E. Customer Relations Marketing
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SWIRE on behalf of Cox Arizona
Submitted by: Brenda Voorting - Director of Client Solutions - Swire
Marketing Team: Kristina Frankel - Director, Product Management & Customer Experience - Cox Communications Arizona;
Paula Spaulding - Loyalty & Retention Marketing Manager - Cox Communications
Creative Team: SWIRE Team: Joe Burke – EVP, Creative; Mark Snow – EVP, Planning
& Analysis; Kyle Prough - Creative Director; Sara Simon - Account Manager
Situation Analysis DBS competition was gaining traction with aggressive introductory offers and aggressive marketing with deeply discounted offers. Cox Arizona was challenged by higher customer churn and needed to reverse the trend. To stem the tide, they decided to focus on driving loyalty, but had to be laser focused on key "high-risk/high-value" customers due to a limited marketing budget.
Strategy The strategy was a bi-monthly, direct marketing campaign that stressed the benefits unique to Cox (vs. DBS), provided a constant conversation with customers, offered incentives to engage the products (On Demand discounts and coupons), and promoted tie-ins with local brands and experiences to make Cox more grounded in the minds of customers relative to loved local experiences like Arizona and Arizona State football. Rather than chase customers, we sought to intersect with their existing behavior at the local level to raise brand relevance.
Tactics Using direct marketing, we thanked customers for their business and provided a VIP hotline; we communicated key benefits, rewarded them with discounts promoting product engagement, and offered discounts at local merchants and community events. To facilitate redemption, we developed a microsite where customers could instantly redeem offers. The discounts were quickly applied to accounts and created a cost effective way to track results.
Results Over 120,000 subsribers were in the test group vs. a control group. The program reduced subscriber churn from 1.82% to 1.62% per month over six months, an 11% reduction in churn.