Case Study – Customer Activation Program

Industry

Retail Apparel Industry

Function

Customer Loyalty Analytics

Business Challenge

The client, the largest baby apparel retailer in the Middle East with over 270 stores across GCC and India, aimed to enhance their business by leveraging customer activity insights to identify growth opportunities.

Project Objective

Provide an exceptional experience to the mothers of the core newborn target group
Engage with first-time shoppers and track their lifecycle
Enhance the newborn category by increasing visit frequency and spend
Build affinity among first-time buyers and boost engagement

Approach & Solution

The program focused on three goals: improving average transaction value (ATV), increasing purchase frequency, and facilitating category migration.

Classified customers into high/low ATV based on their initial purchase in the newborn segment.
Further segmented high ATV customers by visit frequency and number of categories purchased.
Offered loyalty points on a rolling monthly basis based on customer behavior and segment.

Project Outcome

Established the program as a monthly initiative across GCC with consistent initial performance.
Achieved a 4% increase in ATV for the newborn segment due to higher ATV purchases from responders.
Witnessed 63% of customers migrate to higher categories.
Realized a 104% increase in visit frequency among customers who responded to the campaign.