

• Total mailed sales of R12k achieved, with 49% being incremental

Coupon Total Mailed Sales

IncrementalSales

% Incremental

Incremental / Responder

New R6 off R 5,359 R 3,740 70% R 2.9

Current R6 off R 6,982 R 2,311 33% R 2.6

TOTAL R 12,341 R 6,052 49% R 2.8


Contents


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Immediate Return On Investment

• Overall ROI is negative: -83%

What was the immediate ROI of the targeted coupon based on Incremental sales?

CouponTotal

Mailed Sales

Incremental

SalesProduction

CostsGross Profit ROI

New R6 off R 5,359 R 3,740 R 29,399 -R 25,659 -87%

Current R6 off R 6,982 R 2,311 R 5,601 -R 3,289 -59%

TOTAL R 12,341 R 6,052 R 35,000 -R 28,948 -83%


Contents


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• Overall campaign generated ideal response:• Redemption rate: 0.84% (1,263 shoppers)• Response rate: 1.46% (2,188 shoppers)

• Highly successful at driving incremental behaviour:• Shoppers: 1,481 (68%)• Units: 4,025 (76%)• Sales: R6,052 (49%)

• Overall campaign generated excellent immediate ROI -83% at a promoted product level

Campaign Summary


Campaign Comparison

Mailing Offer Targeting Mailed Red. Rate

Resp. Rate

Control Resp. Rate

% Shoppers inc

% Units Inc

% Sales

IncInc

Sales Profit ROI

Aug-10 R6 when you buy 3 soaps New 125,997 0.69% 1.04% 0.2% 83% 88% 70% R 3,740 R -25,659 -87%

Aug-10 R6 when you buy 3 soaps Current 24,003 1.64% 3.67% 2.0% 45% 59% 33% R 2,311 R -3,289 -59%

Jul-10 R6 when you buy 3 soaps New 75,000 0.47% 0.57% 0.1% 89% 92% 65% R 768 -R16,732 -96%

Jul-10 R6 when you buy 3 soaps Current 75,000 1.50% 2.27% 0.5% 77% 81% 58% R 5,810 -R11,690 -67%


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 Dettol shopper looks like, how they shop across the range and what competitor products they are purchasing into

Recommendations


Thank-youNikki Emerton – 5one Account Manager [email protected]

Zakariya Patel – 5one [email protected]

mailto:[email protected]

mailto:[email protected]

dettol : targeted coupon august cashback clubcard mailing post-campaign report november 2010

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