Improving the customer experience is part of Magazine Luiza's strategy. With a customer base of 44 million, improving communication through increased intelligence and personalization is critical.
“Magazine Luiza identified this opportunity for customer engagement a long time ago. In 2008, we began a journey to establish more effective and targeted communication. This was a challenge that largely involved the company”, comments Gustavo Nobile, Marketing and CRM manager at Magazine Luiza.
One of the retailer's first actions was the development of an e-mail management platform to communicate with the customer base. With the greater importance of e-commerce, the project grew in volume and relevance. In 2013, regulations and adjustment rules for ISPs had a significant impact on the nearly 4 million messages sent each day. And, in order to meet business needs, agility has become a critical factor, both in addressing the challenges of creating parts, all the way to personalization and content.
In April 2014, Magazine Luiza chose to use Oracle Marketing Cloud and its more comprehensive features. The fundamental factors for the decision were the need for a scalable and reliable solution and the integration with data sources and proprietary solutions without compromising information security.
Transition and implementation
The transition to the new solution took 5 months. Initially, first contact and anniversary communications were migrated. Gradually, other projects were adapted and moved to the new solution. "The migration to the Oracle solution was easier than expected," says Nobile.
In addition to the short time for full implementation of the new solution, the results also appeared quickly. A 5% increase in communications performance and conversion rates nearly doubled. Another benefit is that the new tool offers the possibility of analyzing customer behavior, such as knowing what was included in the shopping cart or left, pages and products visited, for example, enabling a more efficient recommendation system.
“Moving to cloud services would make no sense if implementation wasn't fast. The online world is very fast, and technology can only be efficient if it matches this pace”, highlights Rodrigo Galvão, vice president of Sales Automation CRM at Oracle for Latin America. “But it is also important to ensure that the platform is flexible and agnostic, capable of integration with other solutions and systems. The function of technology is to offer more efficiency, the customer cannot lose productivity trying to make different systems communicate”.
With the processes defined and adjusted, new possibilities for action and decision were made available to Magazine Luiza, from more intelligence to win back customers to the development of other relationship rules. Another important initiative that should be accelerated soon involves sales follow-up emails, which will have more information about the products purchased and special videos for the customer. “The idea is to gradually reduce mass access to the customer base and increase offers and personalized content”, concludes Nobile.
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