Intelligence Awards 2004: Direct Mail (low volume) - The Eurodirect Award

WINNER

Project: Proving The Value Of Transaction Data In The Gaming Market

Company: Effective Direct Marketing

Client: Gala Group

WINNER Gala Group is the largest bingo and casino operator in the UK, but changes to gaming industry rules mean the market will become more competitive.

Gala tested using member transaction data to stay ahead of the game.

By segmenting members by the game they played - bingo, party bingo or slot machine - it planned to persuade them to change their play pattern to a more profitable mix, increasing overall profitability.

Working with Effective Direct Marketing, Gala tested one bingo club first.

Analysing member data, it split members into groups depending on what they played. It then divided each group according to frequency and profit margin.

Groups were mailed with a variety of campaigns and incentives to encourage them to try new games, according to play pattern and member value.

As tests had to be carried out over a 10-week period, within a £15,000 budget, all incentive vouchers were barcoded and digitally printed, making mid-campaign changes easy to implement, and providing trackable data.

Results were tracked on three levels: daily campaign reporting showed percentage take-up of each campaign offer and cost per response, while the percentage change in margin was monitored weekly. By campaign, the weekly margin generated by responders in the mailed group versus the control group was measured.

The campaigns produced an increase in margin that, if rolled out across the entire estate, could see a substantial rise in profits.

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