Case Study

 

Epsilon and Conversant help Rhone target and acquire new customers profitably through catalog and online

Project

Customer acquisition

Services

Abacus data and modeling

Segmentation and targeting

Conversant digital media

Industry

Retail

THE STORY

Rhone is a fast-growing men’s activewear brand geared toward higher-income, active men between 25 and 50 years of age. A direct to consumer brand that had expanded into wholesale, Rhone was doing very well with high-end retailers where customers could physically touch the product. However, this experience was difficult to replicate online, where they were determined to take their customer experience to the next level. Ready to market direct to the consumer, Rhone decided to test catalog as a customer acquisition channel. They engaged Epsilon to assist with targeting for their first direct mail prospecting campaign.

THE SOLUTION

Using Rhone’s customer data and the Abacus Cooperative database, Epsilon developed models to identify a highly qualified universe of prospects for the catalog mailing. We worked closely with Rhone on all aspects of the launch including: circulation plan development, catalog format, cost parameters, seasonality and mailing mix. In addition, Epsilon’s digital media arm, Conversant, activated the data online with a display acquisition campaign targeting a look-alike prospect universe.

The Results

The initial spring catalog launch was a success, bringing in new customers at half the customer acquisition cost (CPA) of existing online channels. Rhone doubled catalog circulation at holiday and performance was even stronger. At the end of the first year, Rhone had grown its customer base by 43% via the catalog channel and acquired new customers at a profit. Additionally, Rhone was very happy with the customer experience the catalog was able to create by providing a unique tactile shopping experience and conveying the brand messaging.

50%

 decrease in customer acquisition cost


“We were all astonished by how data driven Epsilon is and how they advised us through the whole process."

— Adam Bridegan, VP of Digital, Rhone

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