Sales in the pet food category were on the decline at a global retailer; consumers had been increasingly turning to pet shops for their needs. Pet category products have a high associated spend, so attracting customers and building loyalty in this valuable category was important to the retailer and its pet food brand suppliers. To ensure it was reaching out to the right consumers in the right way, the retailer reached out to dunnhumby.
Based on an analysis of customer behavior, it was determined that a pet-themed mailing to reward select customers would be the best approach to help strengthen the relationship between the retailer and its customers and increase spend. Mailings were sent to 35,000 customers in both the Czech Republic and Slovakia who were targeted for shopping around the pet category. Insight indicated that customers would respond to a product discount, so the mailer offered a motivational discount of 35%, and communicated product benefits.
The reward compelled recipients to shop the brand and retailer featured in the mailer, and post period sales indicate loyalty is growing: