Salesforce remains an important part of our ongoing expansion and digital transformation. It’s helping us identify new ways to drive value and really bring the customer journey to life.”

John Sette, Group Marketing Manager, Kathmandu
 
 

15x

return on social ad spend

Products Used
 

For Kathmandu, travel and adventure represent the ultimate life experience and it has spent the last 30 years designing products that encourage a sense of discovery. The Kiwi brand wants to provide customers all over the world with the gear and confidence to explore and take on new challenges. Customer-centricity and personalisation are essential to Kathmandu’s strategy, and it is using Salesforce to blaze its own trail and get closer to customers in Australia, New Zealand and new markets overseas.

“Salesforce is helping us unlock the full potential of our data and put the customer at the heart of everything we do,” said John Sette, Group Marketing Manager at Kathmandu. “It supports our growth and a very ambitious digital transformation.”

Kathmandu believes adventure begins when you pack your bag, and adapts its products to the evolving needs of its customers and the diverse places they travel. It began using Salesforce Marketing Cloud four years ago to tailor its communications as well, leveraging data collected through its Summit Club program.

Yelda Rahimi, Customer Marketing Manager at Kathmandu, explained that the program, which has over 1.9 million active members, offers incredible insight on customers and their purchases. “Salesforce provided a way for us to turn these insights into highly targeted campaigns and optimise the customer experience across our digital channels,” Rahimi said.

Kathmandu has increasingly personalised communications over the past few years and established a customer lifecycle program with 1:1 journeys designed for different personas. These include welcome journeys for new customers as well as post-purchase journeys based on specific product categories.

The company has also begun using Marketing Cloud’s Predictive Intelligence to turn insights and analytics on customer preferences into tailored content, delivered in email and via the web. It has found the conversion on content blocks informed by predictive intelligence to be double that of a standard product detail page.

Journey Builder and Predictive Intelligence is powering Kathmandu’s lifecycle programs, taking customers on unique journeys through its different product offerings. If someone purchases a jacket or a tent, for example, it can serve up recommendations on other winter clothing or camping equipment. “Using Salesforce, we can use the information we have about customers’ previous purchases to deliver 1:1 communication at scale. It helps us nurture relationships and drive conversion,” Rahimi said.

The lifecycle program, which runs across Australia, New Zealand and the UK, has in fact resulted in 194% growth on last year in attributed revenue. Attributed revenue of predictive intelligence has separately grown by 244% on last year. Both of these initiatives are helping Kathmandu get closer to its customers and its goals for growth.

Kathmandu is now using Marketing Cloud Advertising Studio to connect with customers and lookalike audiences on social media. Leveraging data from its Summit Club loyalty program, it is able to deliver more relevant ads and experiences, and increase conversion. Sette said that the marketing team’s success on social had contributed to the commercial performance of the business more than expected with return on social ad spend up to 15x. “Out of all of our digital marketing activities, using Advertising Studio has delivered some of the highest conversion rates. It’s also driven a much better customer experience online,” he said.

Further investment in analytics will help Kathmandu to create more meaningful customer relationships and experiences in the future. It wants to ensure it’s communicating to customers at the right time, on the right channel, about the right products. Customer journey mapping is key, helping the company to understand customer needs and the most important products and experiences to deliver next.

Salesforce provides both the technology and reporting the brand needs to optimise engagement. It continually monitors metrics such as open and click-through rates and, according to Sette, its marketing engagement performance is above industry best practice and revenue gains are significant. Kathmandu is also on track to hit its related growth targets 12 months ahead of schedule.  

“Salesforce remains an important part of our ongoing expansion and digital transformation. It’s helping us identify new ways to drive value and really bring the customer journey to life,” said Sette.

 
 
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