1. Nestlé’s
huge success in new user conversion
Tmall Super Brand Day is one of the most
important promotional windows for FMCG brands. Nestlé considers increasing
online penetration of coffee category to be critical for the brand’s growth in
the long run, and desired to attract new consumers during this period.
Nestlé’s smartly designed campaign
witnessed a huge success on the Super Brand Day in 2018 - it increased its
turnover by 67% compared to the same period of previous year, the number of
buyers increased by 25%, the average basket size increased by 34%, and the
conversion ratio of new users surged 98% and Nestlé successfully accumulated
more than 6 million potential users.
2. What
is the secret behind Nestlé’s success
Strategy
The key to this success lies both in
systematic strategy formulation and efficient strategy implementation. To start
with, Nestlé identified several different types of potential consumers based on
their behavioral and specified their different diet preferences and lifestyles.
Consumer Insight
Behind the strategy is the in-depth
consumer insight. Considering that different types of target users have
different motivations and can exhibit distinct behavior characteristics, brands
can intrigue users with specified information and content, and satisfy them
with completely different product lines and shopping experiences.
With the right strategy and consumer
insights, Nestlé greatly improved its marketing performance and productivity –
the ad click rate was up to 2.8 times and the consumer interest rate outside
Tmall was increased to 3.5 times.
Methodology
So how did Illuminera build effective
marketing strategy and gain precise consumer insights for Nestlé? The answer is
by effectively combining big data with small data and smartly leveraging their
relative unique scopes and breadth.
3. Why
should brands combine big data and small data?
Traditionally brands used to develop their
marketing strategies with small data (insights generated from consumer research
studies) analytics only. But these insights are more based on abstract thinking
and therefore difficult to monitor, evaluate and review, and there’s no
guarantee that the final marketing strategy can be implemented faithfully
because it is usually a long and tortuous journey from strategy to execution.
On the other hand, many marketers nowadays
consider big data as the ultimate panacea for all marketing issues. However,
despite the fact that big data contains rich consumer insights, it also has a
major weakness – it can seldom reveal the psychology and motivation of
consumers, which is fundamental for marketing strategy development.
Therefore, the future marketing strategy
must be developed with a completely different mindset: combining big data and
small data to make better business decisions.
4. How
to combine big data and small data
As a leading marketing group, Illuminera is
dedicated to empower the future of marketing with data analytics. And as a
certified service provider of data platforms including Alibaba, Illuminera has
many experts with extensive experiences in both big and small data analysis.
In the case of Nestlé Coffee, Illuminera
worked with Alibaba Strategy Center and applied a more scientific approach to
develop the brand strategy compared to traditional ways. Firstly, use big data
to generate consumer insights & hypothesis, and then dig into the consumer
needs and their consumption habits with research studies. Before the final
brand strategy was applied on a large-scale, Illuminera tested it among a small
group of target audience to verify its effectiveness and productivity.
5. Empower
future marketing with data analytics
Illuminera believes that strategy
development in today’s environment requires the combination of big data and
small data at all levels:
a) Market
opportunity identification: Spot business opportunities from mainstream to
niche markets
b) Brand
strategy development: Build emotional connections with your consumers
c) Personalized
consumer experience: Maintain the consistency of brand message but also provide
customized products and experiences at the same time
d) Brand
strategy implementation: Ensure the right strategy can be applied with
efficiency
The new methodology is also beneficial for
a variety of projects such as product innovation, business development, brand
positioning and competitive analysis so brands can amplify the value of data
analytics and maintain a sustainable business growth.
*Illuminera is among the first batch of
certified service providers of Alibaba Brand Data Bank, Strategy Center, New
Product Innovation Center, Uni-Desk and many other mainstream data platforms,
and was nominated as "Strategic Pioneer" at the Data Bank Top Awards.
The Nestlé campaign was awarded as the most innovative case in 2018 by Alibaba,
and was included in the Best Case collection of Uni-Marketing Academy.
For more details on data-empowered marketing, please contact IlluminAnalytics:
--------------------------------------------------------
Matthew Lu
T：021-6360 8005*8013
E：matthew.lu@illuminera.com
Alice He
T：021-6360 8005*8004
E：alice.he@illuminera.com
