How Amway Uses Data-Driven Automation to Drive Global Cross-Channel Revenue
1. How Amway Uses Data-Driven
Automation to Drive Global
Cross-Channel Revenue
Emily Rhodes
Customer Loyalty and CRM Global Marketer for Amway
Heather Hall
Managing Principal, Integrated Marketing Strategy for Acxiom
7. 7
• Distributors and customers who are
buying Artistry products for themselves
and their family
• Buying beauty products for their own
personal use
• Campaign Type: B2C
• Distributors who are using Artistry
products to build a healthy and
sustainable business
• Buying beauty products and reselling to
business prospects and customers
• Campaign Type: B2B and B2B2C
CHALLENGES
TWO POPULATIONS WITH VERY UNIQUE NEEDS
PRODUCT FOCUSED POPULATION BUSINESS FOCUSED POPULATION
9. Develop a targeted relationship
strategy by reinforcing the new
Artistry brand identity & expanding
knowledge of the products
Create a platform for relevant
conversation that provides
knowledge and delivers a solid
call to action
Maximize the ROI of the
Youth XTend launch and
Artistry restage investments
Empower Amway’s
Business Owners to
succeed
BEAUTY CRM STRATEGY
THE GOALS
9
10. 10
1. Quantitative Analysis
2. Qualitative Analysis
3.
Synthesis
&
Findings
4.
Strategic
Roadmap
DEFINING THE DESTINATION AUDIT THE
CURRENT
SITUATION
MAPPING
THE
JOURNEY
BEAUTY CRM STRATEGY
THE APPROACH
11. OVERALL SCORING* JAPAN EUROPE KOREA NORTH AMERICA MALAYSIA INDIA
Technological Sophistication A A A A B B
Direct Marketing Experience A B A A B B
Overall Ranking & CRM Readiness A A A A B B
Capability Gaps A A A A B B
CURRENTLY USING BY CHANNEL
Print Mail X X X X X X
Email X X X X X X
SMS X X X X
Outbound Telemarketing X X
Inbound Telemarketing X X X
Website or Banner Retargeting X X X X X
Facebook X X X X
Twitter X X
Other Social Media (please identify) YouTube YouTube You Tube
Other tactic not identified (please identify and describe)
Mobile, QR
Codes
ePub Campaigns
& eNewsletters
AMARKET
BMARKET
• Experienced staff
• CRM technology in place
• Multi-channel capabilities
• Less experienced staff
• Disparate technology
• Single channel capabilities
B
A
B
B
B
B
B
A
A
A
A
A
A
A
A
A
A
B
CHALLENGES
CRM CAPABILITIES VARY BY REGION
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13. ARTISTRY
LOYALISTS
ARTISTRY
GROWTH
ARTISTRY
PROSPECTS
Definition: top 33% of buyers based on a RFM
calculation
Opportunities: expand wallet share
Call to action: advocate Artistry brand + benefits
Definition: bottom 66% of buyers based on a RFM
calculation
Opportunities: drive incremental Artistry sales
Call to action:Cultivate Artistry loyalty & engagement
Definition: high propensity of being an Artistry
Loyalists (who do not buy Artistry)
Opportunities: drive new beauty customers
Call to action: product trial
KEY ARTISTRY SEGMENTS
MASS BEAUTY SEGMENTS WERE DEVELOPED AMONG THE LEFT OVER POPULATION
13
15. 15
LAUCH
CAMPAIGN
1 campaign
Timing: 1 month
POST-LAUNCH CAMPAIGN
1 campaign
per month
Timing: 7 months
PRE-LAUNCH
CAMPAIGNS
2 campaigns
Timing: 2 months
*
ARTISTRY LOYALISTS – BUSINESS FOCUSED
ARTISTRY LOYALISTS – PRODUCT FOCUSED
ARTISTRY GROWTH – BUSINESS FOCUSED
ARTISTRY GROWTH – PRODUCT FOCUSED
ARTISTRY PROSPECTS – BUSINESS FOCUSED
ARTISTRY PROSPECTS – PRODUCT FOCUSED
CRM PROGRAM SCHEDULE
BY ARTISTRY SEGMENT (FOR ALL COUNTRIES)
*Once a Beauty Prospect converts , they will automatically move into the Growth or Loyalists Segment for Communication
16. PERSONALIZED PRODUCT
RECOMMENDATION
STEP 1: ARTISTRY CROSS SELL MODELS
• To improve the accuracy of the
product correlations we grouped
similar people together prior to
correlating their product
purchases and identifying the
best cross-sell opportunities
• Correlation models:
1. Artistry Loyalists Product Focused
2. Artistry Loyalists Business Focused
3. Artistry Growth Product Focused
4. Artistry Growth Business Focused
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17. PERSONALIZED PRODUCT
RECOMMENDATION
STEP 2: ARTISTRY DECISION ENGINE
