Galeries Lafayette
How DinMo helped Galeries Lafayette leverage Artificial Intelligence to turn its customer data into profitable growth
Introduction
In their two centuries of existence, Galeries Lafayette department stores have withstood successive wars and the emergence of a number of competitors: hypermarkets, specialist retailers, ready-to-wear chains, e-retailers and so on.
However, the Covid19 crisis has had a major impact on their business, with stores being closed and tourism severely restricted. In response, Nicolas Houzé decided to expand his concept by combining luxury and mainstream fashion, while opening up his e-commerce channel.
However, with the digital environment already saturated, companies are facing increased competition and ever-higher customer acquisition costs. Galeries Lafayette was therefore looking for innovative ways to improve the efficiency of its ad spend.
Needs
Galeries Lafayette had a large customer base, but was unable to exploit it for its marketing strategies. And yet, the possible uses were broad: acquisition, upsell, cross-sell, customer loyalty and retention.
Galeries Lafayette wanted to use its first party data to improve campaign targeting and maximize ROAS.
In this context, Galeries Lafayette's e-business teams needed to be autonomous in order to create their customer segmentation and send their audiences to their marketing platforms, even though they had no technical skills.
Results
Here are some of the most significant outcomes of our collaboration with the Galeries Lafayette:
Creation of 40+ segments to personalize experiences based on product / brand / promotions sensibilities
Use of predictive metrics to create additional segments that are 4 times more effective than segments created with business rules
Enhanced Customer Experience
Detailed results and methodology
DinMo provided Galeries Lafayette with a tailored Composable CDP that helped overcome their challenges.
Thanks to DinMo, e-business teams are now autonomous and have been able to implement different strategies on Google Ads, Meta Ads and Tik Tok Ads:
Exclusion of existing customers from acquisition campaigns
Exclusion of core customers identified as "lost" from all campaigns
Personalization of experience and advanced offers according to product, brand or promotional sensitivities
And much, much more!
DinMo also provides predictive data to enrich the view of existing customers.
For each customer, the probability of churn (at different time horizons) and the expected additional Lifetime Value (LTV) are added to the Customer 360 thanks to our platform's artificial intelligence.
This data can then be exploited by Galeries Lafayette teams to focus their marketing efforts on people who can still be influenced and personalize their offers / experiences.
The metrics proposed by our artificial intelligence enable Galeries Lafayette to better segment their customer base. The proposed segments are 4 times more effective than segments created with business rules
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