Success story
Definition and launch of Danone Waters first Direct to Consumer
Type of project:
Direct to Consumer
Sector:
Food & Beverages
Years:
2016-2018
Profile involved:
Business Strategy
Customer Strategy
UX
Visual Design
Content
IT
Legal
Performance Marketing
MPO
Marketing Automation
+400 %
Digital client
vs. traditional client consumption
+165 %
Conversion rate
2017
-12 %
Client acquisition cost
(CAC)
Aware of the need to launch a new Direct to Consumer business model that allows them to get closer to their consumers and obtain consumption data, Danone Waters seeks the help of BeRepublic to create, launch and operate a pioneering home delivery service for bottled water.
More and more large corporations are betting on start-up culture for its greater go-to-market agility, its consumer-centric approach and its data thoroughness.
Type of project:
Direct to Consumer
Sector:
Food & Beverages
Years:
2016-2018
Profiles involved:
Business Strategy
Customer Strategy
UX
Visual Design
Content
IT
Legal
Performance Marketing
MPO
Marketing Automation
Starting point:
Font Vella had previously developed their own plans to reach the digital client. After several failed attempts, in 2016 it began collaborating with BeRepublic to study how a traditional company in this sector could begin to operate in the digital sphere with guarantees and in the shortest possible time.
Objetives:
Define the business and operational model of the new Danone Waters e-Commerce for DTC water sales, with an exhaustive Business Plan for profitability and sustainability, an MVP product, a launch strategy and an operational plan for the different channels.
Project deliverables included a comprehensive business plan, a customer segment survey and a diffusion media plan, among others.
Strategic focus
- Business Model Definition
We define the client segments, the product strategy, the communication channels, the monetization model and the technological platform, as well as its basic output functionalities.
- Define the Operating Model
We also take care of aspects such as product flows, the logistics model or customer service to ensure proper business operations.
- Business Plan and Unit Economics
We prepared a comprehensive business plan that included direct income and associated costs.
- Lines of Income and Estimated Sales
We calculate the potential clients of the service considering the growth capacity of the business by population zones and client typologies. We estimate the demand through a media investment plan and KPIs (CPM, CPC, CTR, CR, CAC) for each of the different channels, and adjust the results according to the expansion of the brand and the service.
- Costs
We detail the operating costs (technical, logistic, marketing, personnel) and staff size, adapting the figures to the evolution of the business.
- Metrics
Financial estimates (monthly cash flows, capital requirements, NPV, IRR) and key operating metrics for future follow-ups.
- Sensitivity Analysis
We performed a sensitivity study on the hypotheses to identify key levers and result ranges in different scenarios.
Launch
After performing a study of opportunities to launch the service in strategic areas and analyzing the client micro-segments, we defined the Marketing Plan for the launch of the new product.
Subsequently, we design and execute the online Media Plan, the Acquisition Plan and the CRM campaigns.
We also implemented a analytics tool whose data, displayed in a business metrics dashboard to follow up on the original Business Plan, would allow us to carry out CRO actions to optimize conversion.
The start-up approach allows Font Vella to better understand their customers to customize service, solve real consumer pain points to improve customer satisfaction and gain agility in decision making and execution in the go-to-market.
The different communication pieces of the project responded to real triggers identified in the users and had a clear focus on conversion.
Results
Font Vella’s commitment to collaborate with BeRepublic in this crucial phase of their transformation brings positive results at all levels:
- The service is brought closer to all homes and offices in Barcelona with a customer-centric approach.
- We achieved a very high consumer satisfaction/loyalty
The customer’s consumption of Font Vella en Casa exceeded that of the traditional Font Vella consumer by 400%.
- Font Vella achieves a cultural and organizational transformation that is allowing them to lead the sector in the current context.
- We ended 2018 with positive Unit Economics.
“BeRepublic has provided us with the digital and business knowledge necessary to drive an innovative project like Font Vella en Casa.”
JAVIER GONZÁLEZ
DIRECTOR OF THE FONT VELLA BUSINESS ACCELERATOR
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