One-to-One Marketing Drives Sales and Customer Loyalty for Supplier Partners
Rite Aid has recently introduced a set of powerful new tools and programs that will further its one-to-one marketing capabilities and provide supplier partners with immediate and measurable opportunities to increase product sales.
It’s a multi-dimensional segmentation initiative designed to drive increased customer loyalty and sales. Over the past several months, the company has been working with a global leader in segmentation to mine through the shopping patterns of the entire wellness+ database to get a better understanding of how to market to each of them. The segmentation initiative is built on three distinct dimensions that intelligently drive the overall CRM efforts.
The first segmentation dimension confidently finds, defines and segments Rite Aid’s wellness+ customers based on how often they shop, how much they spend and what categories and products they engage with the most.
The second dimension of segmentation characterizes every product sold, based on a large number of attributes such as price, category, sub-category, brand and package size. It matches these product attributes with historical transaction data to see what factors over time regularly drive customers to the store.
The third segmentation dimension compounds targeting intelligence by understanding the customer’s price sensitivity over time.
Together, the three segmentations provide actionable intelligence to drive one-to-one marketing efforts. By knowing what drives each customer into the store and what behaviors customers have stopped or started, Rite Aid will know which products and categories to target for each customer and how much value to deliver to build loyalty.
“Measurement is the beauty of CRM and one-to-one marketing programs,” says Senior Vice President of Marketing John Learish. “Regardless of the channel or campaign, in every case our supplier partners as well as Rite Aid will have full transparency into what drove sales and what did not, as well as what can be done to further maximize the results.”
Rite Aid’s strategy enables it to target different shoppers according to their own unique requirements.
“We will maximize the equity of brands to help drive new customers to each category or drive one extra trip, win back brand loyal shoppers who are still shopping the rest of the store and secure the business of our shared best customers who might otherwise split their trips between us and our competitors,” adds Learish.
Learish says the company will continue to expand upon current one-to-one channels to drive segmentation campaigns, leveraging email, direct mail and register receipts to deliver offers to customers.
“Our goal is to grow our business with every single customer, while growing each category and brand’s share of the market at Rite Aid,” says Tom Trounce, senior director of CRM. “We can get there faster with the help of our best supplier partners and look forward to their support throughout the next fiscal year.”