To help Start-rite find a solution to their problem, RedEye carried out a data analysis project to identify RFM groups from Start-rite’s customer base, looking at their transactional data from the last five years. VIP groups through to lapsed and lapsing groups were identified along with the strategy and objectives to maximise their lifetime value. Based on this, RedEye created a unique merge field which allowed Start-rite to pull unique codes into their emails to incentivise lapsed or lapsing groups, this avoided the issue with using generic codes that can be shared and used multiple times.
Start-rite were able to use these codes within email to target specific groups of customers, for example:
- New customers who had made a purchase - to incentivise a second sale and increase the customer’s life time value
- New customers who have not yet made a purchase - to incentivise the first sale
- Customers who had become lapsed - to re-engage and encourage them to shop with Start-rite again
Having set up a unique merge field for each of these groups, Start-rite were able to offer larger or smaller discounts where appropriate e.g. 15% for reactivation and 10% for welcome.