Applied Predictive Technologies
26 Case Studies
A Applied Predictive Technologies Case Study
A large chain of auto service centers ran a month-long targeted coupon for wheel alignments and wanted to know whether the promotion drove truly incremental transactions or merely subsidized existing customers. High day-to-day noise in invoice data made it difficult to isolate the coupon’s effect and determine its profitability.
Using APT’s Test & Learn® software to compare coupon-distributing “test” centers with matched “control” centers, the company found a 12.1% increase in wheel alignment invoices during the redemption period with no pull‑forward effect afterward. The lift was driven mainly by new customers (14.3%) while loyal customers showed a decline, and although alignment margin per transaction fell modestly, increased rest-of-basket margin and targeted rollout to centers in competitive or lower‑income areas (and those with fewer prior promotions) produced an estimated $1.6M in incremental annual margin.
Large Chain of Auto Service Centers