Showing posts with label direct-response. Show all posts
Showing posts with label direct-response. Show all posts

Tuesday 2 October 2012

Playing with your Clubcard data at Tesco?

                                                                                        pic: Tales from the playroom
Tesco plans to develop 'products and games' to give Clubcard-holders 'simple, useful, fun' access to their own data, to help them 'plan and achieve their goals'. The retailer's aim is to build personalised access to customers' own 'data capability plans'.

The issue for Tesco has to be the impact of this new access and awareness on consumers, negative and positive. Latest legislation gives consumers access to their personal data, but this is inertia territory, with relatively few bothering to check how much a retailer knows about them.
This is a long way from deliberately turning a spotlight on the extent of that data, especially if it hits some of the main stream media on a 'slow news' day....
Making positive use of the insight via permission marketing seems more productive.

Pragmatic use of personal data
Many years ago, when data-storage costs were prohibitive, direct data-based marketing was focused on specialist B2B targets like doctors. At the time we  happened on ‘lifetime value’ by accident, in that medical students were picked up on Day One at medical school, and left the database via the graveyard. Regular visits by medical ‘reps’ coupled with script-tracking gradually enriched the database over time.

Using the insight
This data-source was used as a basis for targeted mail-shots, personalising the message as much as we dared at the time. In order to optimise the persuasive effect, we focused on medical needs both functional and emotional, selected appropriate features of our brands and connected them via a benefit statement. Rep feedback and script-output then validated the process….

This meant making very selective use of the data on record with the sole objective of meeting doctor-needs.
We seldom felt the need, or dared to let the doctor know that we knew he had red hair…

Tesco might benefit from imposing the same self-restraint and emphasis on their use of Clubcard data…

Tuesday 7 August 2012

Tesco trials UK’s first virtual stores

                                                                                      pic: The Financial Times
Tesco on Monday launched a two-week trial of the UK’s first interactive virtual grocery store at London’s Gatwick airport, following positive results in Korea,  an innovation which generated 25 million online posts around the globe. See Tesco Vid

Holiday-makers in the North Terminal departure lounge can browse 80 core products, from milk and bread to toilet paper, displayed on 10 large refrigerator-sized touch screens. They can scan bar codes with a smartphone to place them in a online shopping basket, and arrange for delivery when they return from holiday.

On-site help
There are staff on hand to explain how it works, to talk shoppers through how to download the app and sign up to – if they aren’t already using it – and even a couple of iPads to let customers sign up there and then.

Roll-out options?
If the trial is successful, Tesco could position the interactive screens anywhere members of the public congregate, the only limitation being cost-effectiveness…

Korea reality vs. the UK?
However, a key difference between the two markets is that the online-distribution infrastructure in Korea is so well advanced that it is possible for commuters to place an online order en route and have the goods delivered on arrival home.

UK distribution limitations
In the UK it will be necessary for Tesco to so manage expectation that the new facility will be seen as an enhancement to normal online shopping, fitting in with the shopper’s routine ordering-delivery process.

Direct vs broadcast media?
In terms of funding, the bar-code units will probably replace traditional poster-advertising, whilst much of Tesco’s Press and TV media could possibly be converted to direct-response advertising by incorporating bar-codes wherever possible. It would also be possible to auction some premium product-space to appropriate brand-owners.

Threat to traditional media?
The future of Tesco’s remaining media usage, thus challenged by measurable response, has to be open to question, in these unprecedented times.
In response, major brand owners may explore the application of bar-codes to their own eposter advertising, directing consumers to trade-partner retailers, by negotiation…

Either way, we are on the brink of fully complementary shopping, adding another spoke to the wheel of omni-channel fulfillment…
A pointer for your omni-channel NAM?