Industry
Company Profile
- Mobile and fixed telecommunication services
- Reseller
- Strong focus on digital sales
Situation and Objectives
- Client uses multiple sales channels
- Significant spread in cost of acquiring channels
- Client lacks full picture on quality of customers from different channels
Approach
- Transparency: Mapped cost per channel with customer life time per channel
- Involvement: Made every channel head assess the potential impact of doubling and halving the budget
- Simulation: Optimized the channel mix with an easy-to-use and highly focused tool based on the elasticity assessments of the client’s sales management team
Results
- Provided the client with a full picture of life-time margin including acquisition cost for the first time
- Based on these insights, the client changed its channel-mix significantly
- Client has a new strategy toward setting up its own digital captive channels
Impact
- High acceptance for change within the organization thanks to high involvement in project from the beginning
- 6% more sales with same budget thanks to more efficient channel mix