Direct-to-Consumer (D2C) firms are continuously looking for new methods to stand out and flourish in today's competitive digital marketplace. Using Clootrack insights to accelerate their growth and reach new heights of success was a game-changer for one leading D2C business. This case study will look at how this brand used Clootrack's robust data and analytics capabilities to achieve a competitive advantage and produce results.
Case Study Background
This case study focuses on a coffee company, X, which had been successful in the market with multiple instant coffee brands under its name, including Brand A, Brand B, Brand C, and the premium Brand D.
The Problems of Brand D
Brand D's premium instant coffee brand saw a sales decline following a recent launch with modifications to its marketing, which presented a big challenge for the D2C brand, X.
Traditional market research techniques could not explain why this was happening, leaving the marketing and product teams with conflicting data.
This made it hard to decide on future campaigns and product improvements in a way that would not have led to significant investment losses and a prolonged period needed to harmonize departments.
The brand needed to determine the underlying reason for the sales drop to make strategic and tactical decisions and prevent more losses.
Data for this Case Study
Here, in this case, Clootrack considered 18,000 customer conversations. Brand X gathered customer feedback and grievances through various platforms such as websites, customer care, store feedback, etc. All the customer feedback after the launch for six months was considered for the study. This data was used for this analysis. Such customer conversations of all the brands – Brand A, Brand B, Brand C, and Brand D were taken for analysis.
What Did Clootrack Do?
Clootrack conducted a 4-step process:
Step 1: Identification of Adoption Drivers for the Category
Clootrack identified the factors that drove Brand D's consumers to adopt and purchase coffee. It used specific criteria such as aroma/scent, packaging/refills/packs, cost, usage/easy mixing/easy premixes, texture, and taste to determine the adoption drivers for coffee.
After its research, Clootrack observed that taste, texture, and ease of mixing were the primary motivators for customers to consume these items. In addition, these factors were identified as the most essential drivers of customer adoption and buying behavior.
Step 2: Drilling Down of Adoption Drivers
Then, Clootrack studied each adoption driver in further depth to better understand customer opinions and perspectives. The "drill down" required looking into each driver in greater depth to find the significant positive and negative issues raised by consumers.
The analysis revealed that while the "Taste" driver received comments regarding various elements of the product's taste, the "Texture" and "Easy Mixing" drivers received comments concerning the convenience of mixing and using the products.
This data could be utilized to make informed decisions regarding product development and marketing by providing helpful insight into customer preferences and concerns.
Step 3: Analysis of Brand Equity
Clootrack examined each brand's brand equity to see how well the brand is performing on the adoption drivers. The purpose was to establish each brand's relative consumer preference based on the adoption drivers.
The analysis revealed that Brand D's brand equity had dropped to its lowest point. Moreover, its brand equity was sometimes lower than its cheapest brand, Brand A. This data showed a decrease in consumer preference for Brand D compared to other brands, particularly regarding adoption factors.
This meant that the D2C brand needed to strengthen its brand equity by rethinking its product offering, marketing, or price approach.
Step 4: Drilling Down of Brand D Opinions
Finally, Clootrack conducted a more in-depth evaluation of customer opinions of Brand D. The goal was to acquire a more in-depth insight into what consumers were saying about the brand and to identify any areas of concern.
The analysis included delving into customer feedback to understand what they had to say about Brand D. Customers complained about a change in the taste and texture of the product, as well as difficulty in mixing.
This data identified areas where the brand needed to improve to better match the preferences and needs of its consumers, such as tweaking its recipe or changing the product composition, to address these customer concerns and boost customer satisfaction.
The Impact of Implementing Clootrack’s Customer Experience Analytics
Despite product advancements, Brand D had customer dissatisfaction as a byproduct of a change in the blend, which led to a slightly different taste and difficulty in mixing.
This problem was not discovered using traditional approaches because Company X did not know which precise elements to focus on, and panel responses were frequently unsatisfactory.
Given Clootrack's strategy, Brand D will now continue to strive for excellence and collect more meaningful feedback from its consumers in the future to ensure the most excellent level of satisfaction.
Moreover, Brand D relished Clootrack's advantages in identifying and analyzing adoption drivers, brand equity, and customer opinions.
Finally, the Advantages of Clootrack’s Customer Experience Analytics Platform
Clootrack provides businesses with many advantages, such as:
1. No effort spent by the client company:
Company X did not have to spend time or effort creating surveys, obtaining permissions, or performing similar tasks. This allowed the company to focus on other aspects of its business while still getting significant market insights.
2. Insights in 7 working days:
One of this strategy's most significant advantages is the quickness with which it gives information. For example, the D2C brand acquired and evaluated data in 7 working days to understand the market completely.
3. No resource deployment by the company:
As Company X did not need to invest any resources in the research, it was able to free up resources for other projects. This strategy enabled the company to gain market insights without compromising its other goals.
4. Unbiased conclusions and insights backtracked to original verbatim:
The analytical results were also unbiased, giving the D2C brand an honest and objective market image. If required, they may trace the insights back to the source text, allowing them to validate the facts.
5. Support of trained data scientists:
Company X also has on-demand access to professional data scientists, allowing it to get answers to any questions or issues that may emerge throughout the research.
6. Consumable insights:
The insights gained through this technique are consumable, which means they are simply understood and can be utilized to inform the company's decision-making processes. Overall, this technique gives the company a quick, efficient, and beneficial means to obtain market data.
7. Access to real-time insights:
Clootrack's real-time analysis of billions of customer interactions gave Company X important information about the likes and dislikes of their customers. It can access this to provide a better customer experience and increase customer satisfaction by making well-informed decisions hereafter.
Conclusion and Final Thoughts
When a major D2C business, X, suffered a sales slowdown with their premium instant coffee brand, Brand D, the adoption of Clootrack insights proved game-changing. The company acquired significant insights into its consumers' perspectives and experiences by employing Clootrack's extensive data and analytics capabilities, which were critical in discovering the reason for the sales slump.
The four-step method of identifying adoption drivers, diving down on the drivers, examining brand equity, and drilling down on consumer opinions resulted in a thorough knowledge of Brand D's difficulties.
Customers were disappointed with the change in taste and texture and the difficulty in combining, which was not noticed using traditional techniques.
The advantages of this method include the following:
- The ability to make intelligent decisions and prevent investment losses.
- Greater customer satisfaction.
- The opportunity to consistently strive for excellence through more meaningful customer feedback.
Clootrack's strategy helped the D2C brand, X, revitalize its failing product, Brand D, and ensure its long-term success in a highly competitive digital market. Hereafter, to provide the highest level of satisfaction, the brand will likely strive for excellence and receive more meaningful feedback from its consumers.
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