How Cross-Channel Personalization Impacted Results for HP

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

Chris Morgan

Senior Vice President

HP Graphics Solutions Business

October 17, 2012

How Cross-Channel Personalization Impacts Results

The evolution of personalized marketing

It’s time to update your perception of digital print No tradeoffs in quality, versatility or creativity

Digital print delivers premium color quality Wider color gamut than offset printing

"I don't think we could have gone with anything less than beautiful, and these postcards certainly hit the mark." — Joseph Garcia President and CEO New Era, Inc.

Digital inspires creative cross-media campaigns

Digital offers new ways to engage customers

Wonderstruck Enchanted fragrance campaign reaches young, tech-savvy fans with a unique experience that invites them to engage with the brand

New augmented reality technology used to seamlessly integrate direct mail print campaign with fragrance point of sale, product packaging and print advertisements

Fans can “view” direct mail with smartphone s to see hidden videos

Caslon & Company

Personalized campaigns deliver higher response rates

Average Response Rates by Objective for Campaigns Sent to a House List

Campaign Objective Personalized URL Visit Rate

# of PODi Cases

Personalized Response Rate

# of PODi Cases

Static Response Rate (DMA data)

Lead Generation 15.7% 14 10.2% 24 3.3%

Direct Order 13.6% 11 9.3% 22 3.1%

Traffic Generation 21.6% 5 17.9% 21 3.2%*

Data Gathering 14.0% 7 19.1% 18 No DMA data

Loyalty 35.2% 3 25.2% 12 No DMA data

Source: Caslon & Company, 1-to-1 Response Rate Report

*In its 2012 Response Rate Report the DMA did not report separately on Traffic Generation so here we use their overall response rate figures

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

National World War II Museum Case Study

Fundraising and Membership Drive Campaign Goals: Reinvigorate member outreach program, solicit donations and engage with new prospects to convert them to members

• Conducted test of 10,000 personalized

newsletters and 10,000 static newsletters to solicit donations.

• Additional test of 5,000 personalized newsletters and 5,000 static newsletters mailed to recruit active members for sustaining membership program

Adding personalization

①

① Personalized Headline ① Personalized Headline

② Personalized Offer ②

③

① Personalized Headline

② Personalized Offer

③ Personalized Brick purchase

Different images for men and women

④① Personalized Headline

② Personalized Offer

③ Personalized Brick purchase

④ Gender-specific post card

solicitation

Results

• 30% increase in response rate for active members

• 25% increase in response rate for sustaining membership prospects

• Increased average donation per person

“For some of our best members, even a little more attention and a little more creativity in the mail pieces has made a significant impact.” — Stephen Watson, Vice President and COO National WWII Museum

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

Robert Morris University Case Study: A personalized, multimedia

approach to student recruitment

RMU Student Recruitment Campaign

A highly personalized,

cross-media marketing

campaign

• Four phases

• 385,000 personalized direct-mail letters and postcards

• Prospects directed to interactive PURLs and social media links

• Hardcopy mailings followed by targeted emails – personalized to each student

Campaign objectives

• Drive prospective students to all-campus open houses and visit days

• Provide follow-up opportunities for students who express interest in events or applications but don’t commit

• Increase high-quality leads

• Increase overall number of applications

• Drive enrollment

Personalized content

• Name and address

• Exam taken (SAT or ACT)

• Degree program – images, links to specific deans, varied thank-you pages

• Scholarship amount offered

• Athletic interest

• In-state or out-of-state student

• Gender

Personal URL (PURL)

Students were driven to personalized

landing pages to:

Sign up for a visit

Link to online application and start the

process immediately

Access RMU’s social media channels

Link to relevant content on the RMU

website to stay engaged

Campaign Follow-up

THANK YOU

• Students received a personalized thank you email from the appropriate Dean at Robert Morris, based on information students provided on the landing pages

SURVEY

• Data offered by potential interested students helps keep the data offered to them relevant

ANALYTICS

• Real-time analytics via an online dashboard used extensively to fine tune the campaign

Campaign Results

• In the first year of the campaign, RMU nearly doubled its response rate,

• Conversion rate of prospects into inquiries went up 79%

• The latest campaign increased the response rate another 30%

• Lead purchase rose 58%, while costs dropped 56%

• Student enrollment has increased 6.1%

“We wanted the campaign to speak to each prospect very intimately.” - Connie Esparza RMU’s VP of Marketing

Philip D’hooge

President Symeta NV

A new dimension in customer communication

Symeta Overview

+ Symeta is a full service print and document management company.

