Case Study 4:
Increase Wine Club Direct to Consumer Sales
Challenge: Launch a direct to consumer sales program.
Summary: Created a customer relationship management program using targeted and segmented marketing tiers to gain bigger share of palate of current Chandon club members and to recruit new Club members. Motivated a sizable number of high-value sparkling wine consumers to increase their purchases of Chandon products and demonstrated that relationship marketing can generate substantial incremental sales through direct and at retail.
Initiative: Used the occasion of the Millennium to “upgrade momentum” and to win share.
Surveyed Chandon Club members and used information on individual customer attitudes, behaviors and preferences to increase relevance of messages and offers.
Developed programs including new Chandon occasions, mobilized Chandon Club members as missionaries to carry the message, offered Club members branded wine and non-wine products and rewarded missionary recruitment of new members.
Results: During the test period, retail sales were boosted 100% over the control group with more transactions and greater volume. Forty percent of Club members stated an interest in continuity sales. A $35 marketing investment in a “Club Member” returned $130 gross revenue and $25 in net profit.