The Loyaltees Awards highlight leading and innovative brands in the restaurant and retail industries. When it comes to incredible guest engagement strategies, this year's winners set a new standard of excellence.

 
 

Pinkberry® Drives New Product Trials with Measurable Lift and Attribution

“The most amazing thing about the Pinkbee’s Double Points promotion was that these results turned traditional marketing science on its head by proving that it is not the open rate, but the customer engagement that determines success. The Pinkbee’s Double Points promotion generated numbers that indicated higher sales, visit frequency, and sales lift, and also indicated which subject line performed better. The results were enlightening.” -- Jessica Wegener, Director of Digital & Interactive Development, Kahala Brands

 

The Organization Pinkberry® launched in Los Angeles, CA in 2005 as the original brand that reinvented frozen yogurt. Today, over a decade later, Pinkberry continues to create great tasting treats with fresh ingredients in an experience comprised of distinctive product, outstanding service and inspirational design. At Pinkberry you can taste the difference of an uncompromising commitment to quality and freshness. Most recently, Pinkberry was acquired by Scottsdale, Arizona-based Kahala Brands™, one of the fastest growing franchising companies in the world with a portfolio of 22 quick-service restaurant brands and approximately 2,900 locations in 28 countries.

The Challenge Pinkberry introduced a new summertime innovation: Pinkbee’s™, a low-fat milk ice cream that combines the creaminess and quality of traditional ice cream with a health-conscious approach. Pinkberry wanted to promote the new product while driving a sales and visit lift over the busy Fourth of July weekend. The challenge was choosing the right offer and message strategy to compel loyalty members to act during the short-lived promotion window, July 1 through July 4.

The Solution

Pinkberry’s Paytronix Data Insights Strategist suggested the team use a targeted double-points offer to motivate purchases. The Strategist suggested double points based on its in-depth knowledge of the responsiveness of the PinkCard members as well as the economics of the promotion. In the past, Pinkberry had conducted head-to-head tests between double points offers and other offers including dollar off a purchase. With each test, the conclusion was obvious: Double-points offers effectively move the needle on new product trials. Double points promotions typically change behavior quickly while helping members get closer to earning rewards. The closer members get to earning rewards, the more committed they are to winning the reward. As an added bonus, the team typically sees a pattern of reduced time between visits following a double points promotion.

In order to measure the efficacy of the campaign in terms of incremental visits and spending, Pinkberry utilized the new Target-and-Control feature. In designing this promotion, Pinkberry held out a percentage of the targeted group in a control group so that it could detect the level of visits and spend that would occur naturally, without the influence of the promotion. 

The Results The double points promotion motivated thousands of Pinkberry fans to extend their taste buds by experiencing the newest innovation, Pinkbee’s. The delta in both visits and spend were up as compared to the control group, demonstrating that the promotion drove incremental visits and spend. Again, double points proved to be the right offer for motivating the trial of a new product.

One of the most interesting results from this campaign was discovered when the Data Insights team compared the results between the two email versions. Each offer and email was identical with the exception of the subject line.  Subject Line A, with an open rate of 14.2 percent drove a 15.7 percent lift in spend and a 15.6 percent frequency increase.  Whereas, Subject Line B, with an open rate of 16.0 percent resulted in a 10.3 percent lift and a 12.3 percent frequency Increase. That’s right, the key learning from this data was that open rate is not a good indication of email performance. In this case, the email with the lower open rate delivered more visits and spend than the email with the higher open rate. If this program used a traditional A/B test which sends the email with the higher open rate to the target audience, it would not have performed as well when measured by visit and spend metrics.

PinkBee’s Campaign Results:
Pinkbee