THE BODY SHOP

Card #: this visit: Points ints: Total Po 123456 7890 12 276

CASESTUDY

Match 3

and WIN

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e 10% Any 2 sav 15% e Any 3 sav Ipsum Via Lorem Sep 2010 until 12 ed Valid pli T&C ap

THECHALLENGE
The Body Shop has 64 stores in 15 cities across Indonesia. Their customers consist of those in middle to upper-income group with high propensity to spend on haircare, facial care, cosmetics, bath and product for themselves and their family members.
Having successfully deployed Visible Results Graphicard Loyalty System - and acquiring over 316,000 members - The Body Shop wanted to gain a greater understanding of customer buying patterns, preferences and basket analysis. Whilst the business had seen an increase in customer basket across the first four years, it was critical to ensure this growth remains constant. In order to achieve this, The Body Shop needed to ensure that their loyalty program members - The Body Shop People - would remain active, increase their frequency and spend, and redeem accumulated points frequently. They also wanted to develop in-depth profiles of existing customers, and increase overall sales by acquiring new members. In short there was an increased need to be relevant in their marketing and maintain regular member engagement.

THESOLUTION
Given the insights and experience gained from working with The Body Shop, Visible Results recognized the need for a Segmentation and Behavioural Marketing solution. By gaining greater insights into customer behaviour, The Body Shop would be able to devise effective marketing strategies to strengthen customer loyalty and increase the average transaction basket. As part of the segmentation strategy, Visible Results formulated multiple profile views of the customer. These included clustering the member database and layering the following profiles:
Recency Frequency & Monetary Threshold model (RFM) Customer Life Stage Program Life Cycle Customer Basket Customer Transaction History, Point Balance & Redemption Patterns Personal Interest Geo-Demographical

The segmentation allowed The Body Shop to develop a comprehensive customer behavioural profile. This enabled Visible Results to turn customer and transactional data into marketing strategies, which would deliver tangible benefits.

Visible Results Singapore 63 Club Street Singapore 069437

T : 65 6236 0135 F : 65 6532 7335

ghall@visibleresults.com.sg

THE BODY SHOP

Card #: this visit: Points ints: Total Po 123456 7890 12 276

CASESTUDY

Match 3

and WIN

s! tulation Congra a winner Youre

e 10% Any 2 sav 15% e Any 3 sav Ipsum Via Lorem Sep 2010 until 12 Valid plied T&C ap

THERESULTS
Average Campaign ROI improved over time and currently averages at a ratio of 65 to every dollar spent.
The consequence of this process was precision marketing to The Body Shop customers. Visible Results was able to deploy an effective Contact Strategy - one with relevant and personalised messaging, offers, benefits and rewards for members - which created a more engaging and rewarding customer journey. The Behaviour Segmentation also enabled Visible Results to put into strategy a behavioural change using past transaction behaviour to predict and shape future behavior - hence identifying less profitable and less engaged members, and helping The Body Shop direct their marketing spend to more profitable, engaging segments.

INSUMMARY
The result for Body Shop was more costefficient marketing: With Precision Marketing in place, The Body Shop can now communicate to their members more regularly, in a more targeted and accountable manner. Average Campaign ROI improved over time and currently averages at a ratio of 65 to every dollar spent. There is now constant engagement; and The Body Shop brand remains top of mind amongst its loyal customers The Body Shop can now achieve greater brand affinity, customer loyalty and increased sales The Body Shop People customer loyalty program in Indonesia is now in its 7th year and member sales contribution has since more than doubled to 61%. The Body Shop has not only seen a continued increase in active members, but its member average basket value has increased by 120% as compared to non-members.

Visible Results Singapore 63 Club Street Singapore 069437

T : 65 6236 0135 F : 65 6532 7335

ghall@visibleresults.com.sg