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Case Study

Reaching 5% higher conversion rates with Voucherify

Industry:
Ecommerce
Size:
11-50 employees
Customer since:
2017
Location:
The Netherlands

Interviewee: Friso van der Kamp, Campaign Manager

iBood.com is one of Europe’s biggest deal community platforms present in 7 countries with more than 2 million online customers and $78 million in revenue. The company offers a new luxury goods product on the internet once a day. iBood’s goals are to drive brand awareness and increase customer retention. They run various coupon campaigns across several channels in seven countries. But, as consumers tend to get around some campaigns, iBOOD’s coupons must be strictly tracked and controlled. To help the marketing team with its continued growth, the company needed a more advanced promotional engine.


"Has Voucherify helped us to improve our sales performance? Definitely! It’s a little bit dependent on the target group and the product selection but most of the campaigns have a conversion rate of 5% or higher!"

Key Challenges

  • Driving customer retention and brand awareness
  • Creating fraud-proof coupons
  • Maintaining promotions in seven differet countries

iBood was facing a high number of challenges daily. Generally available codes were easier to maintain from the software point of view but needed more effort as far as the ROI tracking was concerned. iBOOD also experimented with launching several coupon campaigns in parallel, with thousands of codes. Updating shop software to accept valid coupons and drop expired ones for every new campaign required massive development effort.

Another problem was that the general coupons often ended up posted on online deal communities. To control the promotional budget and counteract coupon misuse, the iBOOD team wanted to limit some of the discounts to new customers only. To make things worse, launching and managing coupon campaigns targeted at 2 million customers in seven different countries needed ultimate cooperation between marketing, operations, and development teams across a number of locations.

“Voucherify lets us launch a variety of campaigns, e.g. birthday campaigns, re-activation campaigns, welcome campaigns, specific product category/brand campaigns, and more. The overall goal is sales/conversion, more specifically: to re-engage customers or to help them with their first purchase.”

To solve all their challenges, iBood started using Voucherify. The unique coupon generator along with the promotion rule engine, enabled iBOOD to roll out promo campaigns using various marketing channels such as coupon deals aggregators, emails, partners, social media and referral programs.

Unlike generally available codes, unique coupons managed by the Voucherify platform are easier to track both channel- and location-wise. Dynamic customer segments also help the team build more personalized campaigns with fine-grained groups. Finally, if the campaign becomes problematic, the team can disable any coupon code with a single click.

Solution

To engage millions of customers, iBOOD needs a high level of automation. Thanks to Voucherify API, iBOOD can create discounts programmatically.

So far, iBOOD has created 1.5 million coupons with both marketer dashboard and API. But the promotion experiments don’t stop there; the marketing team is coming up with more and more scenarios to attract and convert customers.

iBOOD uses Voucherify as a one-stop-shop for their coupon activities in every country. The Marketing Team <> Voucherify <> Development Team cooperation helps drive revenue, control the promotional budget, and save massive engineering time. Here’s how it works:

The dashboard enables marketing teams to launch campaigns on their own. They use promotion manager to define every promotional feature like:

  • discount value (e.g., percentage off, free shipping),
  • number of coupon codes in a campaign,
  • start and expiration date,
  • applicable customer segments,
  • number of possible redemptions.

“We usually segment people based on the registration date or on the last purchase date and we control the promotions using a minimum order value threshold.”

This would not be possible without tight integration with online shop software. Thanks to powerful API as well as other building blocks, the development team was able to connect coupon validation and tracking within days. This setup helps iBOOD scale their promotional tactics at a fraction of the cost as they expand their multinational presence.

Results

1.5 million coupons created so far
Advanced targeting with customer segments
Rapid integration with shop software
5% higher conversion rate
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