The weight loss industry in the United States is now worth a record $72 billion, and with numerous untapped markets still left unaddressed in the past decade, the potential upside for retail weight-loss businesses has never been higher.* One weight-loss company came to Calexus seeking a solution to their problem of lapsed customers and how to get them back on track towards their dreams of a healthier body that they could take pride in. Despite a 5% reduction in the client’s budget for targeting and acquiring “RTA” or “Return to Active” customers, Calexus Solutions, understanding how analysis-based targeting drives message crafting and communications approach, provided fundamental segmentation services and subsequent segment-specific targeting strategies.
- Divided “RTAs” (“Return to Active” customers – those whose last contact with client was between eight weeks and 72 months ago) into segments on basis of:
- Recency of last customer-client interaction;
- Point of communication between client and customers (in-person at retail locations or at home via direct, electronic mailings);
- Weight-loss results;
- Demographic data;
- Analyzed inherent value of each customer demographic to client over short-, mid-, and long-terms;
- Concluded that length of contact cycle between client and customer was more important driver than amount spent per consultation in identifying which RTAs to market to most aggressively;
- Established, among all potential RTA customers, repeat weight-gainers, long-term low spenders, and successful weight losers as optimal targets for marketing efforts.
Campaign Design and Execution
- Segmentation used as determinant of nature and frequency of ongoing communication to high-potential RTA groups;
- Delivered actionable guidelines that allowed more precise targeting of high-potential segments through:
- Increased promotion of reduced annual re-enrollment price;
- Simultaneous/subsequent communication efforts to maximize percentage of RTAs who buy food from client;
- Use of promotional offers to entice high-potential RTAs otherwise ineligible for reduced re-enrollment price.