5 YEARS OF MARKETING AUTOMATION

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1 5 YEARS OF MARKETING AUTOMATION The Lessons Learned Sabine Vanderveken - Marketing Director

2 AGENDA Ambitions The start The progress The learnings The next steps

3 REALITIES & AMBITIONS

4 MARKET REALITIES SO, YOU THINK YOU ARE CUSTOMER-CENTRIC? CEO VS CUSTOMER VOICE p. 4

5 LUNCH GARDEN AMBITIONS CUSTOMER CENTRICITY & CUSTOMER-CENTRIC MARKETING Deliver to the right customer at the right time, the right message, through the right channel

6 LUNCH GARDEN AMBITIONS DELIVER A PERSONAL EXPERIENCE Personalization Segmented or general info Possible : Loyalty Status (Stars, ) Network-related message when needed Segmented offer and voucher

7 LUNCH GARDEN RESULTS

8 LUNCH GARDEN RESULTS KPIS AFTER 5 YEARS OF MARKETING AUTOMATION TOPICS KPIS MASS COMMUNICATION PUSH CUSTOMER JOURNEY COMMUNICATION PULL BRAND DIALOGUE opening rate 20% 40% BUSINESS BUILDING Purchase conversion on target 3% 25% TURNOVER Turnover contribution 100 PROMOTION Cost of promotion x more 50 Divided by 2

9 HOW DID WE START?

10 CUSTOMER JOURNEY MARKETING WITH MARKETING AUTOMATION TRIGGER AT THE RIGHT MOMENT PERSONALIZE CONTENT & CHANNEL TEST / LEARN / IMPROVE CONTINUOUSLY

11 A MARKETING AUTOMATION PARTNER, ENABLING 1 TO 1 MARKETING

12 YEAR 2013/2014 INITIAL AMBITIONS NEW CUSTOMER EXPERIENCE Brand repositioning Our new customer s charter Refurbishment of the Lunch Garden restaurants LOYALTY PROGRAM PRINCIPLES Up & cross-selling Smart Data Progressive build-up LOYALTY CARD YES, WE LUNCH Segmentation based on Smart Data Type of activation Results

13 RECRUITMENT IS KEY POS RECRUITMENT Recruitment > Enrichment > Activation POINT-OF-SALE loyal members recruited in 16 months

14 SHOPPER - CENTRIC DATA MODEL WITH 1 TO 1 TRANSACTIONAL BEHAVIOR Recruitment > Enrichment > Activation Up to 25 categories Transactional history and trend (12 month) Recency, Frequency, Monetary Preferred restaurant Last visited restaurant Most visited restaurant Transactional Tickets Date, ID, restaurant, lines, products, prices, promotions, activations Transactional history and trend (12 month) Restaurant, Turnover, Recency, Frequency, Monetary PURCHASE TRANSACTIONS CATEGORIES RESTAURANTS SEGMENTS CARDS Age Segment Customer Type Favourite Day Part Favourite offer Frequency Spending Level Total Club SUBSCRIPTIONS SHOPPER PROFILE ID Contact details, profile details OPERATIONAL INTERACTIONS Last opening Device Last interactions INTERACTIONS SURVEY INTERACTIONS ing subscriptions Campaign interactions history

15 DIFFERENTIATED ACTIVATION & PROMOTION BASED ON RFM SEGMENTS Recruitment > Enrichment > Activation M Average Basket SILVER Encourage visit GOLD Keep loyal F Visit frequency BRONZE Loading SILVER Cross-selling

16 SEGMENTATION IS KEY 52,5 % High gear: Stable financial situation Service is important Buy more locally Search for recognition 17,6 % Time rich: Stable financial situation but limited pension Service is important Recognition Social contacts 27,3 % Spitsers/families: Busy life Need for service at all times Career, money goes to kids Well-being of the kids is important Think more durable 2,6 % Iconsumers: Always online Do not pay much but in search of experiences Compare everything

