Successful rewards programs anywhere in the world have always had customer data at the center of their strategy. Without strong customer analytics capabilities, a successful rewards program is simply inconceivable.
3. The Solution
inTouch benchmarked proposed program benefits against those offered by other successful
rewards programs and found that there was a need felt by customers for a rewards program
that delivered incrementally accruing benefits.
Actionable Analytics â at the heart of the program
The success of the program is thanks largely to
Many rewards programs in India undermine
the importance of customer intelligence. Even a continuous learning â Plan-Target-Act-Learn
among firms that appreciate the role of â actionable analytics orientation, besides
customer intelligence, few are equipped with strong back-office capabilities built by inTouch
the requisite knowledge and skills. for Fresh ân Ground. Each individual customer
interaction was slotted into a datamart with a
The approach often is, âbuild it and they will
view to enable achieving analytics objectives.
buyâ
In each such program, inTouch sharply focuses
analytics objectives on management decision making styles as well as the organizational
capability to action decisions.
From tracking member transactions and segmenting customers based on their purchase
behavior, inTouch graduated to a predictive modeling platform when the gross number of
transactions crossed a critical 3 million (it now stands at 10 million).
The 50g extra and 100g extra schemes
Our analytics team segmented customers by monthly purchase volume concluded that if
specific customer segments are motivated Analytics capabilities that support the program
to buy additional increments, a substantial today include â
increase in tonnage is possible by way of
upselling. 1. Trend analysis for program performance
critical parameters and Predictive business
The â50g extraâ scheme was a sweepstakes modeling
2. Offer Response evaluation and modeling
program for customers who bought an 3. Loyalty scoring and Recency Frequency
additional 50g alongside their usual Monetary Value (RFM) modeling
purchase. 4. Reward Milestone modeling â positioning
rewards based on revenue and cash flow goals
The scheme not only resulted in a sizeable 5. Card usage, Attrition and win back modeling
increase in revenues, it was also successful 6. Micro-segmentation of customer base and
interacting with a market of one
in migrating entire segments to higher
value. Our research also pointed to substantial number of customers that the scheme was
successful in weaning away from competition and turning loyal to Fresh ân Ground.
4. Business Benefits
Program statistics: Topline growth for the 3 years was at
Program Launch: September 2003 8% as against a staid industry growth rate of
2%. Sales increased from about 110T in 2003
Member base: 400,000 and growing at the to about 150T in 2006
rate 2,000 members a month Stable baseline (off-season) revenue
with minimal use of short term promotions
Member activity: 75% to 80% (as against a (and hence cash outflow). Offer response
global benchmark of 45% to 50%) modeling ensures intelligent use of
Rewards performance: 165,000 members promotions to program members
rewarded to date Predictability in terms of sales,
response to offers and segment migration.
Daily Transactions: 10,000 transactions a day Business modeling enables visibility and
choice of proactive tools to achieve
Gross Transaction volume mined by inTouch: objectives
10 million to date Improved Customer involvement in a
dull category. Customers have many reasons
% Tonnage contributed by program: 95% of
to interact with the brand today.
all sales
5. Every day analytics
Assured Results and RoI
Incremental and scalable
Built and managed for your business
inTouch analytics, Floor 2, #33/5, NHS Road, V. V. Puram, Bangalore, India. Pin: 560004
Mail response@be-in-touch.com Call +91-80-32929411 Visit www.be-in-touch.com
Visit www.indiasalary.in Indiaâs only authentic salary computational tool. Powered by inTouch analytics in partnership with TeamLease Services