• Assigned every Distributor a primary,
secondary and third skincare product
(3 products)
• Assigned every Distributor a primary,
secondary and third cosmetic product
(3 products)
• Assigned every Distributor a primary,
secondary and new cross-sell product
(6 products)
• Added business rules and automation
using SAS and Siebel Campaign
Management Automation
17
18. 18
YX WORKSHOP + BRAND TEASER CAMPAIGN
Business Focused
Pre Launch Stage
#
Targeted
% Emails
Delivered
% Emails
Opened
% Emails
Clicked
% Who
Attended YX
Workshop
Event
Loyalists 8,070 100% 45% 45% 20%
Growth 6,781 100% 34% 30% 5%
Prospect na na na na na
Grand Total 14,851 100% 40% 39% 15%
• Sent to Business Focused Artistry Loyalists and Growth Segments 2
months prior to YX launch
Email 1
• Register to YX Workshop event
• Get Your Free Gift When you Attend the Workshop
CTAs:
19. 19
BRAND TEASER CAMPAIGN
Product Focused
Pre Launch Stage
#
Targeted
% Emails
Delivered
% Emails
Opened
% Emails
Clicked
Loyalists 13,159 100% 28% 29%
Growth 18,104 100% 23% 19%
Prospect 26,026 100% 20% 16%
Grand Total 57,289 100% 23% 21%
• Sent to Product Focused Artistry Loyalists, Growth and Prospect
Segments 2 months prior to YX launch
Email 2
• Drive awareness and excitement for the Artistry re-brand
• Watch the Artistry re-brand Video
CTAs:
20. 20
YX WORKSHOP REMINDER SMS CAMPAIGN
Business Focused
Pre Launch Stage
616-295-7725
We noticed you haven’t signed up
for the Artistry Youth Xtend
Workshop in your city. Sign up and
get your free Artistry gift at the
event. Register here.
#
Targeted
% SMS
Delivered
% Who Attended
the YX Workshop
Event
Loyalists 4,727 95% 14%
Growth 7,615 95% 18%
Prospect na na na
Grand Total 12,342 95% 16%
• Sent 2 weeks later to those who did not register for the YX
Workshop who have a mobile on their profile
SMS 1
• Reminder to register for the Youth Xtend Workshop for those who
have not registered
• Get your free gift
CTAs:
21. MONTH THREE DIRECT MAIL CAMPAIGN WITH YX SAMPLE
Product Focused
Post Launch Stage
21
• Sent to Product Focused Artistry Prospect Segment who has not
purchase YX during the campaign
Direct Mail 1
• Try the YX Serum 1-time use sample
• Purchase YX Serum full size product
CTAs:
#
Targeted
% YX Purchase Rate
(Test)
YX Sales Per
Buyer
(test)
Lift in YX Sales
Per Buyer
(control)
Lift in YX Sales
Per Buyer (test
vs. control)
Prospects - English 8,010 0.20% $ 74.56 $ 66.28 $ 8.28
Prospects – Mandarin 13,147 0.25% $ 70.30 $ 70.70 $ (0.40)
Prospect – Malay 8,833 0.06% $ 66.28 $ 66.28 $ 0.00
Grand Total 29,990 0.18% $ 71.19 $ 69.29 $ 1.90
Example only
22. MONTH ONE FOLLOW-UP CAMPAIGN:
Business Focused
Post Launch Stage
22
#
Targeted
% Emails
Delivered
% Emails
Opened
% Emails
Clicked
Loyalists 1,122 99% 29% 12%
Growth 353 99% 27% 8%
Prospect 208 100% 26% 11%
Grand Total 1,683 100% 28% 11%
• Sent to Business Focused Artistry Loyalists and Growth Segments 1
month after the YX launch
Email 8
• Purchase the recommended skincare products
• Product images and urls are personalized fields that link to the
recipients next-best-product values
• Creates more than 200,000 unique skincare recommendations
in the post-launch stage
CTAs:
Primary
Skincare XSell
Secondary
Skincare
category
Secondary
Skincare XSell
23. 23
FINANCIAL IMPACT FOR THE MALAYSIA PILOT
Incremental Income: $76,365 Marketing Expenses: $57,500 ROI:133%
$50K
$150K
$250K
$350K
$450k
$424,229 ($12,925)
Incremental
Gross
Sales
CRM
Discount
Dollars
Net
Incremental
Sales
Cost of
Sales
Marketing
Expenses
(design +
mailing costs)
Marketing
Income
(Profit)
Incremental
CMAB
$411,303 ($246,782)
$164,552 ($57,500)
$76,365
ROI: 133%
24. IMPACT ON OTHER LINES OF
BUSINESS
NUTRILITE
• Building a Loyalist, Growth and
Affinity segmentation for Nutrilite
• Creating correlation models and
decision engine for personalized
Nutrilite product recommendations
• Building SAS code and campaign
automation for inclusion in a
lifecycle crm program
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