Customer Value - Asda Measurement
ASDA
We helped ASDA to measure the value of their CRM Marketing activity to secure additional budgets
One of our key objectives for ASDA was to help marketing understand the impact of Customer Relationship Marketing.
We introduced a range of new measurements that helped them to understand the 'true ROI of CRM Marketing'
We created a master CRM Marketing control cell to evaluate at a customer level, the transactional performance of CRM Marketing' over a 12 month period. Only those receiving all campaigns were included in the overall evaluation – therefore giving a true reflection of Customer Relationship Marketing performance.
We were also able to track the overall movement within their RFV (Recency, Frequency, Value) model for the same period. This replaced the previous campaign level evaluation strategy that provided campaign level uplifts but not overall customer performance.
We also helped marketing to understand the “value of CRM Marketing ” by evaluating the incremental spend of online customers derived from those who were opted into communications. Bespoke data analysis was undertaken working with the Customer Analytics team that showed considerable uplifts in spend and frequency of shopping of customers opted-in to receive CRM Marketing communications compared to those who were opted out.
The insight was further evidenced later when Brand Index was used to show the incremental value of CRM Marketing recipients compared to non-recipient customers via their brand health panel.
In the past Customer Relationship Marketing only measured online spend as this could be directly tracked from digital communications. This meant that the impact CRM Marketing was having on in-store sales was not being measured.
We undertook credit card matching based analysis via the Customer Analytics team of online customers to show the penetration and level of in-store spend. In most cases the in-store spend of online customers was more valuable than the online spend. From this analysis we are able to estimate the in-store value of CRM Marketing activity.
Finally, we helped the CRM team to more accurately forecast the impact of their activities. We created a baseline with seasonally adjusted measures for each campaign and used these to predict the impact of adjusting send volumes, frequency and channels on revenue forecasts for GHS/George online businesses.