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Dettol: Targeted CouponAugust CashBack ClubCard MailingPost-Campaign Report
November 2010
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
• 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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All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
5
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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 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%
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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 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%
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Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
8
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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?
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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%
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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
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Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
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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%
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Contents
• Introduction• Coupon Redemption & Response• Incremental Analysis• Immediate ROI• Conclusions & Recommendations
14
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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
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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%
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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 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
All content copyright © 5one 2001 - 2010. All rights reserved. Confidential.
Thank-youNikki Emerton – 5one Account Manager [email protected]
Zakariya Patel – 5one [email protected]