Merch Gift Cards Outperform e-Edition Access
CLIENT:
US daily tabloid newspaper
OBJECTIVE:

The client wanted to improve customer retention coming off promotion through targeted incentives.

APPROACH:

The client had a churn campaign of 3 equal and randomized groups, split into controls; those that received e-edition access and those that received a $25 merch gift card credit. They were all introductory promotional accounts, some paying $1/week for ten weeks and others $1/week for twelve weeks, all communicated via email.

RESULT:

Overall, the three groups showed similar retention figures. Eight months after starting the initiative, the gift card incentive showed a slight improvement in stop percentage among the targets (41.78% vs. the control stop of 42.27%). Conversely, e-edition incentive targets showed a stop rate of 44.64%.

Insights: It is important to note that email fulfillment is up to the client. Though every target received the email offer, the client mentioned a considerably low click-through rate.

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