+ Approx. 300 employees, revenue of >50 million euro (FY 2011-2012)

+ Its main objective is to make customers’ business communications more efficient by

offering tailor made solutions that enhance incoming, internal and external information

channels and can increase return on investment.

What we do

+ The right message, to the right person,

through the right channel and at the

right time

+ From data to better data

Target : Achieve new levels of targeted one2one solutions in direct marketing and transactional communication.

Case 1: ZEB

+ “Jeans up your life”

+ Small Belgian fashion chain

+ 30 stores + funky web shop

+ 30 brands – e.g. Esprit, Vero Moda, Diesel,

Only, Levi’s, Noë …

Case 1: ZEB

+ Premium creative concept to introduce new collection

+ Based on purchasing behavior

+ Goal : customer retention and improve ticket amount/customer

+ Limited data available to start off with

+ Step by step approach with secondary aim to improve quantity

and quality of customer data

ZEB evolution version 1 (spring 2012)

ZEB evolution version 1

ZEB evolution version 1

ZEB evolution version 2 (Fall 2012)

ZEB evolution version 2

ZEB evolution version 2

The Result

+ 30% more promotions used

+ Doubling number of fans & conversation on Facebook

+ Increased loyalty

+ Improved customer data profile (from data to better data)

+ (More (approx. 9%) new customers subscribed in store

– Word of mouth advertising

– Comments on Facebook

Case 2: Colruyt + Lowest price guarantee

+ Belgium Market leader in retail with approx. 30% share

+ 220 shops

+ 2,3 million identified customers

+ 6,5 billion euros revenue

+ Existing mailing 4-5 non-personalized brochures + coupon leaflet (64–96 pages/customer)

Basic strategy…

On top of their lowest price guarantee for each product at every moment, Colruyt wants to inform their customers in a certain way:

– Efficient: • Inform our customers well, inform the right customer

• Making sure they obtain a maximal benefit

– Sustainable: • We only send leaflets to customers who choose to receive them

(opt-in)

– Service able: • Helping our customer choose

• Helping them gain time

= Basics of the Colruyt communication (value driven)

Today’s reality...

10,000 Online & offline stimuli on average

every day

“Their” customers get

And this is the result ...

The challenge...

How can we become more

RELEVANT

to our customers ?

The answer ....

Selectivity

The answer ... Selectivity

• Data gathering >10 years

• Use analytics to define and propose customized shopping lists and

promotions

• Maximize relevance

• Less is more

The result …impact on coupon leaflet

32 pages 4 pages

In the Store

Access to all the other

Extra reductions in-store

Consumer Shopper Benefits

Easy to prepare

shopping list

At Home: “Selection for You”

Efficient: less

paper / gain of

time

Personalized

offers are

integrated

41

The result ...

Efficiency Sustainability

Customer Value

• Concentrating useful promotions

in smaller document less time

and effort to plan

• Make sure customers obtain

maximum benefit especially

over longer periods

• Greener promotions:

1,600,000 * 28 pages * 26

leaflets = 1,164,800,000

pages saved

• Helping customer choose

and save time by limiting the

number of coupons

Program expanded to entire 1.6M loyalty card customer base

Increased Profitability

• More coupons activated per

customer increased Colruyt’s

revenues

Increased Loyalty

Increased average

shopping cart value

Increased number of coupons

used/household

Increased number of

households using coupons

Next step

+ Creating an inspirational brochure tailor made for every customer

(16 – 32 pages)

© Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

Thank you