Enhancing Campaign Effectiveness through Customer Segmentation for a Courier and Logistics Company
Industry: Courier and Logisitics
Challenge: Understanding Customer Behaviour and Improving Marketing Effectiveness
Solution: Customer Strategy, RFM Segmentation, Data Visualisation
Technology: MY SQL, Power BI, Excel
Situation and Challenge
A courier and logistics service provider sought to enhance the marketing effectiveness of their parcel holding and delivery service. This lesser-known offering allows customers to store parcels securely until delivery is convenient. The company faced several challenges:
- Lack of meaningful analysis for planning and evaluating marketing campaigns
- Difficulty in service improvement and new customer acquisition
- Limited understanding of customer purchasing patterns and value
The objective was to uncover insights into consumer awareness and purchasing behaviour to enable more targeted, effective marketing campaigns and drive customer engagement.
Insight and Action
Our approach encompassed:
- Employing a design-thinking methodology in collaboration with senior stakeholders
- Analysing three years of historical data, including transactions, customer applications, and demographic profiles
- Developing an RFM (Recency, Frequency, Monetary) segmentation model using fuzzy matching
- Implementing an automated reporting solution with Power BI/SQL for visualising customer value and margin contribution
Key outcomes:
– Identified twelve unique customer segments with distinct behaviours
– Created a comprehensive customer engagement strategy based on new profiles
– Developed four targeted marketing communication streams
Our intervention delivered substantial benefits:
– Predicted a 16% uplift in sales from the at-risk customer group
– Identified timing and relevance triggers to maximise campaign efficiency
– Highlighted the need for an integrated CRM and online communications tool
– Facilitated a multi-channel approach for integrated campaign execution
Key Achievements:
– Developed 12 new customer profiles for targeted marketing
– Established an analytical foundation for marketing strategy optimisation
– Enabled automated reporting and visualisation of customer value
– Provided actionable insights for improving marketing campaign effectiveness
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