Dune London says that getting to know its customers through data-driven advertising has helped it to win incremental sales worth more than £4m over more than three years.
Dune, ranked Top50 in IRUK Top500 research, used personalised advertising, based on data analysis and insights, to deliver the right message to the right person at the right time. It took the action in order to win more customers and win extra spending from additional customers at a time when many retailers have been cutting their store presence on the UK high street.
Analysis from Dune’s data team and from its personalised digital marketing supplier Conversant shows Dune targeted more than 26,000 customers with personalised display creatives. It measured the value created by shoppers clicking to buy as a result of seeing a personalised ad through a test and control approach. The value from spending on personalised ads was measured against the activity of a customer group that did not receive any Dune ads. Altogether, the analysis suggests that such customer data-driven marketing generated £4.4m in incremental revenue for Dune over the course of three and a half years.
“We’ve got four years of live historical data, plus all of the data we imported to the campaign,” says Mark Blenkinsop, head of performance marketing at Dune. “We know our customers and our customers’ buying habits. And Conversant have remembered who they are, and they stay communicating with them. Over time, you win that person and you gain market share.
“If we can get a consumer to come back and buy just one more category, we’ve just doubled the number of purchases this person made. One additional purchase may not sound a lot, but if you start to do this at scale, and the whole process is automated, then you really do start moving the dial. As any marketer knows, it’s much more expensive to keep marketing to new customers.”
Conversant senior vice president Elliott Clayton said: “Grabbing and keeping attention has never been harder for marketers. And yet, as traditional retailers are tested more and more, it’s never been more important
“Dune has proven that truly understanding individual customer behaviour and browsing and buying habits is an effective way of fighting the challenges facing retail.”
Dune London started business in 1992 with a concession with a fashion store on London’s Oxford Street. Today sells online and through 40 UK stores, 175 concessions, and 64 franchised stores and concessions in 10 countries.
Image: Screenshot of Dunelondon.com/ InternetRetailing Media