Understanding Customer Loyalty and Trade Area Dynamics

KRYSTAL HAMBURGERS

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Situation:

An 80-year old fast food restaurant chain needed to increase sales.

Analysis:

Alexander Babbage segmented their customer base and identified that 84% of their sales came from 41% of the population and determined what was most important to this core customer.  With this knowledge, Krystal re-focused product development and marketing on the core customer and increased patronage, loyalty, recency and frequency.

Result:

Five years of transaction declines were reversed and the brand is growing again among a core, loyal customer base.

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