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Vodafone Turkey - B2B Brand Experience of the Year

Gold Stevie Award Winner 2016, Click to Enter The 2017 Stevie Awards for Sales and Customer service

Company: Vodafone Turkey, Istanbul
Entry Submitted By: Ketchup Loyalty
Company Description: Vodafone Turkey is the 2nd largest mobile communication company of Turkey with nearly 22 million users. Being the second biggest international investor of Turkey, Vodafone Turkey operates in 81 cities with its more than 3300 employees, more than 1200 stores, 23 thousand points of sale.
Nomination Category: Marketing Campaign Categories - Specialty
Nomination Sub Category: Brand Experience of the Year - Business-to-Business

Nomination Title: Vodafone RED Business – Car Journey

Tell the story of this nominated brand experience program for the judges (up to 650 words). Describe the genesis, planning, execution, and results to date of your campaign

GENESIS

Vodafone Red Business is the corporate and affluent segment of Vodafone Turkey. Small to medium sized corporate subscribers with more than 5 lines are placed in Red Business Segment. Red Business aims to become a long term partner for Red Business customers, in addition to providing full technical support as a technology partner. While Vodafone Red Business members can benefit from all individual Vodafone Red campaigns, they also have specific campaigns only valid for corporate members.

GOALS

Red Business aims to create value for its members by reducing their main cost items. Research conducted by Red Business showed that the biggest costs of SMEs’ lives are caused by car, office and transportation expenses. After identifying the main cost items, Vodafone Red Business decided to focus on the car journey of its members as the first step of loyalty campaign management.

DEVELOPMENT

All operational organization and technical operations are conducted by our loyalty agency, Ketchup Loyalty Marketing.

First campaign of car journey was 50% discount at Budget car rental, which helps to reduce car rrental cost of Red Business members. Since many SMEs are travelling for business related purposes, the campaign gains attention of Red Business members.

The journey continued with free car wash campaign at Otovinn stores. This campaign targeted the white collar employees of SMEs. White collar employees either have their own car or they drive a company car. In both cases, car wash is a fundemental and reoccuring need of employees who drive car. Red Business members have a free car wash right from Otovinn, which has the largest car wash store network in the country.

After having satisfied the car wash need of Red Business members, Vodafone Red Business moved to car tire renewal subject. During the tire changing season, Red Business offered its members to change four tires with 200 Turkish Lira discount from Goodyear shops to contribute SMEs budget saving.

Car journey of Red Business members contiuned with a gasoline campaign, which provides 15 USD discount for gasoline shop of 45 USD. So that, another reoccuring money consuming item of owning car is lowered in the budget of SMEs.

Lastly, Red Business moved on with a Car Service campaign. Aligned with this concept, Vodafone Red Business members could get periodical care of their cars with 20% discount at Bosch Car Sevrice, where all the car models of different brands can get car care.

RESULTS

To evaluate the effectiveness of loyalty campaigns with focus on car journey, Vodafone Red business conducted a churn analysis. Analisys showed that the churn ratio of Red Business members that do not benefit from loyalty campaigns is 75%, whereas this ratio is 15% for the ones that benefit from loyalty campaigns. This significant difference showed how correct decisions had been made about providing Red Business members a complete car journey in Red Business loyalty program.

More than 243K user benefited from Red Business campaigns in 2016 about 69K of these members are unique users. 47K of unique users came from car journey campaigns.

Over 4 M USD benefit (including GSM and non-GSM campaigns) were provided to Red Business customers in total. (not for publishing)

Over 2.2 M USD benefit is created for Red Business customers from non-GSM campaigns in 2016, about 1.5M USD of this amount is created through Car Journey campaigns and benefit per user is 32 USD on these campaigns. Total benefit increased 66% year on year, while cost per member decreased 20% year on year.

More than 62 campaigns (5 car concept campaigns) have been provided to Vodafone Red Business members and more than 340K vouchers issued in 2016 (35K vouchers for car journey concept). Campaign redemption rate was over 71% (50% for car journey concept).

According to Ketchup’s Yearly Loyalty Programs Research, Vodafone Red with its corporate and individual members has became number one loyalty program listed in Lovemarks within the telecommunications sector.

In bullet-list form, briefly summarize up to ten (10) of the chief features and results of the nominated campaign (up to 150 words).

-Red Business is the corporate and affluent segment of Vodafone Turkey. Red Business aims to become a long term partner for Red Business customers, in addition to providing full technical support as a technology partner.
-After identifying the main cost items of SMEs, the Segment decided to focus on car journey for Red Business members. They offered discounted car rental, free car wash, discounted tire renewal, gasoline and car service for their subscribers.
-Churn ratio of Red Business members that do not benefit from loyalty campaigns is 75%, whereas this ratio is 15% for the ones that benefit from loyalty campaigns.
-Over 2.2 M USD benefit is created for customers from non-GSM campaigns in 2016, about 1.5M USD of this is created through Car Journey campaigns and benefit per user is 32 USD on these campaigns. Total benefit increased 66% year-on-year, while cost per member decreased 20%.