Cloud Marketing Asset Management Solution Drives Personalized, Localized Direct Marketing for Grocery Wholesaler
Chain-wide online platform empowers local stores’ marketing and cuts production costs in half via automation
One of the country’s oldest and largest wholesaler grocers operates in over 30 states with nearly 350,000 employees. Many of the stores in this chain function under different names and brands. To meet the needs of their customers this business invests heavily in direct marketing, especially mailers.
More and more grocers faced a market in which many of their customers were looking for new ways to save money, by eating out less and cooking at home more. The client saw this as a golden opportunity and decided to team with Strata Company to refresh its customer base, bringing in new shoppers and making them loyal customers…in a cost-effective and efficient manner. With a nationwide network of independent stores, individual brands, and limited budgets, the challenge was for each store to have the ability to showcase its particular identity and brand and affordably increase market share.
Strata proposed a twofold strategy for this grocery wholesaler:
- Target new residents who had recently relocated to one of their markets. We created a direct mail program that would quickly reach and engage new residents who had relocated near a network grocer. A key piece to the success of these programs is the accuracy and correct usage of data, which Strata is known for. We worked with the client to understand key factors of their different markets and new mover data through several sources to yield the cleanest and most complete data set.
- Empower local stores with the ability to customize collateral based on their unique brand/offerings. We recommended a cloud-based solution that would allow easy customization around each brand and store, keeping startup costs low while showcasing store-specific promotions and specialties. Strata’s Marketing Asset Management (MAM) system provides grocers with easy access to marketing collateral templates that they can easily modify with their logo, brand standards, location map and identity.
The store-specific capabilities go beyond that, combining production and fulfillment so each location gains the benefit of the combined program volume and economies of scale. For most grocers, setup is as easy as furnishing a logo and perhaps an hour’s worth of time to make some choices on content. Strata does the rest.
This enterprise-wide solution accomplished a number of objectives:
- Supports local marketing and meets corporate goals and brand standards
- Cut production costs in half via automation and efficient scheduling of mailing materials
- Increases speed and disperses messaging faster than competitors’ programs
- Drives more traffic to stores by influencing development of consumers’ new shopping patterns
But the successes didn’t end there. Over a one-year period, 4,359 New Mover postcards were mailed, each carrying two coupon offers for $5 off a $25 spend. The 4,359 postcards mailed netted 900 total redemptions – a 20.6% response rate. Assuming that each of the 450 new residents redeemed both coupons, the true response rate would be 10.3%. On top of this, the average annual worth of a loyal customer in their first year was projected at $4,500. This meant that the new customers combined worth was $675,000, a major success for a program that cost a little over $3,000.
Want To Achieve Similar Results?
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