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Case Studies

Drive trial and sales of my private label

Inspiring Customers to Stock Up Increases Sales

A retailer wanted its customers to buy more of its private label products in a single visit. Customer insight from dunnhumby revealed that the retailer’s customers benefitted from better value pricing when they buy in multiples, and respond to the opportunity to save when buying in bulk.

The action

To inspire a ‘stocking up’ mentality amongst customers, the retailer opted to trial a ‘Multiplier’ promotion beginning in January 2012. Customer data helped the category managers select the most relevant threshold for a specific product (e.g. buy two, buy three, buy four, etc.).

The results

The ‘Multiplier’ promotion was a success:

  • Sales increased by 62%, driven by customers buying more units per visit
  • New customers were also attained through the program (penetration +4%)
  • The promotion also stimulated customer interest in more items — 44% of customers had not bought any of the promoted items in the previous 12 weeks