Market Potential
The Client: A Global Manufacturer of Consumer Products
Back to Case Studies »Situation
The client had flat or low growth same-store sales.
Approach
Segment the client’s current customer base to identify their most valuable customers.
Solution
We compiled data and segmented the current customer base to identify the characteristics of the client’s most valuable customers. Prospects were then scored with most valuable customer codes. An acquisition offer was then developed on "look-alike" most valuable customers and assisted the client with executing direct marketing campaigns.
Results
Most valuable customer segments contributed 80% more incremental revenue than control group with a 5 – 6 times improvement in response rates over a random control group. There was a return on promotion of 200%+ and 75% reduction in customer acquisition costs.