Lyreco needed to get a better overview of their data so they could get more out of their email marketing, and we were delighted to help them with that challenge.
The overall challenge
Lyreco has many daily touchpoints with its customers on online as well as offline channels. This means that data can exist in many different systems, which ultimately creates data silos. Lyreco wanted to connect and use data more intelligently to improve the customer experience. The focus was on combining Lyreco’s CRM system and the customer’s reaction to the webshop to get a deeper understanding of the customers.
Our solution
To understand and support Lyreco in its mission in the best possible way, IIH Nordic kicked off the collaboration with a Data Strategy Workshop. Lyreco’s Customer Experience team participated in the workshop, and together they defined the actions and use cases needed to achieve the expected business goals. The areas of work selected included:
- Connect and consolidate data sources to create a holistic customer profile
- Using Machine Learning to produce a ‘Predictive Customer Lifetime Value’
- In-depth analysis and segmentation of user behaviour.
The project was lifted and managed in Google Cloud Platform, in which BigQuery is one of the key products. IIH Nordic daily retrieves data from Lyreco’s CRM and Google Analytics where data is cleansed, transformed, and connected so the entire customer journey and points of interest can be understood from a customer perspective. Based on the interlinked historical data, IIH Nordic has developed a Supervised Machine Learning model which is used to predict each customer’s Customer Lifetime Value in the next 3, 6, and 12 months, while providing a probability of whether the customer is about to Churne based on their recent activity. The result of the consolidation, analytics, and Machine Learning models are insights with suggested actions that are pushed to Lyreco’s Marketing Automation (MA) system daily. In the MA system, the data is used to qualify customers for automated flows to send more relevant and personalised content at the right time, helping to increase customer retention, cross-selling, and cross-domain/product sales. In addition, the insights are also used internally by Lyreco. They use it to identify new leads and evaluate their potential, thus assisting in the prioritisation of new potential customers.
Main results
From 15.7% to 29.3%: average increase in Open Rate for emails
From 18% to 30%: Increase in Conversion Rate on average
From 1.2% to 3%: Average increase in Click Through Rate
