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Success Story How Coffee eCommerce MK Fresh Increased Their CTR and CVR by Over 30% with Marketing Automation

eCommerce

Customer relationship management needs AI, chatbots, and neuromarketing. Agreed, but sometimes all it takes to be successful is quality content, personal touch, and... loyalty stamps.

 
annual coffee production
 
orders processed
 
employees

About

MK Cafe is one of the most well-known brands of Strauss Cafe Poland, the largest manufacturer and top distributor of coffee in Poland. The company has been operating since 1991, offering a wide range of bean, ground, and instant coffee varieties. Recently, in order to meet the requirements of the more demanding and coffee-savvy customers, the company has launched a new online-only sub-brand: MK Fresh. It offers the best whole bean blends and single-origin beans that are freshly roasted and distributed in small portions to individual clients.

Industries

Coffee
eCommerce
Retail

Goals

In order to succeed, MK Fresh needed to work out a model of communication that would result in building their brand awareness, encourage website visitors to make purchases, and develop long-lasting relationships with different types of customers.

Solution

Following the advice given by iProspect, an external digital performance marketing agency, MK Fresh decided to build their model on three elements: customer education, customer celebration, and keeping it simple. The company has leveraged ExpertSender’s advanced marketing automation system to design a set of educational emails for brand subscribers aimed at building their brand awareness and neediness to buy MK Fresh’s coffee.

These included messages explaining the different types of coffee grounds and the best methods of preparing coffee, but it also included information about what makes MK Fresh the best choice for coffee-lovers. Secondly, using the database tool provided by ExpertSender, the company started sending visually appealing personalized messages with a 40 PLN discount code on the anniversary of the client’s first purchase.

Thirdly, MK Fresh set up a very simple loyalty program: for each purchase, the customer gets a stamp, and he or she can exchange 5 stamps for a 20 PLN voucher for their next online purchase.

On top of all of that, the company has also implemented its own RFM segmentation. Devised uniquely for MK Fresh by iProspect and drawing from their expertise, it has been based on the following factors: Recency (How recently did the customer purchase?), Frequency (How often do they purchase?), and Monetary Value (How much do they spend?).

Using ExpertSender, MK Fresh was then able to set up automated communication with its customers in each of those segments, so that different customers receive different communication that has been combined with their behavioral data. Each of them receives a highly contextualized and personalized message at the right time. This ensures that there aren’t any irrelevant, superfluous emails being sent. MK Fresh has singled out active brand subscribers, reengaged those who ignored messages, and abandoned those who have been identified as irreversibly lost.

Results

The results of the adopted strategy have surprised even its creators. It quickly became clear that 50% of subscribers who got engaged in the high-quality content feeding make a purchase – as opposed to the 5% of those who ignored the educational communications. Also, engaged clients are making 1,7 times more transactions than the rest. Their repeated interest in content generates additional traffic to the MK Fresh website.

Customer reactions to the anniversary purchase voucher have also amazed MK Fresh. It resulted in a 67% increase in order value (OV), a 34% spike of click-through rate (CTR), and a 33% jump in conversion ratio (CVR).

The loyalty stamps system also yielded great rewards. MK Fresh has seen a doubling of overall orders and an increase of 5 to 7% of average purchase value from clients participating in the program.

The RFM-related communication automation has resulted in more engagement and an increase in sales as well with a 62% increase of OR, 31% of CTR, and an increase of 12% for first-time buyers.

As a result, email has become MK Fresh’s highest converting communication channel.

As an external consultancy, we strive for advising our clients on top solutions in the market that meet their particular business needs. That’s why we’ve pointed MK Fresh towards ExpertSender. This marketing automation platform provided MK Fresh with two key qualities: deliverability of their communication, and an advanced segmentation of their customers.

Aleksandra WasiakeCRM Expert

Thanks to engaging the subscribers with customized content and the automation of communication with clients in the lifecycle, we were able to turn our new sub-brand project into a resounding success. Choosing ExpertSender has been the best decision we could make.

Zbigniew IwańskiE-commerce Manager

Technology Used

Marketing Automation Workflows

Allow you to create a dynamic path across the customer lifecycle and boost sales.

Data Tables

Allow you to store external client data (e.g. a customer’s purchase history), and use them for advanced segmentation.

Dynamic Segmentation

Allows for hassle-free segment calculations in real-time based on purchase and behavioral data.

Data-Driven Personalization

Allows for the use of cross-channel and behavioral data to create a unique customer experience.

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