In five campaigns targeting five different product categories with email and sales calls over 3 months, response rates shot up during the program and remained 12% to 40% above normal for months afterwards.
The Problem: This B2B vendor of supplies to dentist offices needed to find the best customers for important, high-value product categories that should be targeted by a multi-channel campaign, including email, printed mail, and phone. Given the expense of each campaign, it was important to reach out to the right set of customers.
Prior Approach: Regular static mailings to previous buyers within the given product category.
The Loyalty Builders Approach: Loyalty Builders segmented customers into 5 groups, based on likelihood to buy products from each of the 5 categories over next 90 days, and removed customers with an expected value below a certain cost threshold. Customers selected for each category included customers who had purchased from the category before and some that had not (based on cross-sell scores).
The Results: Response rates during the 3 month campaign were lifted over control groups for all product categories ranging from 24% to 67%. The revenue lift during the promotion year-over-year for the promoted product categories was 92% to over 200%. Interestingly, the response rates also remained higher than normal well after that campaign ended. Six months later, the lift ranged from 12% to 40%.
