2. W
Develop an integrated eCRM program that creates behavioural
change and drives frequent, repeat purchase of Tap King refills
by directly engaging and incentivising the Occasional Kings
consumer segment.
Purpose of this document
3. W The challenge
We were concerned that Occasional Kings needed a
more critical and completely different motivation
to what has been offered before, in order to to
kickstart and maintain a Tap King refill behaviour.
So we took stock and revised the offer.
4. W Profile of an Occasional King
Purchase Behaviour:
• <3 x TK purchases
• Habitual tension:
• Want to get in and out (32%) but
• Influenced by promotions (44%)
• Willing to pay for quality (products,
services & experiences)
• Early adopters / influencers
Drinking behaviour:
• Carefree me time
• Mostly at their home with partner
• While consuming media (40%)
• Seeking ‘escape’ and to treat
themselves
Top Royal Pursuits:
1. Movies (39% of Kings)
2. Entertaining (37% of Kings)
3. Tech / Gadgets (32% of Kings)
Demographics:
• Even mix of males and females
• 28 - 39 years old
• High income earners
• Urban dwellers
Liquid of choice
5. W Supporting data
Sales vs Loyalty by Brand
0%
7.5%
15%
22.5%
30%
TN TED HSD XXXX JBP 150 L. Chancer
% of TK Sales % of Loyal Kings (3 + Freq)
Loyal Kings
Occasional Kings
Sales Behavioural
7. W Value proposition
Be the King of your Domain with entertainment on tap.
Watch whatever you want, whenever you want all while enjoying
the best draught beer in the comfort of your castle.
8. W Fresh approach: Entertainment on Tap
Our eCRM strategy is anchored by a major entertainment
service launch, keenly anticipated by our target audience.
We will leverage the popularity of Netflix in Australia and create
a two tiered loyalty scheme that will encourage trial, prompt refill
sales and reward consistent purchasers.
Ultimately, our eCRM program will provide an in-home beer
experience like no other and allow us to develop a strong,
ongoing consumer loyalty program.
11. Media streaming: Business case
Tap King is a premium priced, high quality
offering that relies on loyalty and referrals.
A recent study by Spotify shows the many
loyalty and price elasticity attributes that exist in
people who stream media.
Capturing consumers with these attributes helps
to deliver brand advocacy and protects against
switching.
W
12. W Media streaming: Consumer case
Media streaming (in particular VSOD) services have the highest
intrinsic value of any other offer currently available, as far as our
Occasional Kings are concerned.
Australian movie and technology enthusiasts have demonstrated
that they value these services well above the financial cost of
acquiring them by:
• Australians being notoriously the
highest consumers of pirated
entertainment content in the
world
• 340,000 Australians currently
hacking TV streaming services
overseas - and paying for it - in
order to view their content
13. W Media streaming and the Occasional King
Purchase Behaviour:
• <3 x TK purchases
• Habitual tension:
• Want to get in and out (32%) but
• Influenced by promotions (44%)
• Willing to pay for quality (products,
services & experiences)
• Early adopters / influencers
Drinking behaviour:
• Carefree me time
• Mostly at their home with partner
• While consuming media (40%)
• Seeking ‘escape’ and to treat
themselves
Top Royal Pursuits:
1. Movies (39% of Kings)
2. Entertaining (37% of Kings)
3. Tech / Gadgets (32% of Kings)
Demographics:
• Even mix of males and females
• 28 - 39 years old
• High income earners
• Urban dwellers
Liquid of choice
14. W Why Netflix? - Consumer case
*Source: Google.com/trends comparative search, Australia 24th February 2015 *Source: Sandvine video downstream sources, USA, 2013
15. W Why Netflix? - Business case
Brand fit
Monthly mechanic
Growth / interest
Cost / value adds
O
TBC
No hardware barrier
TBC TBC TBC TBC TBC
O
OOO
17. W Program mechanic
SILVER: Aquire
(Mandatory)
GOLD: Retain
(Additional)
Additional 2 x refills
*We are currently developing a partnership to secure pricing subsidies from Netflix in exchange for our co-
investment in their awareness and trial targets and Samsung in exchange for new TV launch promotion.
