A $5 billion a year retailer
Company sales are flat and margin is starting to erode. Need some way to establish and maintain a competitive advantage in the marketplace.
Plan of Action
Reviewed current database capabilities, marketing plans, market research and data mining capabilities. Talked to senior management to understand long-term vision for the company.
- Developed plan for outsourced database to begin collecting and using customer information.
- Reduced advertising expenses by segmenting audiences and matching current purchasing to segments.
- Instituted data mining to better understand customer segments and increase effectiveness of direct to consumer advertising.
- Instituted new tracking program to capture more consumer data and tie it to individual purchases.
- Tested new loyalty program ideas to understand how they might impact future retention.
- Developed new segmentation system that was introduced to the field sales organization in order for them to better serve their customers.
- Developed local marketing plans to utilize the data and move from a one size fits all to a more targeted approach.
- Worked with key suppliers to “share” data insights and help develop more profitable strategic partnerships.
Regained sales growth in 2004, after two flat years.