We have a long-standing working relationship with IKEA Russia and last year they came to us with the goal of increasing sales of kitchens and kitchen-related products and improving quality perception. Also IKEA Russia was looking for a way to improve customer experience using customer feedback.
We wanted to identify potential kitchen buyers early in their consideration journey, however we only had access to historical offline store sales data, limiting our understanding of customer behaviour.
To overcome this, we developed a contact strategy utilising multichannel interactions by members of IKEA FAMILY (IKEA’s loyalty programme). This created a seamless kitchen purchase journey. Crucially, we sent unique URLs in customer emails that meant we could marry their online behaviour directly to in-store visits, giving us a holistic view of each customer.
We know that purchasing a kitchen is emotive and that a lot of thought goes into the process, so our initial newsletter was designed to be inspirational, using evocative imagery of quality family time together in the kitchen.
Customers who clicked through from their e-newsletters on relevant kitchen links and who had significant dwell time on specific kitchen pages were sent triggered emails, in near real time. Our insight was that customers who engaged with the kitchen content were most likely to be in the early considering stage and were hot prospects right then and there. By sending emails in real-time, triggered by their browsing behaviour, we could tap into that mindset right away and prompt them to take the next step on the journey immediately.
Our emails explained the kitchen buying process in simple terms and also showed customers how to use the IKEA Kitchen planner tool, allowing them to design their own kitchen while they were in the mood to explore.
This, in turn, drove them in store where, because of the unique URLs in each email, we were able to keep the conversation going even after purchase. Our first post-purchase email thanked the customer and provided their warranty. As they waited for the new kitchen to arrive, we wanted to inspire them to buy related kitchen products to put in it. We matched products specifically to their style of kitchen, which enabled us to send them personalised and relevant recommendations.
Finally, we wanted to reassure customers that IKEA cared about their experience, so we sent them a satisfaction survey at the end of the journey. This way, we could deliver improvements through continual learnings. We’ve created a bespoke suite of dashboards to help IKEA Co-workers see the latest results from the survey for each store and take appropriate action if satisfaction starts to wane. Below is an example of one report.
The inspirational kitchen content of our e-Newsletter clearly caught customer interest with 1 in every 4 people clicking through. The near real time triggered emails proved timely as well, with open rates of 30% and a CTR of 18%.
To measure effectiveness we set up a control group and after 12 months, incremental sales of kitchen and kitchen-related products were up 16% in comparison. Overall sales increased by 22%, resulting in a staggering ROI of 14,900%.
Our campaign has since landed us a win at the DMA Awards 2016, along with three further nominations across another two major industry awards – The Database Marketing Awards and The Data Storytelling Awards.
If you have a data marketing project that you think we could help you with, get in touch today.