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Database Analysis Helps Lenox Identify Opportunities

A segment of the database only purchases around holidays, such as Easter. A unified database across multiple channels is enabling Lenox to have a single view customers and uncover insights for marketing opportunities. The 130-year-old company is primarily known for fine china but also has significant lines of business in home décor and collectibles, such as holiday ornaments and figurines. The Lenox multichannel strategy includes email, catalogs and retail, as well as wholesale to partner such as Macy’s. The company had been maintaining two separate databases for transactions and customer information, and had a limited understanding of buyer behavior, notes Elizabeth Ragone , svp, direct to consumer, Lenox. Retail data was being kept separate from the email and catalog business, and stores were hesitant to help customers check online if they were out of stock on an item, for fear of losing the business. Ragone’s team brought in new marketing partners, to help mine customer data and understand who Lenox’s best customers were and learn more about their buying journey. The company had little insight into what people were buying first, and then what their next purchase would be, she notes. “If someone buys dinnerware today, what do we offer next?” says Nick Godfrey , co-founder and evp of strategy at Customer Portfolios, which worked with Lenox on its database strategy. “We needed to know how to make marketing more efficient.” A single view of the customer was essential, because different customer segments behave in different ways—and present different revenue opportunities. After all, notes Ragone, a person buying champagne flutes for bridesmaids exhibits different behavior from someone buying an ornament for a new baby. Lenox needed to identify which channels had the most overlap, to see if there was anything to be gained by doing direct marketing to retail customers. YouImage may be NSFW.
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