17 SEGMENTATION & PERSONALIZATION AN EXAMPLE

18 MARKETING NEWSLETTERS AND FIRST JOURNEY / ACTIVATIONS FIRST 16 MONTHS SMART ACTIVATION Monthly enewsletter Senior Monthly enewsletter Family Local activation Birthday Annual Survey / NPS

19 16 MONTHS AFTER THE LAUNCH RECRUITMENT > ENRICHMENT > ACTIVATION members recruited Rich data model by profile 56 different versions of newsletters Representing 52% of turnover for leverage Customer intelligence For decisions 40% opening rate For dialogue

20 HOW DID WE PROGRESS ON-THE-GO?

21 THE VIRTUOUS VALUE CIRCLE «Smart behavioral data from a shopper s journey to produce 1to1 marketing and analytics» «Nationally or locally, control your business, your campaign conversion or segment progressive transfers and plan counteractions» «Activate at the right moment of a shopper s journey with the right channel and the right 1to1 content»

22 HOW TO MAINTAIN THE DIALOGUE OVER TIME? SMART ACTIVATION OPENING RATE 40% 40 % 30% Customer journey + Local + Content Personalization PULL Mass Newsletters 15-20% PUSH TIME

23 MOMENT MARKETING : BUILD YOUR CUSTOMER JOURNEY MARKETING PROGRESSIVELY SMART ACTIVATION

24 RADIOGRAPHY OF A SCENARIO - HAPPY BIRTHDAY

25 RADIOGRAPHY OF A SCENARIO - WELCOME IN LOYALTY PROGRAMME

26 MARKETING INTELLIGENCE DASHBOARDS TO UNDERSTAND AND ADAPT SMART ANALYTICS

27 THE LEARNINGS

28 BE PROGRESSIVE IN CUSTOMER CENTRIC MARKETING

29 BE MORE & MORE RELEVANT WITH YOUR CUSTOMERS MOMENT MARKETING Right moment based on purchase behavior 40% opening rate + SEGMENTATION Visual recognition with socio-demo Generosity based on RFM value + NATIONAL & LOCAL Relevancy with local signature Dedicated local campaigns 40% opening rate GET OPINION 2WAY COMMUNICATION NPS / Satisfaction survey

30 CUSTOMER JOURNEY MARKETING IS A KEY BUSINESS CONTRIBUTOR CONTINUOUS DIALOGUE AS A KEY DIFFERENTIATOR 40% opening rate on > 50% turnover SALES FROM CUSTOMER JOURNEY ACTIVATION 25% average purchase conversion rate on target COST OF SALES 50% decrease of promotion costs vs 5 years ago TURNOVER CONTRIBUTION 5 times more than monthly enewsletter Scenario Open rate Redemption rate on opening Global conversion rate on targeted Birthday 41% 88% 36% Bounce Back 44% 59% 26% We miss you 35% 56% 20% Frequency Churn 43% 12% 5% Remove alerts 26% 14% 4% Journey Activations 40% 61% 25%

31 CHANGE MANAGEMENT - PEOPLE AND ORGANISATION PROGRESSIVITY Technology adoption People onboarding ROI control CONTINUOUS TEST LEARN ITERATE AUTOMATE Pilot before automation Systematic A/B testing Control ROI OUTSOURCING THAN RIGHT SOURCING OVER TIME Based on maturity, resources, budget Progressive insourcing of stable & recurring operations Campaigning, segmented content, scenarization, analytics

32 THE NEXT STEPS

33 BRANDING REFRESH + OMNICHANNEL EXPERIENCE

34 MORE DELIGHT & ENGAGEMENT AROUND INDIVIDUAL PURCHASE JOURNEY

35 BUILD SPECIFIC JOURNEYS AROUND STRATEGIC PERSONAE

36 TRANSPARENCY & PROCESS IN THE HANDS OF OUR CUSTOMERS

37 THANK YOU! Sabine Vanderveken - Marketing Director