The context
For Uruguayans, TaTa is undoubtedly one of the most recognized supermarkets in the country.
If you happen to be walking through any neighborhood in the country, you will probably come across one of its branches. It has been 60 years since it opened its doors with a clear purpose: to lower the cost of living in Uruguay.
Today, TaTa is present in all 19 departments and has more than 90 stores, being one of the few that managed to reach the entire national territory.
As today's society demands, it has its own ecommerce store: https://www.tata.com.uy/.
The Uruguayan is a shy online shopper: he thinks about his decisions, waits for discounts and looks at prices. However, during the pandemic, the country's ecommerce had an exceptional increase in sales. After 2021 and with the return to the streets, this increase began to stabilize slowly.
In June 2022, we started working with TaTa. The company already had Power BI but found in Data4Sales a proposal that would help them to better visualize the buying behavior of their customers.
"Data4sales gave us the opportunity to deepen our knowledge of our customers, which allowed us to determine their future value. Thanks to this, we were able to implement improvements and take actions aimed at enhancing their experience."
The challenge
After some meetings and a joint analysis of the purchase orders of the last time, we were able to detect a group of customers who had not made any purchase in the online store for more than 90 days: these customers, whom we will call inactive, were the target of our strategy: it was time to win them back.
Who are the inactive inactive?
To understand what works with the supermarket, it is important to know what is the life cycle of a customer.
Let's learnsome key concepts 🤓
Shopperscan have several moments regarding the interaction with our ecommerce:
- One-timers: They bought only once
- Repeat: They bought twice
- Frequent: They bought more than twice
- Inactive: They have not bought for more than XX days (the number of days varies according to the vertical and the ecommerce reality)
- Prospects: Never purchased but interacted with the online store (subscribed to the newsletter, abandoned a shopping cart, created an account on the online store).
All this information is relevant for e-commerce because it will allow us to better understand the buying behavior of our customers and create personalized audiences based on our marketing objectives.
The strategy
Together with Pablo Silvera (eCommerce Director at Tata) and Manuel Del Castillo (Senior Commercial Analyst at TaTa) we asked ourselves a key question: how could we reactivate inactive customers to achieve customer loyalty?
Within inactive customers we focused on those who were inactive less time ago and who were more likely to purchase. In other words, those with the highest future value.
Our AI (artificial intelligence) engine, based on the transactions analyzed, creates 7 customer segments with different characteristics and behaviors. This allows us to visualize which are the customer segments with the highest future value.
Thanks to the information from the segments, we created a personalized audience and began to think about which channel we wanted to communicate through. We had something very clear: communication had to be specific for each audience, the customer had to feel that the company was talking to him and that it was offering him what he needed.
The solution
With the chosen audience, we began to think about how to communicate.
Bearing in mind that TaTa is present in all 19 departments of the country, we decided to create personalized campaigns by department to generate proximity and loyalty. Each area has its own characteristics and needs.
What did we decide to communicate?: We decided to start a campaign based on sending discount coupons designed for each part of the country, taking into account the average purchase ticket of customers.
How do we communicate?: We decided to communicate via WhatsApp. Most of the people who receive messages via WhatsApp decide to read them. The opening rate is one of the highest.
"Through Data4Sales we were able to understand our most valuable customers, develop strategies to build customer loyalty and acquire customers with similar characteristics. The tool allows us to establish a sustainable business in the long term."
