Global pizza chain Pizza Hut has tapped cloud software solutions provider Capillary Technologies to increase store sales and improve profitability.
Capillary Technologies on Thursday said Pizza Hut, which has more than 12,500 restaurants across 91 countries, uses its Multi-Channel Intelligent Customer Engagement to incrementally capture, structure and leverage large quantities of customer data.
“Analytics-driven offers lead to more effective responses amongst both loyal as well as new users and have generated higher sales returns for us,” said Juliana Lim, senior marketing director for Pizza Hut.
Capillary’s solution enables the brand to break down its customer base into numerous clusters and micro clusters based on expressed characteristics, purchase tendencies and behavioural indicators. In Singapore alone, the brand serves more than 1.1 million households defined by unique tastes, behaviours and consumption habits.
Resulting fact-based insights about each customer cluster is fed into Capillary’s Lifecycle Marketer solution where engagement programmes are designed and deployed across thousands of targeted consumer engagement workflows using campaign automation.
Capillary’s Lifecycle Marketer has already created 6,000+ customer behavioral groups for Pizza Hut, empowering the brand to predict future purchases and execute campaigns at preferred times via customers’ preferred engagement channels (direct mail, email, text message and more), yielding incremental sales growth across its restaurants and delivery business.
“Within the Asian markets, the restaurant and food delivery businesses are extremely saturated and dominated by a wide variety of organised retail brands plus a plethora of single and independent retail outlets. High discount margins are prevalent, consumers are prone to impulse buys and repeat business is difficult to earn and predict,” said Anant Choubey, vice president and regional head, Asia-Pacific for Capillary Technologies.
Pizza Hut posted 200 percent jump in average campaign hit rates across customer segments, 38 percent improvement in Pizza Hut’s customer retention rate, 9 percent increase in customer visit/purchase frequency in just seven months, and up to 6 percent extra sales generated every month since the program was started.