Advertiser: Tesco Brand: Tesco Creative Agency: - Credits: -
In a competitive retail landscape, we were challenged to help Tesco acquire customers by stealing share from Giant. We also need to drive Tesco Clubcard membership app downloads. While mobile is an effective channel, location based online to offline initiatives often lack relevant reach and attribution accuracy, making it an expensive tactic.
Insight, Strategy and the Idea
Our target customers are Value Seekers driven by price offers. Customers are willing to go through lengthy process to redeem a good offer. However, instant discounts are only effective in attracting bargain hunters with low retention. Cashback offers, however, drive better retention rates. Our strategy is to identify our audience of Giant customers, push for app download with a good cashback offer and drive redemption at a Tesco store. Based on Precision Marketing principles, we collaborated with our location data partner to create a hypertargeted solution that enables audience profiling based on historical visits, ad serving using realtime proximity and optimize conversion efficiencies.
We identified our target audience by selecting 7 Tesco stores, tagged 13 nearby Giant stores, identified visitors to these Giant stores in the past 90 days, and created a custom audience segment. We served them an ad when they’re within 5km of selected Tesco stores with the cashback offer redeemable at their next visit through the Tesco Clubcard membership app. To drive urgency, we limited redemption to the 3week campaign period. We closed the conversion loop where we tracked redemption of the offer through the app at the physical Tesco store. Throughout the campaign, we optimized reach and conversion efficiencies by analyzing ad performance against store redemptions using the app.
Results and Effectiveness
We successfully acquired competitors’ customers and drove actual conversions and signups for Tesco with a small media budget of RM50K. The campaign generated over RM1M in incremental sales with a 7x ROAS.