1. 2012 An Post Winners’ Breakfast
Campaigns Presentation by;
David O’Sullivan, Sean Collins,
Director Customer Insights & CRM
Manager
Ignition-integrated ideas people SuperValu (Musgrave Retail Partners)
New Ways to Save every day Spend Less with SuperValu
2. Campaign Background
What is SuperValu Real Rewards?
SuperValu is part of the Musgrave Group, Ireland’s largest grocery
and supermarket retail chain.
SuperValu comprises 190 individually owned and locally based, retail
stores operating across the 26 counties and headquartered in Cork.
Real Rewards is SuperValu’s fob based Customer Loyalty programme
which first started in 2009.
For each €1 a customer spends, they collect a point towards benefits
such as low cost Getaway Breaks and 5% off Voucher once they
reach 400 points.
3. Market Background
An already cut-throat grocery / retail market was further compromised
by biting recession & growing promiscuity amongst shoppers.
SuperValu saw opportunity to engage Real Reward members on a much
more direct, personal & commercial level & cultivate value/credibility in
the programme by delivering direct benefits through a simple,
measurable channel.
In 2010, SuperValu undertook test mailings to evaluate Direct Mail at the
3 key family spend occasions of Easter, Back to School & Christmas.
Voucher redemption was on average greater than 20% for the 3
mailings.
4. The Green Light for Direct Mail
These impressive voucher redemption results convinced SuperValu that Direct
Mail as a strategic channel for Real Rewards would;
Enhance long term relationship with shoppers
Increase shopper retention
Build loyalty
Increase spend over time through realisable target spend.
SV board gave a green light for a limited 2011 Real Rewards Direct Mail
campaign, but were conscious of it need to deliver Real Results
Feb 2011 in response to budget & government cuts, New Ways to Save
Everyday was launched on TV. It was integrated visually with DM & featured a
store owner with a blackboard, which was used to house the savings.
This was the first of many Real Rewards mailing campaigns undertaken, which
eventually totalled over a million people being mailed that year.
5. Using Data as a Creative element
The overriding key issue for the successful development of the campaign was the
effect use of the Real Rewards database
Data analysis of purchasing behaviour created 3 clearly identifiable consumer
spending segments; New Members, Mid-High Spenders & Lapsed shoppers
Voucher Value & realisable target spend increase assigned to each shopper
Letter to ‘do all the talking’ and was a vehicle to connect and involve RR shoppers
in value voucher offerings through a high degree of variable alpha-numeric
personalised data within a simply tailored letter format.
Letters harnessed the potent and powerful impact of conversational copy with
the data, in a template format originating from each local store / Manager, that
welcomed, engage & incentivized each particular type of Real Rewards shopper.
6. Getting the Data-Basics right
35k M
ks id-High k s
uchers, 2 W Spend ch ers, 2 W
emb ers – 2 Vo ers – 3 s 4 Vo u
23k New M V oucher
s, 3 Wk psed S hopper
s 32k La
7. Personalisation… Knowing the Customer needs
4 lower value Vouchers
catered for smaller more
frequent shopping patterns
Variable Voucher
Savings Total
Total savings
available with
Localised 5% voucher
Store Name
Name of Local Owner
or Manager
Personalised
Variable Voucher Value
Vouchers
Shoppers’ 2D Barcode for
Target Spend post mailing analysis
8. New Ways to Save… Real Results
Voucher Redemption Averaged 19.7% across 3 letter types
Big benefit was that during an off peak period shoppers bought into
SuperValu because of the relevance of the offer and its timing after the
budget and government cuts.
15% of the lift generated was maintained in the following 8 weeks within
the +55 year old segment (Lapsed Shoppers) targeted
12% of the lift in spend generated was maintained in the following 8
weeks in the reduced spend segment (Lapsed and Mid Level shoppers)
9. Real Rewards Pre-Christmas Campaign
Spend Less with SuperValu
Winner of Gold for Best High Volume
Presented by Sean Collins
Customer Insights & CRM Manager
10. From the ground up….
SuperValu “A brand you can trust”
In challenging times, maintaining loyalty is imperative
800,000 active members through 190 independent retailers
> 1 Million Real Reward transactions /week
100k 5% off Vouchers earned every week
Challenge to SuperValu was how to build from this platform
Communications “on brand”
Value at the centre
Relevance obvious to the consumer
11. A passion for Retail …
For 190 retailers; ”if my wife get this….”
Must enrich the offer
Must not alienate member segment
Must have appeal to non-Real Reward members
In 2010 we were told, “Here’s a bit of rope ….”
Easter, BTS & Christmas
Success was clear by end of day one of BTS
Management team convinced to invest in this channel
Retailers … coming on board but more work to do…
‘Kicking & screaming…’ into a CRM plan for 2011
Won total trust by the first week in February.
Ownership / Passion - Delivered numerous DM pieces
12. “Got it right in 2010 – Can you do it twice ?”
• Q3 & Q4 where always going to be about winning 1 week
• Market won’t be taken by surprised again in 2011
• Consumer wanted “To spend less for Christmas & take the
fear out of January”
• Momentum had to build from earlier so process started in
October & run into January
– Win back those who wavered in Oct
– Grow engagement with mid loyal in Nov. through max
relevance : Multiple different offers x 5 different groups
reflecting current behaviour
– Convert mid to top & hold top @ Christmas and…
– build momentum into January
13. Integrated message through all channels
Over 1/3 of active
members mailed
Many different Saving :
Spend offer levels
For each of 5 different
groups
New Members
Top /Mid/Etc.
>30 variable value offers & targets
14. Integrated message through all channels
Keep the message simple
Back Page Getaway Breaks Offer
Spend less!
Customised member data
>30 variable
offers & targets
15. Real Rewards, Real Results we can Vouch for
• Own shoppers VFM ratings @ record high pre Xmas
• >25% voucher redemption
• Higher than expected sales lift amongst those mailed
• Met the challenge of equalling SuperValu’s best ever
Christmas week in an even tougher 2011….
• And beat it...
• SuperValu share rose to 20.2%
• 2012 collaborative mailings with suitable suppliers
16. Driving Real Value for suppliers
Strong co-branding
Customer selection
down to current
item level
purchase
behaviour
Real value to drive
strong engagement
2D Barcode
links member
to redemption