Challenge
Continental partnered with Paperplanes to implement a value added service to support smaller retail stores in their reseller network. The retailers were seeing plateaued sales and customer lapses across the UK, and were keen to invest money to help bring lapsed customers back to these stores for repeat business and prove the benefits of a successful marketing plan. Continental wanted to run specific, personalised campaigns that were relevant to the historic transactional data and customer base of each store they were working with, to offer relevant deals and checks based on this data.
Solution
By working closely with the team at Continental, Paperplanes were able to identify five key areas in which programmatic direct mail could help improve customer conversion rates. The five key areas that the campaign worked to support were:
- Tyre checks
- Wheel alignment
- Lapsed customers
- Service re-targeting
- MOT (annual test of vehicle safety)
The campaign was set up to provide long term support to retailers in the UK that sell and fit Continental tyres. It was built around historical transactional data sets from the different stores, analysing these and triggering personalised direct mail items to customers that had lapsed, or were due for routine vehicle checks, based on the specific up-sell requirements of each store.
Results
Retailer 1
Shortly after triggering the programmatic direct mail campaign, Continental saw average customer transaction values rise by 41% from £73.46 to £103.45. The results also revealed that from the direct mail trigger, the average customer value increased to £129.32 from a previous average of £92.90.
From a value added perspective for Continental, Retailer 1 has already seen a conversion rate of over 10% and an ROI of over £7 for every £1 spent.
Retailer 2
The campaign for Retailer 2 focused on lapsing customers, customers who were due for an MOT and service checks, looking at historic data for the past 12 months and targeting them in the run up to their next MOT being due.
There were significant results for Retailer 2, which saw over 20% of people contacted with MOT reminders converted within 11.5 days, as well as average transaction values increased by over £25 per transaction in this period.
In conclusion, by programmatically interacting with the customer base in a personalised and relevant level through the use of direct mail, the campaign for each retailer successfully drove customers to convert based on their historical purchase behaviour.
Media
Source: http://flypaperplanes.co.uk/continental-case/