Using Data to Drive Purchases in Non Food Categories
There are millions of loyal Kroger shoppers who are very under-engaged in many of the non-food areas of the store, such as Household Needs, Personal Care and Pet. The goal was to understand who these shoppers were and provide them with meaningful incentive to shop these departments.
84.51° utilized modeling to identify these households based on their purchase behavior. Then, we determined which of these under-engaged households were the most likely to be converted when sent a communication. Once that household made an initial purchase in a category, they were triggered to receive a follow-up offer for that category, specifically connected to the item purchased. 84.51° science then predicted the next most likely category for that customer to buy, based on cross-shop and basket data from other customers that do engage in the department. A monthly trigger program was developed to drive engagement with these opportunity categories.
The result was $3MM incremental visits to previously unshopped categories over 52 weeks, showing that data can drive customers to new, previously unshopped categories and even be used to incite repeat purchases in those same categories.