Using data and analytics to target the best audience and make mailers matter more.
Since our mission is to do things people love, it makes sense that we’d be in the matchmaking business. When we set out to help a national casual dining chain test and improve its mailing strategy, we focused on the audience that was the best match — those who would redeem the coupon mailer and spend incrementally.
Using our data and analytics arm to build a “best customer look-alike model,” we created a targeted mailing list of households that mirrored the characteristics of the restaurant’s best loyalty customers, as opposed to a neighborhood-wide saturation mailing strategy.
The effectiveness of using a much more targeted, precise list was easy to see:
- Higher redemption rate (3.9% vs. 2.9%)
- Higher profit per household ($0.12 higher)
- Higher overall check value (5% more)
- Higher rate of loyalty club sign-ups (31% more likely)
Paid and purchased lists are great for casting a wide net, but will never give you the results that a targeted audience will. Even with a higher price associated with a targeted list, the results (like a higher profit per household and increased loyalty) more than offset the cost.
There may be plenty of fish in the sea, but we’re big on using smart data tools to help you get right to the fish that matter most.