Do online customers need catalogues?
The Business Challenge
This mail order client has seen a significant % of business coming via its website over recent years. Given this shift, a key question emerged.
Are online customers being influenced by catalogues? Can catalogue investment be reduced to these customers?
We believed online customers can be segmented as follows:
• Catalogue Browsers – those who order online just for ease
• Catalogue Prompters – arrival of catalogue prompts visit
• Web Browser / Buyers – all browsing done online
• Identifying these differences would massively impact marketing performance
"In the first 12 months alone, R-cubed delivered a 20% increase in marketing efficiency – we trust them."
The Approach
An essential first step was to understand how these online customers behave when NOT mailed, and a test was established to withhold a number of customers from a catalogue mailing. With this in place we: • Created a full customer data bank, fusing data from FastStats™ and Omniture • Harnessed all past online and offline behaviour • Compared order rates of those mailed vs. those not • Identified key attributes where mailing had NO impact • Significantly, analysis of online behaviour revealed very differing customer behaviours / motivations • Harnessed this data into a model, identifying those for whom the mailing had no incremental impact – the Web / Browser buyers.
The Results
Results far exceeded expectations, in the first 6 months alone…
• 60% reduction in marketing costs to web browser/ buyers
• 10% saving in the Lands’ End’s UK total catalogue budget
• Increased contribution of 23% from these online customers
The Business Challenge
This mail order client has seen a significant % of business coming via its website over recent years. Given this shift, a key question emerged.
Are online customers being influenced by catalogues? Can catalogue investment be reduced to these customers?
We believed online customers can be segmented as follows:
• Catalogue Browsers – those who order online just for ease
• Catalogue Prompters – arrival of catalogue prompts visit
• Web Browser / Buyers – all browsing done online
• Identifying these differences would massively impact marketing performance
The Approach
The Results
Results far exceeded expectations, in the first 6 months alone…
• 60% reduction in marketing costs to web browser/ buyers
• 10% saving in the Lands’ End’s UK total catalogue budget
• Increased contribution of 23% from these online customers
Would you like to get better results, from less budget?
Our services
Our Services
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