Personalization – Groupe Aeroplan’s route to campaign success

lmg-campaigns-dev-management2

Overview:

Groupe Aeroplan (LMG), one of the largest loyalty program implementation and management companies in the world, owns and operates UK’s largest customer program, Nectar. Nectar has many partner companies including the supermarket chain Sainsbury’s and BP, and serves more than 50% of households in the UK. As a routine outbound marketing campaign LMG reaches out to its customer base every week with a mailer named PUM.

Challenge:

Aeroplan had a rapidly growing customer base, billions of loyalty miles transacted yearly and exclusive new partnership signups occurring on a monthly basis. Hence, communicating with members, balancing partner needs, ensuring compliance and delivery processes were reaching high levels of complexity.

Aeroplan wanted to initiate campaigns based on personalized, cross-channel conversations and customers’ preferences, to strengthen loyalty and deepen relationship. Using customer transaction and behavior data to build the solution, Xerago would have to dynamically create appropriate triggers to improve conversations. The solution would have to include detailed measurement and reporting capabilities as well to monitor impact.

Solution:

Xerago conducted a complete analysis of the client’s technology environment keeping in mind the existing marketing infrastructure – that included operational CRM systems like Oracle, third party retailers and affinity partners’ databases, and Unica Campaign – the campaign automation tool.

Xerago was able to initiate the numerous campaigns required under each marketing plan along with their specific offers and channel strategies. Collaborating with the marketing team at Aeroplan, Xerago helped define campaign objectives which were then mapped to the Unica Campaign which allowed the CRM analysts at Aeroplan to create personalized campaigns relevant to the offers, undertake market segmentation and fine tune campaign relevance.

The following are couple of examples of how Xerago helped Groupe Aeroplan leverage marketing investments to drive customer loyalty:-

#1 On-boarding campaigns

Xerago designed and automated a multi-wave communication plan designed to welcome new members, giving them a quick overview of various partner offers. Using the integrated Unica suite, Xerago defined the overall campaign objectives, content pieces and initiated automatic welcome emails each time a new member entry was detected. A four stage multi-wave email campaign was executed to drive the communication that showcased information on accumulating miles, redeeming rewards and how to maximize the overall Aeroplan experience.

#2 Partner Satisfaction campaigns

Xerago also worked to with Group Aeroplan on partner satisfaction campaigns. Xerago identified the need to build a propensity model that could analyze the past behavior of premium members to predict future behavior. This would be critical to improving campaign response rates.

Xerago built a propensity model that identified premium members who were most likely to purchase a specific partner brand of an automobile. The identified members were invited to participate in a survey designed to understand their car interests and buying behaviors. The messaging for the email campaign i.e. mailer copy, subject line and call to action was tested and fine-tuned before the actual campaign.

Post go-live, responses were dynamically scored and tailored offers were presented along with ‘Thank You’ messages. Based on participants’ scores limited offers with expiry dates such as test drives at dealerships and purchase incentives like one mile for every dollar were offered.

Results:

Xerago delivered remarkable results as a result of these customer campaigns. Given below are the details:-

On-boarding campaigns:-

  • 10% increase in activation rates
  • 64% increase in unique click through rate
  • 96% increase in new members clicking multiple mails
  • 25% faster activation for first time card use
  • 20% overall boost in activity on Aeroplan and partners’ sites

Partner satisfaction campaigns:-

  • 48% open rate
  • 75% unique click-through rate
  • 85% conversion rates for completed surveys
  • 32% qualification for the test drives
  • 40% opt in for future partner communications
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