Trigger
Reward
Surprise & Delight
33,500 unitsReward cap
Monthly, basic .
subscription ($9.99)
entertainment pack:
The more codes,
the more chance
4 x Tap King kingies
N/A
Monthly, basic .
subscription ($9.99)
18. W Phasing & Sales analysis
*Worst case scenario - not including partnership subsidies from Netflix.
20% Loyalty 80% Loyalty50% Loyalty
Each option uses a total of 33,500 Netflix basic subscriptions and costs < $340,000*
Total ARs:
16,750
Loyal ARs:
3,350
Total beer sold (L):
321,600
Total ARs:
9,570
Loyal ARs:
4,785
Total beer sold (L):
275,616
Total ARs:
6,700
Loyal ARs:
5,360
Total beer sold (L):
257,280
19. W
4500
9000
13500
18000
MAY JUN JUL AUG SEP OCT
214,400
235,840
257,280
278,720
300,160
321,600
20% repeat ongoing engagement
= GOLD: Retain
(Additional)
= SILVER: Acquire
(Mandatory)
= Cumulative Beer volume
(L)
26. W
Welcome to
Entertainment on Tap
Welcome back to
Entertainment on Tap
Email
TK code 1
TK Code 2
TK Code 3
TK Code 3
Email
TK code 1
TK Code 2
Buyer journey
29. W Two phased communications
Phase One Phase Two
Test & Learn
Contained
33,500 Redemptions
May - Oct
Refine & Expand
Open
TBC
Oct +
Objective
Acquisition
Target
Timing
30. W Test & learn acquisition targets
95,000Exclusive
outreach
6,700 - 16,750One off Silver participation
3,350 - 5,360
7-17%
20-80%
Ongoing Gold participation
SILVER: Aquire
(Mandatory)
GOLD: Retain
(Additional)
31. W …if we need it
250,000 +
Call in
brand and
partner support
32. W Test & learn production & comms timeline
Mar
Additional
CommsOptions
Planned
Comms
Apr May Jun Jul Aug Sep Oct Nov
Internal/
Production
Production v1.0 Production v2.0
33. W Entertainment on tap evolution
Phase 1 - test & learn:
• 6 month program
• 33,500 x Netflix codes
• 1 x major Samsung prize pack
• Digital communication only
April 2015
FY16
Phase 2 - expand & sustain:
• Ongoing program
• Additional Netflix functionality:
• Personalised profile area
• “Other kings viewed” feature
• Exclusive events
• Direct debit trial
• Additional entertainment services (TBC):
• Spotify, etc.
• Additional major prizes
• Through the line communications
35. W Role of each channel
Role
Become the hub of the loyalty
program by providing
information and access to
rewards
Immediate Steps
Review UX and create seamless
login
Link automated eDM’s to
registration and redemption
Role
Inform and prompt action
Provide reassurance and
guidance
Deliver updates
Immediate Steps
Create promotional introduction
of offer eDM
Create eDM templates for each
King type
Create informative Netflix eDM
Create drop off templates
Role
Create interest
Drive traffic to website
Conversion channel (subscribers)
Immediate Steps
Create cut through ‘campaign
materials’
Push people through to new
content on website
Communicate loyalty program
Develop referral messaging
36. W
Entertainment on Tap .
Example content
Your Netflix Subscription will
end in 10 days
10 Trending shows on Netflix
Which Netflix blockbuster are
you watching more of with
your Entertainment on Tap
*Image and video content licensing are in scope of the partnership discussions with Netflix
vs.
Pick up more delicious
draught beer to keep your
entertainment on tap
38. W Next Steps & Timeline
Who What When
Lion Sign off on project scope 2nd March
White Provide confirmed SoW 5th March
Lion Approve SoW 10th March
Lion Confirm Samsung partnership & terms 13th March
White Confirm Netflix partnership & terms 13th March
White Begin production 16th March
White Tease program in March eDM 28th March
White / Lion Program launch 30th April - 14th May
White / Lion Initial program evaluation 1st June
*Timelines are based on discussed scope of works and assumptions and are subject to change is the scope does.
