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  • Acquisition
  • Activation
  • FMCG
  • Article
06.04.2022

How to boost the ROI of drive to store campaigns in 3 points?

In order to generate in-store traffic, drive-to-store campaigns are proving to be particularly interesting levers. But what is an effective drive-to-store campaign? How to measure the benefits to optimize performance?

1. The objectives and levers of a drive to store campaign

1.1. Why create drive to store campaigns?

Although e-commerce has grown in popularity in recent years, the physical store remains a preferred place for consumers.

But the customer journey has nevertheless evolved a lot to become omnichannel, and the points of contact, in particular digital, have multiplied. Thus, many consumers use online channels before going to the store, and they increasingly favor phygital services (mixing physical and digital services such as drive, click and collect, etc.) which allow them to have a fluid and personalized.

In addition, consumers use their smartphones a lot to do local searches, and find out about the opening hours of nearby stores or even about stocks: this is a considerable opportunity to communicate with them at their point of sale. This complementarity between digital and physical levers encourages brands to set up drive to store campaigns, in order to increase in-store traffic.

1.2. What are the best levers to generate traffic at the point of sale?

Location targeting is at the very heart of successful drive-to-store strategies. Brands have every interest in fine-tuning around their points of sale to attract more customers to the store. Coupled with this targeting, it is necessary to make sure to offer prospects the right content at the right time, thanks to the activation of different levers. For example, SMS campaigns are increasingly used in drive-to-store strategies since they have many advantages. It is estimated that 98% of text messages are opened (Les Echos). Its completeness and immediacy make it particularly effective in a strategy where the objective is to capture attention with targeted content.

In line with the intensive use of the telephone, drive-to-store mobile campaigns make it possible to offer Internet users targeted advertising based on their searches. Geofencing, for example, is a technique that locates a mobile device in a certain geographical area and sends it an advertisement. Another lever, e-mail is an excellent way to contact prospects, taking into account their geolocation. It is possible to send them a targeted message and make the call-to-action effective.

1.3. What messages should be used to bring shoppers to the store?

Beyond the distribution channels, it is also the content of the message that is important and which must make the targets want to move. It is therefore important to provide consumers with added value by communicating what they will find specifically at the point of sale (discount coupons to be used in stores, special events for members of the loyalty program, etc.). The data will also make it possible to personalize messages to consumers, according to their profiles, consumption habits or even their locations.

2. How to measure the return on investment of a drive to store campaign?

How do you know if the targets reached by the ad have actually visited the store? It is essential to set up KPIs to optimize these campaigns, and this is possible at different levels.

2.1. Point-of-sale traffic measurement (DriveMatch offer from the Dékuple agency)

Point-of-sale traffic is the first KPI to observe, and it can be measured using geolocation, and in particular thanks to GPS tracking.

The reconciliation between the identity of a mobile user located in the immediate vicinity of the store and the individual targeted by the drive to store communication campaign is carried out by a “trusted third party” solution on behalf of the brand. This solution must use a vast “identity graph” bringing together the identities of millions of users of mobile applications using GPS geolocation and capable of cross-checking these identities with the audiences of the media activated for the communication campaign or the brand’s CRM data .

Google also offers point-of-sale traffic measurement as a performance indicator for campaigns created with Google Ads. The principle is the same: Google performs this measurement using the GPS tracking of smartphones.

Another way to measure traffic at the point of sale: place a smart box there, which works using wifi or bluetooth. The terminal will detect when the consumer’s mobile will enter the store, and when it will leave. This technique makes it possible to increase the identification rate, and therefore to have a more precise measurement.

 

Contact the agency to find out more about the DriveMatch offer: drive-to-store campaign and turnkey measurement.

 

2.2. Measurement of incremental visits

To measure the direct impact of a drive-to-store campaign lever on in-store traffic, it is also possible to use an AB test methodology, and to focus on estimating incremental traffic. The goal ? Know how many consumers have visited points of sale after being affected by an advertisement. To do this, we observe the behavior of two similar groups of customers, one having been affected by the campaign, and the other not. The cost per incremental visit is thus a real performance indicator for brands.

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2.3. ROI measurement

If the previous methods focus on measuring point-of-sale traffic, it is then a question of calculating the return on investment of your drive-to-store campaign.

To calculate the ROI, the following formula should be applied:

Incremental visits x In-store conversion rate x Average basket / Campaign cost

The next question is: how to measure incremental visits? Different approaches are possible.

 

2.3.1. Probabilistic approach

The probabilistic approach is called Marketing Mix Modeling (MMM).

This is the method that was chosen by Leroy Merlin: the Converteo and Converteo (Dékuple) teams created an algorithm to estimate the offline turnover generated by online behavior.

The result: having a much clearer vision of the impact of digital on turnover.

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2.3.2. Deterministic approach: direct conversion measurement

We can also measure the direct results of a drive-to-store campaign if a tracking method has been put in place (promo code to be used in store, gifts against purchase ticket, etc.).

3. How to optimize the performance of a drive-to-store campaign

3.1. Measure each KPI to identify areas for improvement

KPIs are a gold mine of information on the performance of drive-to-store campaigns. Each of these indicators provides information on a specific part of the campaign and gives the possibility of targeting areas for improvement from one campaign to another.

The click rate, for example, allows you to know if the content was relevant enough or if the offer was attractive enough. The CPVI (Cost Per Incremental Visit), for its part, will highlight the return on investment, by analyzing the average basket of visitors affected by the campaign. Note that the CPVI varies according to the sector of activity.

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Within the point of sale, it is also important to study certain KPIs such as the in-store conversion rate to have indications on how to personalize the customer experience within the store to optimize sales.

3.2. Measure attribution to different channels

Thanks to the attribution of conversions to the different channels, it is possible to readjust media investments by redirecting to the best performing channels.

These channels are not always the same depending on the region: thanks to the Family Square profiling solution, Dékuple was able to identify the socio-demographic and geographical profiles for which the paper works well (significantly better than the average) . For the other segments, email or SMS are preferred.

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3.3. AB test campaign messages

As we have seen, the message is one of the key points of the drive-to-store campaign. The latter must be personalized and original. There is no secret, to find the right message, you have to perform several tests on samples from the database, and see which ones generate the most results.

3.4. Improve targeting

Any good drive-to-store strategy is based on good targeting, and thanks to data, it is possible to improve this targeting and make it even more precise.

With its DataMatch repository (30 million BtoC contacts) and its Family Square geomarketing solution, the Dékuple agency provides very precise targeting. It makes it possible to have a clear vision of consumer profiles around the catchment area of the point of sale, based on location and socio-demographic criteria. The solution allows 15% to 60% additional profitability of marketing campaigns.

Another use case: analyzing the GPS flows of visitors to the point of sale to identify the real travel zones (during the day, at the end of the day, etc.), and thus define the catchment areas very precisely, taking into account the reality of flows and geographical barriers. A better understanding of the potential catchment area makes it possible to make significant savings on the media spent, by limiting it to the area that is really useful.

 

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