Dr. Max
A complete change in data warehouse architecture jump-started the performance of one of the largest loyalty programs in the Czech Republic.
- Loyalty programme redesign within 6 months
- DWH Architecture for over 3 million customers
- BI reporting for strategic and operational decisions
- Registration process design with minimal drop-out
- Streamlining the entire customer care centre, including the call centre
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With CEOS Data we have built the largest loyalty programme in the Czech Republic, which is used by over three million customers. It's based on an omnichannel approach, so whether a customer comes into the store, orders on the e-shop or communicates with us via email, we always know who they are and their history with us. We tailor our offers to our customers and they can use them either way. And that's what suits them.
Václav Filip
CRM manager, Dr.Max
”
Client
Dr.Max - pharmacy chain on a European level
The Dr.Max pharmacy chain is one of the most important players on the Czech pharmaceutical market. Since its establishment in 2001, it has grown to about 500 branches across the country and is still developing. Dr.Max focuses on the sale of medicines, medical products and cosmetics. Its extensive product range, own brand medicines, innovative service and competitive prices have gained a wide customer base. Currently, Dr.Max continues to expand in foreign European markets.
Challenge
Consolidation of customer data and reconstruction of the loyalty programme
- Consolidation of large volumes of data with high error and inaccuracy
- Re-registration of all customer program members
- Proposal for a solution that does not burden the company's accounting with doubtful items
- Preparation of a sufficiently robust architecture suitable for the growth of the company
- Smart and powerful loyalty programme design
In 2010, a major renovation of the existing loyalty program became one of the key elements of a planned expansion for the Dr.Max pharmacy chain. CEOS Data's task over the next few months was to bring a fresh perspective to the entire solution, design a robust and sufficiently sized architecture, and ensure the technology was functional for the client's ambitious plans.
The customer has long struggled with poor loyalty program performance - both from a technical perspective and from the ability to use the collected data's potential.
Along with the need to change the technical solution, the client was also planning an extensive acquisition of new customers. The original solution was not capable of delivering the full range of Customer and Business Intelligence analysis, suffering from large volumes of unusable data with high error and inaccuracy.
The most important function of the loyalty programme from the customer's point of view, i.e. the collection of points, placed a significant burden on the company's accounting in terms of self-administration and the creation of accrual items. The re-registration of existing loyalty programme customers also proved to be a necessary step.
Solution
New robust data warehouse architecture,
quality BI reporting and sophisticated loyalty program
Due to CEOS Data's long-term cooperation with the customer, the baseline analysis was very accurate and efficient.
We have identified the following areas as the key body of program modernization:
- Data warehouse architecture
- Scalability of reporting
- Linking solutions with marketing tools
- Creating a smooth re-registration strategy
DWH architecture for 3 million customers
Thanks to the new DWH architecture, the entire system is ready to grow to multiples of its original size from the start. Today, the Dr. Max pharmacy loyalty program is the largest in the Czech Republic with more than 3 million clients and the solution is designed for further growth. Due to the expansion of the entire group in Central and Eastern Europe, this capability will be extremely important in the near future.
Re-registration with minimal drop-out
The original system did not contain very reliable data, which is why re-registration of all existing members of the loyalty program proved necessary. We have ensured the smooth running of the system for creating new registrations and for managing them. Thanks to quick access to the database, the work of the company's own call center, Dr. Max, whose information and management was ensured by a solution from the CEOS Data workshop.
Results
The new loyalty system is built on technology that handles the company's 1000% growth
- Modern and robust loyalty program architecture ready for business expansion
- Accurate and fast reporting for effective decision making
- Streamlining call centre work through access to reporting
- Data analytics connected to other corporate tools
- Reliable and secure customer data collection
Complete solution delivered in 6 months
In just six months, a fundamentally redesigned system has been created that is powerful and robust enough to serve its purpose even in the face of very rapid growth, and the resulting increased demand for technical solutions. The deployed analytical tools and the resulting reporting have significantly changed the company's ability to use data to make correct and informed strategic and operational decisions, helping it to become a market leader in the Czech Republic and Central Europe.
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During our cooperation, the network of Dr.Max pharmacies has expanded from 40 to 460 today. The newly designed data warehouse, which is the heart of the entire solution, has therefore handled the company's growth of more than 1000%.
Pavol Zemaník
Technology consultant, CEOS Data
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Reporting useful for all levels of the company
A major benefit of the proposed solution is the possibility of accurate and extremely fast reporting. It can be used not only by top managers of the company, but also by practically all interested employees. Thanks to this, it is possible to operatively create new reports designed for almost any group of users. All this on the client side. This brings unprecedented flexibility and efficiency to the entire loyalty program.
Quality customer data analytics determines marketing strategy
With reliable and deep information, it is now possible to research and exploit important customer buying habits with respect to time and location. The data analytics is followed by the use of a set of other tailor-made business applications (e.g. for sending precisely targeted email offers, automatic segmentation, etc.).
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Customers benefit from having a smart loyalty programme by receiving relevant offers from us at the right time through the most convenient communication channel for them.
Václav Filip
CRM manager, Dr.Max
”