Pizza Hut Achieves 12 Times the ROI with Predictive Behavioral Intel

| October 07, 2013

Pizza Hut attains a consistent sales growth of 5 per cent and 12X ROI from customer engagement in the last year by leveraging predictive consumer behavioral intelligence and targeted time-axis campaigns.
 
Pizza Hut has improved profitability and increased store sales with the help of Capillary Technologies’ Multi-Channel Intelligent Customer Engagement solutions. Pizza Hut is the world's largest pizza chain with over 12,500 restaurants across 91 countries.
 
Pizza Hut uses Capillary's Customer Intelligence solution to incrementally capture, structure and leverage large quantities of customer data. Capillary’s unique solution enables the brand to break down its massive customer base into numerous clusters and micro clusters based on expressed characteristics, purchase tendencies and behavioral indicators. Resulting fact-based insights about each customer cluster is fed into Capillary's Lifecycle Marketer solution where engagement programs are designed and deployed across thousands of targeted consumer engagement workflows using campaign automation. The combination of solutions allows for seamless communication with Pizza Hut’s customers across all channels – in-stores, via tele-ordering and through Pizza Hut's online portal, ensuring effective engagement no matter which channels customers choose.
 
Capillary’s Lifecycle Marketer has created 6,000+ customer behavioral groups for Pizza Hut, empowering the brand to predict future purchases and execute campaigns at preferred times via customers’ preferred engagement channels (direct mail, email, text message and more), yielding incremental sales growth across its restaurants and delivery business. As model complexity has evolved over the past year, Pizza Hut has witnessed successive increases in campaign performance, sales and overall customer experience with the brand.
 
In comparison to Pizza Hut’s former bulk promotions, automated lifecycle marketing with personalization has yielded:
 
A 200% jump in average campaign hit rates across customer segments,
A 38% improvement in Pizza Hut’s customer retention rate,
A 9% increase in customer visit/purchase frequency in just seven months, and
Up to 6% extra sales generated every month since the program was started.

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