We began working together in 2009 and our first step was to use our AIME Tracker to assess the strengths and weaknesses of the client’s service in the eyes of its potential Buyers, using the five key RAAVE® dimensions of Relevancy, Association, Accessibility, Value & Expectation. This gave us an overall score, which we termed the “Effective Net Preference® (ENP) Score”.
This identified a number of very practical steps the client could take to improve their sales performance, profitability and customer retention. Examples included:
First up, a large number of the client’s customers were one person businesses and they wanted smaller pack sizes and more bundles in key product ranges like envelopes and sundries. These were implemented and product penetration of these goods amongst this target group increased significantly. Deeper analysis enabled us to understand which types of products had the greatest propensity to encourage new customers to use the service and which might drive sales short term but have no longer-lasting effects. The difference in turnover growth between the two was worth over 6% of annual sales and the analyses showed what product characteristics would indicate in advance whether a product was likely to be highly incremental or not by being able to relate them the factors that would determine product relevancy.
Our initial assessment, confirmed by subsequent monthly tracking, was that their performance on Association was the weakest of the five drivers, Fortunately they were still ahead of competitors but the situation was changing rapidly. Subsequently they re-launched the brand supported by TV advertising, the first time they had used that media.
The resulting increases in the Association score are as shown in Diagram 1 below (the information on the vertical axes have been hidden to preserve client confidentiality):