Alteryx > Case Studies > Southern States Cooperative Uses Alteryx to Improve Direct Mail Response Rates and Gross Margins

Southern States Cooperative Uses Alteryx to Improve Direct Mail Response Rates and Gross Margins

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Customer Company Size
Large Corporate
Region
  • America
Country
  • United States
Product
  • Alteryx Analytics
Tech Stack
  • Predictive Analytics
  • Data Extraction
  • Data Cleansing
  • Data Exploration
  • Data Modeling
Implementation Scale
  • Enterprise-wide Deployment
Impact Metrics
  • Cost Savings
  • Revenue Growth
  • Productivity Improvements
Technology Category
  • Analytics & Modeling - Predictive Analytics
Applicable Industries
  • Agriculture
  • Retail
Applicable Functions
  • Sales & Marketing
Use Cases
  • Predictive Replenishment
  • Demand Planning & Forecasting
Services
  • Data Science Services
About The Customer
Southern States Cooperative, founded in 1923, is one of the largest farmer-owned cooperatives in the United States. It is owned by more than 300,000 farmer-members and purchases, manufactures, and processes feed, seed, fertilizer, farm supplies, and fuel. The cooperative serves more than 1,200 retail locations in 23 states and sells products to farmers and rural American customers. The company enjoys strong customer loyalty and high brand recognition among agricultural professionals.
The Challenge
Southern States Cooperative, a large farmer-owned cooperative in the United States, wanted to optimize its marketing efforts, particularly its high-value direct marketing activities. However, the company faced significant challenges. It lacked a way to consolidate customer and marketing data from multiple sources across the company for analysis. It also lacked sophisticated tools to drive marketing analytics, relying instead on generic productivity tools like Microsoft Excel. This lack of access to relevant data meant that direct mailings were not targeted effectively, leading to unnecessary expenditure.
The Solution
In 2011, Southern States Cooperative chose Alteryx Analytics to improve the company’s access to critical customer and marketing data and rapidly build the analytics required to drive further improvements in its marketing success. One of the key selection criteria was the Alteryx solution’s unique ability to drive sophisticated analytics that include spatial capabilities. Alteryx enables even those without a strong technical background to unlock business and technical data to improve their decision-making. Using Alteryx, Southern States Cooperative now has dozens of analytics applications to make better business decisions across the company. To optimize its marketing efforts, Southern States Cooperative relies heavily on the predictive analytics tools within Alteryx.
Operational Impact
  • Alteryx has sped up the time between asking a business question and finding the answer.
  • Southern States Cooperative has been able to answer marketing questions more quickly and more efficiently, and has also been able to increase the volume of insights gathered.
  • With Alteryx, Southern States Cooperative can make connections it was not able to make before.
  • The company has been able to significantly reduce the cost of its mailings while increasing both response rate and revenue.
Quantitative Benefit
  • Reduced the number of catalogs mailed by 63 percent.
  • Improved the response rate by 34 percent.
  • Resulted in an incremental gross margin (less mailing cost) of $193,604, a 24 percent increase.
  • When the 2011 catalog was included, the total gross margin increased to $206,812.

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