Challenge
A major producer of salty snacks observed a decline in the effectiveness of its mass-market marketing campaigns. Despite significant investment in general television and online advertising, the company was grappling with low conversion rates and minimal consumer interest in its new product lines. The solution was to implement Marketing Automation to deliver more relevant and engaging advertising content to individual consumers.
Action
The company utilized iPresso to build a highly targeted, data-driven marketing framework:
- Collecting and Analyzing Consumer Data: The iPresso system was used to gather data from multiple sources, creating a comprehensive consumer profile essential for effective content personalization.
- Dynamic Segmentation: Consumers were dynamically categorized into highly specific and precise segments, including:
- Lovers of Classic Flavors: Traditionalists who consistently chose "classic salted" products.
- Novelty Seekers: Consumers who made a point of trying every newly launched product.
- Travel Packaging Fans: Individuals who preferred mini-snacks and were typically on the go.
- Parents: Shoppers looking for healthier, lower-salt versions of snacks.
- GeoPoints Database for Local Promotions: The company used iPresso to assign consumers to a specific retail store based on the distance from their place of residence. This created a GeoPoints database to facilitate highly localized and personalized communication.
- Real-Time Marketing Implementation: The company launched a series of automated marketing campaigns closely tailored to the preferences and segment of each consumer. Real-time marketing was specifically employed to inform consumers about products currently available in their designated local store.
Results
The shift to personalized, automated marketing delivered strong returns across key business metrics:
- Consumer Engagement: Engagement significantly increased by 23% (measured by metrics like email open rates, ad clicks, and social media interactions).
- Product Sales: Overall product sales grew by 20%.
- Retention: Customer retention increased by 18%, as consumers were more likely to return to the store and purchase additional, recommended products from the brand.
- Cost Reduction: Marketing costs were successfully reduced by 13% due to the improved targeting and efficiency of the advertising spend.
