This is our story of co-creating a solution with a global retail chain
As we know…
The right insights enable companies to
understand customer behavior, communicate
more effectively and increase loyalty. Analytics
can help companies glean such insights to
develop the right cross-selling and upselling
campaigns.
The challenge for the retail company was…
To drive the sales volumes of a seasonal product
and enhance its visibility among loyal
customers. Prior attempts to target previous
buyers of the product with simple promotional
campaigns had failed to deliver the desired
results. The company leveraged WNS’ analytics
expertise to build an effective solution.
Here’s what we co-created as a solution…
WNS developed a sophisticated customer
segmentation framework to enable the client to
launch hyper-personalized campaigns for the
product. Robust statistical tools were deployed
to glean qualitative insights.
Through Exploratory Data Analysis on the
previous year’s transactions related to the
product, WNS identified characteristics that
differentiated the typical buyers from
non-buyers. An analytical model was
deployed across the retailer’s entire loyalty
base to predict purchase behaviors for the
larger population.
The retail chain’s entire loyalty base was divided
into 17 granular segments. Targeted
promotional offers, based on the revenue
objectives, were identified for each segment.
Keeping in mind the client’s need to minimize
the number of promotional e-mails, similar
segments were clubbed and tailored offers
were launched for each group.
Post the campaign rollout, parameters,
including response rate, incremental revenue
generated and the number of buyers, were
measured using control and test groups.
Our learnings and outcomes from the process of co-creation are...
That propensity modeling can achieve accurate
customer segmentation, which can be
effectively used to boost loyalty and sales.
The WNS approach enabled the retail chain to:
-
Better target prospective buyers of the
product
-
Get stellar response to the personalized
promotional offers
-
Achieve a 200 percent increase in the loyalty
purchase of the product compared to the
previous year
WNS’ proprietary model continues to be used to
launch promotional offers for the product as
well as another popular seasonal item. WNS
also continues to support the retail chain in its
marketing efforts.
Click here to view the infographic