Analysis of program results before and after launch
Posted: Wed Jan 29, 2025 7:05 am
Once the pilot project has been launched, it is necessary to continuously monitor the intermediate results and implement the main program only when they demonstrate a positive picture. The same basic indicators should continue to be monitored in the main mode.
By comparing the results of monitoring interior designers service email list the pilot and main projects, it is easy to calculate the efficiency of the loyalty system based on such measurements as the dynamics of the frequency of purchases, changes in the average check, and the level of customer churn. The key word here is dynamics .
Intermediate calculations are needed to understand the operation of a free customer loyalty program, and the final result is important for the company's management to determine how the implementation of the system will affect the further development of the business.
Similar studies should be conducted among those buyers who do not participate in the scheme. Comparison of results will allow ignoring seasonal fluctuations and external changes in consumer demand.
Cohort analysis
Cohort analysis measures the impact of a program on different groups of participants over time and across age, education, address, and other life-cycle stages.
The cohort in this case is not a division of the Roman army, but a group of customers with common characteristics who made a purchase at the same time. The accuracy of the analysis depends on the homogeneity of the composition of the people being studied. For example, young people aged 20 to 30 are a fairly common characteristic. But if you include in one group customers aged 20 to 30, who have an education above average and live in Volgograd, the analysis will be more accurate and useful.
Cohort analysis
This type of research is often used to determine the growth of consumption after customers have joined a loyalty program. Ideally, they should spend more and more money each time they make purchases. In real life, such linear growth, unlimited in time, is impossible. Analyzing the behavior of consumers united in a specific cohort allows us to calculate how much it depends on the duration of their participation in the program. Based on these results, loyalty systems for specific customers can be further adjusted and perfected.
Cohort analysis should only be applied to programs that have been in operation for several years and have not undergone major changes during this time.
If a firm has recently created or relaunched an incentive system, studying the behavior of customer groups will not be of any practical use unless the cohorts are compared separately before and after the program change.
By comparing the results of monitoring interior designers service email list the pilot and main projects, it is easy to calculate the efficiency of the loyalty system based on such measurements as the dynamics of the frequency of purchases, changes in the average check, and the level of customer churn. The key word here is dynamics .
Intermediate calculations are needed to understand the operation of a free customer loyalty program, and the final result is important for the company's management to determine how the implementation of the system will affect the further development of the business.
Similar studies should be conducted among those buyers who do not participate in the scheme. Comparison of results will allow ignoring seasonal fluctuations and external changes in consumer demand.
Cohort analysis
Cohort analysis measures the impact of a program on different groups of participants over time and across age, education, address, and other life-cycle stages.
The cohort in this case is not a division of the Roman army, but a group of customers with common characteristics who made a purchase at the same time. The accuracy of the analysis depends on the homogeneity of the composition of the people being studied. For example, young people aged 20 to 30 are a fairly common characteristic. But if you include in one group customers aged 20 to 30, who have an education above average and live in Volgograd, the analysis will be more accurate and useful.
Cohort analysis
This type of research is often used to determine the growth of consumption after customers have joined a loyalty program. Ideally, they should spend more and more money each time they make purchases. In real life, such linear growth, unlimited in time, is impossible. Analyzing the behavior of consumers united in a specific cohort allows us to calculate how much it depends on the duration of their participation in the program. Based on these results, loyalty systems for specific customers can be further adjusted and perfected.
Cohort analysis should only be applied to programs that have been in operation for several years and have not undergone major changes during this time.
If a firm has recently created or relaunched an incentive system, studying the behavior of customer groups will not be of any practical use unless the cohorts are compared separately before and after the program change.