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Keeping the sales funnel full can be a challenge for many brands because identifying prospects and getting them to engage often requires significant planning and resources. But what if there was an untapped source of data right at your fingertips – people who are already familiar with your products and have a history with your brand?
We’re talking about inactive subscribers. These are either “hand raisers” (people who have opted into a brand’s communication program but have no activity) or former customers who have stopped responding. Inactives often represent a significant portion – up to two-thirds – of a brand’s mailing list. For many marketers this segment can be made up of millions of subscribers!
Since 2014, Yes Marketing has provided data, technology and agency services to Silver Star Brands, one of America’s largest direct-to-consumer companies, as it continues its transformation from a mail cataloguer into a true multi-channel retailer. Silver Star Brands consists of six brands selling gifts as well as health, wellness, and household products: Miles Kimball, Walter Drake, Easy Comforts, Personalized Things by Exposures, Native Remedies, and As We Change.
As part of Yes Marketing’s commitment to helping Silver Star Brands achieve their business goals, our insights and analytics team worked to uncover missed revenue.
Silver Star Brands’ target market is women aged 50 and over and they reach 120 million U.S. households. They had traditionally used the display channel to acquire new customers but not to reactivate existing ones.
Yes Marketing suggested testing display advertising as a means to re-engage Silver Star Brands’ inactive subscribers. The insight from this approach would then be used to evaluate the effectiveness of the display channel and inform future marketing program strategies.
Silver Star Brands chose the Miles Kimball brand for a four week test during the holiday season and used the following banner ad that offered 10% off and free shipping to incentivize consumers to re-engage.
The audience selected for the display ad campaign met the following criteria:
These criteria yielded an audience size of 647,700 inactive email subscribers who were still part of Miles Kimball’s email program.
After the audience was identified, Yes Marketing reviewed the file and enhanced it with additional online and offline data which resulted in more complete and accurate information for 264,000 records from the initial 647K audience. This process also improved the likelihood of each audience member to be matched to a consumer ID, which would enable Yes Marketing to target that consumer with display ads. Ultimately, Silver Star Brands’ audience file yielded a 64% overall match rate – a dramatic increase over the 50% industry average. The remaining 36% of the initial audience which were unmatched and thus could not be exposed to the display ad became the control group against which Yes Marketing would benchmark the performance of the matched segment.
To enable an in-depth, cross-channel analysis of the effectiveness of display advertising for inactive subscribers, Yes Marketing compared the behavior of the matched audience segment (subscribers who could have seen the display ads) to the behavior of the unmatched audience segment (subscribers who could not have been exposed to the ads.)
This enabled Yes Marketing to go beyond the traditional ad serving metrics like ad clicks, viewability, revenue generated, and Return-on-Ad-Spend (ROAS) and analyze cross-channel engagement and purchase behavior for both the matched and unmatched audience segments. This allowed Yes Marketing to provide a complete view of audience response that shed light on key business questions including:
We are very encouraged by the results from this integrated cross-channel campaign. We will continue to expand our activities with Yes Marketing and look forward to optimizing our activation and reactivation programs.”
Kathy Hecht, Chief Marketing Officer at Silver Star Brands