Custora Predictive User Insights Drive 1.5% Overall Revenue Lift for Fashion Retailer

The Challenge

Since its launch, this fashion retailer* has embraced a data-driven mindset and advanced customer analytics as a key to impressive year-over-year growth. Because of the discovery-powered nature of the business, email has always been an essential marketing vehicle for reaching current and prospective customers with relevant sale events at the right time. Over the years, the company had evolved a strategy leveraging five distinct daily email versions to communicate with major customer segments (based on historical purchase behavior).

But over time the efficacy of the email channel began to show signs of fatigue and decline. How could the team reverse this trend and find new ways to connect with customers through email?

The Solution

The team envisioned a radically more personalized email experience: one in which the content and order of “stories” in a given email would be shaped by an individual’s own historical and predicted preferences. But this would require massive data science resources and insight into each customer’s future behavior.

Custora’s customer analytics platform provided the solution. Custora builds a map of each user’s behavior, and then looks across millions of data points for hidden relationships between different users – common “stories” or attributes locked within these complex patterns. It was exactly the type of advanced customer-centric approach the team had been looking for to power more relevant email experiences.

Using Custora, the team gained visibility into the full predicted affinity profile for each customer —not just products purchased or browsed in the past, but a scored set of product affinities based on the behavior of similar customers.

Custora’s insights integrated directly with their email service provider, ExactTarget, to power the end delivery of millions of individually-curated emails daily. And the flexibility of the Custora solution gave the team to experiment with different customer experiences—customizing the number of event tiles based on user affinity, for example, or artificially promoting certain types of events to drive greater awareness.

The Results

The company saw an immediate lift in email channel revenue after implementing the Custora solution. Powering emails with predictive user insights led to double-digit lift in email engagement metrics and more impressively, a 1.5% overall lift in revenue for the business. And because experiences are constantly evolving based on predicted future behavior, the results are showing no signs of fatigue – as customers continue to discover new ways of engaging with the brand.

*This case study has been anonymized at the request of the retailer.

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