Enhancing Campaign Effectiveness through Customer Segmentation for a Courier and Logistics Company

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Case Study
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

Worker With Scanner Making Review Of Goods In Warehouse

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:

  1. Lack of meaningful analysis for planning and evaluating marketing campaigns
  2. Difficulty in service improvement and new customer acquisition
  3. 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:

  1. Employing a design-thinking methodology in collaboration with senior stakeholders
  2. Analysing three years of historical data, including transactions, customer applications, and demographic profiles
  3. Developing an RFM (Recency, Frequency, Monetary) segmentation model using fuzzy matching
  4. 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

Results and Impact

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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