Dior Case Study - Adobe: Creative, marketing and …

Adobe Customer Story

Dior transforms awareness into loyalty.

Fashion and luxury retailer relies on Adobe Campaign for highly targeted, cross-channel marketing campaigns to increase lifetime customer value.

"The ability to transform our valuable customer information into targeted, more effective customer relationship management campaigns has improved exponentially with Adobe Campaign."

Dior marketing representative

SOLUTION Adobe Campaign solution within Adobe Marketing Cloud

RESULTS

SEGMENTATION Developed cross-channel insights, defining key customer segments

15%

INCREASE

CONVERSION Improved catalog response rate

CONTROL Supported in-house email marketing campaigns and campaign tracking

UNPARALLELED INSIGHTS Created rich customer profiles, including navigation history, campaign interactions, and sales data

Adobe Customer Story

Christian Dior

Established in 1946

CHALLENGES

? Building a single view of the customer and engaging in relationship strategies

? Increasing brand awareness in the U.S. market

? Boosting repeat customer numbers ? Creating and targeting more defined

customer segments

Raising the Dior banner

Christian Dior is a worldwide leader in fashion and luxury goods. Established in 1946, Christian Dior designs and produces some of the world's most coveted haute couture, ready-to-wear, menswear, accessories, and fine jewelry. Today, Dior operates 492 boutiques worldwide, including over 30 stores in North America, with half being freestanding boutiques.

Dior in the United States was faced with three major marketing challenges. First, the company needed to increase brand awareness. "When asked about Dior, many customers knew very little about the brand and its heritage," says a Dior representative. "One of our major challenges in the United States is raising awareness about the Dior brand, the various product lines, and our designers."

Second, in addition to the branding challenge, 70% of those who shop at Dior are not repeat customers. Dior viewed this as an opportunity to market to these individuals, specifically engaging in targeted cross-sell and upsell strategies.

Third, Dior wanted to focus more on improving engagement with its best, most loyal customers. An elite group, top-tier Dior customers can account for more than 30% of total annual sales. These customers understand the various Dior product lines and typically make large purchases with each visit to a boutique.

Dior needed to engage more regularly with these individuals. However, to make a high-end relationship marketing program work, the retailer required a solution to track interactions across various customer touchpoints, including in boutiques, at events, or in response to catalogs and email newsletters.

Transforming data into insights

While 95% of Dior customers provide address and phone details at checkout and 30% agree to list an email address, the company had no way of creating marketing campaigns based on specific customer segments without manually sorting through the data. The company needed to be able to easily answer important questions such as: How often is an individual customer coming to a store and making a purchase? What is the customer's average purchase amount?

Dior began working with Neolane, now part of Adobe, in 2004 from a centralized marketing perspective in its Paris-based headquarters. Recently, the U.S. division has expanded its usage by managing and executing its own local-level campaigns.

Dior uses Adobe Campaign, part of Adobe Marketing Cloud, to store all of its U.S. customer data generated from every touchpoint. Dior then deploys advanced analytics to segment customers into several categories, such as those who buy small gifts, high-spending customers who buy from multiple categories, or a shoe and handbag regular. This enables Dior to score, segment, and calculate the lifetime value of each customer.

Adobe Customer Story

SOLUTION AT A GLANCE

? Adobe Marketing Cloud, including the Adobe Campaign solution. Capabilities used include: ? Campaign management ? Visual cross-channel orchestration ? Integrated customer profile ? Personalized targeting ? Centralized offer management ? Real-time interaction management ? Cross-channel execution ? Operational reporting

For more information solutions/digital-marketing.html

Adobe Systems Incorporated 345 Park Avenue San Jose, CA 95110-2704 USA

"Prior to Adobe Campaign, this type of segmentation would have been nearly impossible," says a Dior representative. "While the data was available in various siloed systems, we would have had to go back into the POS data or client books to match customers with product numbers and then analyze that information."

Benefitting from a single data mart in the Adobe solution that is integrated with a list hygiene provider, as well as analytics and marketing automation capabilities, Dior now effectively tailors its marketing programs to each customer segment. For example, Dior previously sent catalogs to many customers in its database who had a valid mailing address. Dior now only sends catalogs to its top and high potential clients.

Marketing elegance

The more targeted approach enables each boutique's sales team to further engage with customers through a personalized follow-up phone call or email. As a result, for the 2009 Fall/Winter catalog, Dior achieved a 15% increase in response versus the previous season's mailer. Advanced customer segmentation capabilities within Adobe Campaign also enable Dior to create more focused mailings and cross-channel marketing campaigns that include targeted emails.

"The ability to transform our valuable customer information into targeted, more effective customer relationship management campaigns has improved exponentially with Adobe Campaign," says a Dior representative. "From a corporate perspective, we can now slice and dice customer information any way we want for sales and marketing purposes. Dior now has a better view into its customers' preferences and shopping habits, and we can educate them about our products appropriately."

Additionally, Adobe Campaign has enabled Dior to track several important customer statistics including: 12-month average shopping cart value, number of products per transaction, items purchased, price paid, and highest priced item purchased. The company then creates sophisticated reports on marketing effectiveness across all of its channels and tracks POS data back to specific campaigns. This enables Dior to make decisions about its level of marketing investments in specific channels.

Based on positive results achieved, Dior plans to expand its use of Adobe Campaign to further support successful data-driven customer relationship marketing strategies. This includes automated event-triggered campaigns and the flexibility to execute ad hoc campaigns around VIP events, trunk shows, and luncheons.

Adobe and the Adobe logo are either registered trademarks or trademarks of Adobe Systems Incorporated in the United States and/or other countries. All other trademarks are the property of their respective owners.

? 2014 Adobe Systems Incorporated. All rights reserved.

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