Mu Sigma
72 Case Studies
A Mu Sigma Case Study
Mu Sigma worked with a Fortune 500 gas and retail chain operating more than 1,000 stores that had launched a loyalty rewards program and quickly found itself overwhelmed by customer data. The customer’s challenge was to understand how to use this new data to increase share of wallet across the customer base, while moving beyond a mostly heuristic approach to campaign design and segmentation.
Mu Sigma implemented a data-driven loyalty campaign framework that created deeper micro-segments from rewards-program purchasing behavior and introduced “pitching” and “catching” tools to target promotions and measure their performance. The solution helped the retailer better evaluate campaign value, monitor KPIs, and optimize promotions over time; in two states, Mu Sigma found that elevating each customer by one loyalty class could drive an estimated $13 million in additional annual revenue.
Fortune 500 Gas and Retail Chain