How A² Category Analytics Brought a Fivefold Increase in Ice Cream Sales with a Data-Driven Approach
The FMCG company produces some of the most well-known international brands in the fields of nutrition, hygiene and personal care. In Estonia, they sell over 30 different brands, all international. In order to manage their product categories more efficiently, and to excel in product launches and increase store coverage and product count, they took the A² Category Analytics tool in use during autumn 2019. The real acid-test for the tool started, when they were preparing for the joint business planning session with Coop Estonia to plan 2020s summer ice cream lineup. Before presenting their novelties and coming up with the proposal, they wanted to fully understand the market trends and the relevant insights. They also wanted to understand what they are able to gain by including advanced analytics to their everyday processes and cooperation with Coop.
To maximize the impact of A² Category Analytics from the very beginning, they partnered up with Analyse². This Co-operation covered validating their hypothesis, shared workshops and joint action planning. The end result was a well augmented proposal for Coop Estonia to increase store coverage across their chains, increase the product count and deliver a carefully planned, successful brand refresh including the launch of a local brand. The thorough work, analysis and proposals that were based on facts, aiming to help Coop to grow the entire ice cream category were well-received and highly appreciated by Coop Estonia.
The end result was a well argumented proposal to Coop Estonia to increase store coverage across the chains, increase the product count and deliver a carefully planned, successful brand refresh including launch of a local brand.
Although the busiest ice cream season is still ongoing, the clear improvement in the results was visible already in the beginning of the summer season. The FMCG company has been able to increase store coverage and increase in household count proves that new shoppers have been brought to their brands. High store coverage has been reached for this summer’s novelties and the campaigns have reached incredible results: sales have gone up over 500%, ticket count over 600% and household count over 70% compared to the previous period. The shift of sales for a single-packs of ice cream also indicates that the carefully planned brand refresh and launch of a local brand has been successful and the high repurchase rates prove that shoppers have adopted the new products well.
The pilot actualized the high return on investment that the solution can bring to their operations.
The A² Category Analytics pilot in the end of last year was highly successful. Starting from this year, the data-driven approach and the learnings have been deployed across all the categories. The joint workshops and action planning together with Analyse² in the beginning worked as a true kickstart for the use of the tools. In addition, the pilot actualized the high return on investment that the solution can bring to their operations. Now the easy-to-use solution is a central tool in all internal planning as well as joint business planning with the retailer.