Veet Targeted Voucher January Cashback ClubCard Mailing Post-Campaign Report

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

Veet Targeted VoucherJanuary Cashback ClubCard MailingPost-Campaign Report

April 2010


Contents

• Introduction

• Coupon Redemption & Response

• Incremental Analysis

• Immediate ROI

• Conclusions & Recommendations

2


Introduction

• 100,000 ClubCard customers targeted utilising 5one’s targeting tool

• Campaign period: 22 Jan – 26 Feb

• Both Current and New shoppers targeted:

• 8,309 Current

• 91,691 New

• Offer:

• Get R10 off when you spend R40 or more on any Veet product

• Control group of look alike customers measured over exact same campaign period

3


The Mailing

4


Contents

• Introduction



• Immediate ROI


5

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.

• Overall redemption rate is excellent: 1.5% (above 1% is ‘good’ for Current shoppers, 0.5% ‘good’ for New shoppers)

How many mailants shopped the promoted products?

Coupon MailedRedeeme

dRed. Rate

Current 8,309 494 5.95%

New 91,691 1,006 1.10%

TOTAL 100,000 1,500 1.50%


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: 5% (above 2% is ‘good’ for Current shoppers, above 1% for New shoppers)

• Excellent response rates generated by Current shoppers: 10.2%

• New coupon generating lower response rate but still good at 4.5%, driving 4,121 new shoppers to the range

Coupon MailedRedeeme

dRed. Rate

Responded

Resp. Rate

Current 8,309 494 5.95% 851 10.2%

New 91,691 1,006 1.10% 4,121 4.5%

TOTAL 100,000 1,500 1.50%4,972

5.0%


Contents

• Introduction



• Immediate ROI


8


Incremental Shoppers

• Control response rates significantly lower compared to mailed response rates

• Overall 70% of shoppers were incremental

• % incremental shoppers for Current: 97%

• % incremental shoppers for New: 64%

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?

CouponMailed Resp. Rate

Responded

Control Resp. Rate

Incremental

Shoppers

% Incremental

Current 10.2% 851 1.2% 823 97%

New 4.5% 4,121 1.8% 2,652 64%

TOTAL 5.0%4,972

1.5% 3,476 70%


Incremental Units

How many more units were purchased?

• Total number of units purchased 5,683, of which 71% was incremental:

• Current shoppers: 96% incremental units

• New shoppers: 66% incremental units

CouponTotal Mailed

UnitsIncremental

Units%

Incremental

Current 937 900 96%

New 4,745 3,141 66%

TOTAL 5,682 4,040

71%


Incremental Sales

CouponTotal Mailed

SalesIncremental % Incremental

Current R 30,312 R29,402 97%

New R 220,785 R147,888 67%

TOTAL R 251,097 R177,291 71%

How many more sales were achieved?

Total mailed sales of R251k achieved:

• Current shoppers generating high 97% of incremental sales

• New shoppers generating lower 67% incremental sales due to lower overall response rate

*sales through the till ex VAT


Contents

• Introduction



• Immediate ROI


12


Immediate Return On Investment

• Overall ROI is excellent: 255%

• Exceptionally high ROI amongst Current shoppers: 608%

• Also high ROI generate amongst New shoppers: 223%

What was the immediate ROI of the targeted coupon?

CouponTotal

Mailed Sales

Incremental

Sales

Production Costs

Gross Profit

ROI

Current R 30,312 R29,402 R 4,154 R 25,248 608%

New R 220,785 R147,888 R 45,846 R 102,043 223%

TOTAL R 251,097 R177,291 R50,000 R 127,291 255%


Contents

• Introduction



• Immediate ROI


14


Campaign Summary

• Overall campaign generated ideal response:

• Redemption rate: 1.5% (1500 shoppers)

• Response rate: 5% (4,972 shoppers)

• Highly successful at driving incremental behaviour:

• Shoppers: 3,476 (70%)

• Units: 4,040 (71%)

• Sales: R177,291 (70%)

• Overall campaign generated an excellent immediate ROI:

• Profit: R127,291

• ROI: 255%


1. Continue to use targeted coupons to invoke re-purchase and gain new shoppers to the brands

2. Test both Current & New offers using high/low value split for reward levels

Recommendations


Thank-you

Robert Grace – 5one Senior [email protected]

Nikki Emerton – 5one Junior Account Manager [email protected]

Zakariya Patel – 5one Junior Analyst [email protected]

mailto:[email protected]



Documents

Veet Targeted Voucher January Cashback ClubCard Mailing Post-Campaign Report