RAC Case Study
“We are very pleased with the result of our M&S voucher campaign as it increased both retention rate and sales conversion rate for those people offered vouchers. The two brands work well together, and as an incentive it was well received by our customers. The campaign generated a 3000% uplift in sales compared with the previous month (before the campaign had started) and return on investment was calculated at 182%. The company is now looking to extend the promotion.”
RAC wanted to increase conversion and retention levels on premium breakdown policies. They wanted to find alternative incentives to encourage this customer behaviour.
The brand fit between RAC and M&S customers meant that M&S vouchers and gift cards were seen as the perfect solution. RAC gave customers the choice of different incentives and incorporated the M&S offering within the mix. Different reward values were offered depending upon the level of cover a customer wanted.
When offered, M&S vouchers or gift cards were the customers preferred choice. By adding M&S to their toolkit the RAC marketing team saw a significant increase in policy conversion and retention.
Using our expertise in customer acquisition and retention, we completed research and talked to some of the leading insurance providers to gain an insight into what strategies attract and retain customers. We found that customers don’t just expect the best price for their policy, but look for an added value, whether this is loyalty schemes, rewards or a refer a friend scheme.