To implement the PDCA cycle not only in the direct area but also in the brand area

Want to visualize "connections" including brand areas

Q. What challenges have you faced in marketing so far?

Mr. Imai:The main mission of the New Strategy Group, of which I am manager, is to acquire new customers.

One of the goals of ORBIS' rebranding in December of last year was to break away from the image of being a "mail-order company" and develop a brand business. By developing a brand business, we hope to eventually shift away from push-type marketing, where manufacturers approach customers, and create a pull-type situation in which customers come to ORBIS. If we can create a situation in which customers are motivated to search for products and visit ORBIS, we can lower the CPO and overwhelmingly increase the LTV.

To achieve this, before the rebranding, most of the advertising budget was invested in the direct area, but now we are increasing investment in the brand area. However, while it would have been easy to evaluate measures if we had only focused on the direct area as in the past, it has become difficult to see which measures are contributing to acquiring new customers and sales as we carry out various measures such as TV commercials, web videos, and events. We also conduct attribution analysis, but there are media where the effect cannot be measured due to the disconnection between browsers and apps, and it is difficult to see connections such as "conversions have increased as a result of watching web videos," making investment decisions very difficult.

Also, because they couldn't see the connection, even if they carried out continuous promotions two or three times, they couldn't look back and the PDCA cycle didn't work.While the PDCA cycle was always running in the direct area, the PDCA cycle was not running in the brand area, so from the standpoint of looking at both in an integrated manner, the brand area had a relatively strong sense of issues.

Dear townspeople:The communications strategy group I belong to takes a bird's-eye view of the customer funnel across channels and plans optimal brand communications.

Taking advantage of the rebranding as an opportunity, we are now proceeding with the design of customer-centric cross-channel communication that is not based on mail order as in the past. In order to realize end-to-end communication with customers, each department has begun to work together across the board, but when we thought about "looking at LTV across channels," although each department had their own KPIs, there was no system that could evaluate the overall good or bad with a common indicator. Therefore, we felt that there was a challenge in the future, when we are able to achieve end-to-end communication with customers, we must also have a system in place to evaluate it at the same time.

It is necessary to both track individuals and take a bird's-eye view of the whole

Q. Why did you decide to use MAGELLAN?

Mr. Imai:Since mail order sales account for a large percentage of ORBIS's sales, it is easy to obtain data linked to individual customers, and until now, promotion evaluations have mainly been based on an approach of "identifying and tracking individuals." MAGELLAN does not follow individuals, which is different from ORBIS's previous methods, so there were some concerns within the company about the accuracy of the analysis.

However, I believe that both an individual approach and an overall bird's-eye view approach are necessary. If you rely only on an individual approach, you will end up looking at the trees but not the forest. I wanted to avoid a situation where you look only at the trees and end up with a distorted forest when viewed from above, so I decided to introduce MAGELLAN, which provides an overall bird's-eye view.

Dear townspeople:ORBIS does not have a specialized team for data analysis, so I think it would have been a little difficult to introduce MAGELLAN without support. However, we received solid support for the initial introduction, such as holding numerous explanatory sessions for members of each department, and the fact that we had that kind of support made it easy to consider introducing it.

From visualizing new acquisitions to visualizing repeat customers

Q. Please tell us about your future plans for using MAGELLAN.

Dear townspeople:As a small start, we are focusing on the new acquisition area, which has the largest investment in promotion, by providing trial sets or first-time purchases of the product. We would like to comprehensively analyze all measures and clarify which measures are contributing to new customer acquisition and sales. After achieving this, we would like to expand the target to include repeat customers who will continue to purchase the product for a long time, and visualize and optimize the overall effectiveness of the measures in a convincing manner.

Mr. Imai:In order to make full use of previous measures and turn the PDCA cycle, we would like to look at the "depth" of the results over time in addition to the "breadth" of new and repeat purchases. Through this project, we would like to gain knowledge about determining the optimal investment balance in the brand area.