1. The POWER of PERSONALIZATION:
Case Study
ALAN ALEXANDER
FOUNDER & CEO OF RECOLETA DIGITAL MEDIA
MARK PIVONKA
DIRECTOR OF CUSTOMER RELATIONSHIP MARKETING AT BASHAS’

2. PERSONALIZATION DIGITAL DRIVERS FOR CHANGE MILLENIALS
The POWER of PERSONALIZATION: The Bashas’ Case Study
The POWER of PERSONALIZATION

3. The POWER of PERSONALIZATION: The Bashas’ Case Study

4. The POWER of PERSONALIZATION: The Bashas’ Case Study

5. The PERSONAL CIRCULAR® The 100 Most Relevant Offers
From universe of
5,000+ offers
The POWER of PERSONALIZATION: The Bashas’ Case Study

6. …AND OFFERS THROUGHOUT THE STORE
THREE TYPES OF OFFERS*
…AND OFFERS THROUGHOUT THE STORE
The POWER of PERSONALIZATION: The Bashas’ Case Study

7. WHAT IS A PERSONAL DEAL®
A deeper discount on a TPR item
Bashas’ compiles a universe of 350+ PERSONAL DEAL® items from all around the store, with a keen eye on individual profit margins
The most individually relevant 16 items (out of the 350+) are showcased on each PERSONAL CIRCULAR ®
The POWER of PERSONALIZATION: The Bashas’ Case Study

8. The POWER of PERSONALIZATION: The Bashas’ Case Study

9. The POWER of PERSONALIZATION: The Bashas’ Case Study

10. DRIVING GREATER SHOPPER LOYALTY
• Enrolled Core HHs have become more loyal as a result of the PTY Program, and have driven 85% of the sales lifts (with lower % lift on much higher base spending)
• The PTY Program is driving strong lifts across the store, with the greatest lifts within the Grocery, Meat, and Produce departments
• Bashas’ PTY is trading registrants up into more loyal segments at a greater rate than that of the control households, and helping to retain households as well.
The POWER of PERSONALIZATION: The Bashas’ Case Study

11. DRIVING GREATER SHOPPER LOYALTY
53% of Bashas’ PTY New HHs converted to Core shoppers
18% of Opportunity HHs converted to Core shoppers
14% of Fringe HHs converted to Core shoppers
The POWER of PERSONALIZATION: The Bashas’ Case Study

12. ANALYSIS
$ SPEND
% TRIPS
$ PER TRIP
Daily Loyals
6.1%
7.1%
-1.0%
Large Baskets
9.5%
9.2%
0.2%
Cross-Shoppers
13.3%
12.5%
0.8%
Fill-Ins
29.1%
27.9%
0.9%
Fresh Deal Seekers
25.3%
22.6%
2.2%
High Potentials
155.1%
136.4%
7.9%
Cherry Pickers
58.9%
59.8%
-0.5%
Occasionals
469.5%
488.0%
-3.1%
Private Label
291.5%
307.5%
-3.9%
The POWER of PERSONALIZATION: The Bashas’ Case Study

13. Examined 100 Individual Grocery Items
PRE-PERIOD: 2014
POST-PERIOD: 2015
PERCENTAGE INCREASE CONSUMPTION
CRITERIA: MUST PURCHASE AS PERSONAL DEAL® AT LEAST ONCE IN 2015
The POWER of PERSONALIZATION: The Bashas’ Case Study

14. PERSONAL DEAL® LIFT ANALYSIS
Volume
Dollars
Produce
+66%
+41%
Meat
+75%
+73%
Center Store
+93%
+83%
Frozen
+59%
+55%
Beverages
+107%
+101%
Snacks
+120%
+116%
Dairy
+61%
Private Label
+46%
+36%
The POWER of PERSONALIZATION: The Bashas’ Case Study

15. The POWER of PERSONALIZATION: The Bashas’ Case Study

16. The POWER of PERSONALIZATION: The Bashas’ Case Study

17. KEYS TO THE SUCCESS
CONTENT, CONTENT, CONTENT: It all starts with a large universe of offers, across several offer types
RELEVANCE, RELEVANCE, RELEVANCE: “Showcasing” ALL individually relevant offers, ALL in one place
Easy access & activation of offers across multiple platforms (e.g. PC, tablet, smartphone, )
The POWER of PERSONALIZATION: The Bashas’ Case Study

18. IMPLICATIONS FOR THE COUPONING INDUSTRY:
“DRIVERS FOR CHANGE”
CONTENT, CONTENT, CONTENT: More offers across many, many, many more brands.
RELEVANCE, RELEVANCE, RELEVANCE: Shoppers are more engaged when ALL of the content is relevant/targeted.
EMBRACE THE OPPORTUNITY: Digital delivery coupled with personalization will change the coupon industry over the next decade.
The POWER of PERSONALIZATION: The Bashas’ Case Study