It’s easy to read about how business intelligence can help a company thrive. From clear-cut actionable insights to the ability to make data-driven decisions in real-time. Evidence shows business intelligence is an undoubtedly powerful tool that any company can harness. But we’d like to look at one success story in particular. A company’s success story could utilise business intelligence to revolutionise its company.
When HelloFresh began packing and delivering meal kits to customers in Berlin back in 2011. They were one of the only meal-kit companies on the market. To scale their company to the worldwide range today, they had to harness data from their customers and use it to anticipate customer demands. The only way that this was possible for the company was through business intelligence software. Read on to hear the story of HelloFresh and how business intelligence helped turn it into the giant of the meal-kit industry today.
HelloFresh is a meal-kit company founded in 2011 that delivers fresh, pre-portioned ingredients and cooking instructions to customers worldwide. They have millions of customers in the US, UK, continental Europe, and Australia. The company was one of the first in the meal-kit delivery industry. They delivered fresh ingredients to people to cook at home without needing to grocery shop. HelloFresh usually provides about three two-person meals per week for $60-$70.
The Need for Business Intelligence
Because of the nature of HelloFresh’s business model, data and business intelligence play a significant role in the company’s day-to-day operations. HelloFresh delivers fresh food to people every week. This requires them to predict which foods people are most likely to order based on the time of year. Since HelloFresh operates in different countries worldwide, their ordering needs to change based on the season in each region. There is also a need to meet their customers’ demands in Australia accurately. For example, they need data specific to that region. They need to remain relevant by providing customers with ingredients and recipes for seasonal and popular foods that people would otherwise eat at a restaurant.
There’s also the matter of food waste, which is a major challenge for companies like HelloFresh. Because they don’t work with processed ingredients, HelloFresh must deliver ingredients to the customer fresh and on time. In this way, they will minimise the amount of food wasted because of a lack of demand. To meet all of these varying needs, HelloFresh desperately needed accurate data. This accurate data would allow them the ability to analyse it in a timely manner.
Enter Business Intelligence
Luckily for HelloFresh, their operations are rife with data. Millions of consumers located worldwide provide them with constant access to giant volumes of data. This data is just waiting to be used to help HelloFresh optimise product selections, streamline operations, and meet customer needs in a time when rival meal-kit delivery companies are popping up constantly.
One of the ways that HelloFresh has been able to use business intelligence to analyse its data is by calculating certain aspects of the customers’ behaviour. Their subscription model provides them with information about when customers want to receive their orders. It also tells them when they favour one type of food over another and when they’re most likely to pause their subscription. By collecting all of the data in these areas, HelloFresh can predict customer demand much more effectively than the average retail or e-commerce store that sells food.
Business intelligence has enabled HelloFresh to make decisions at a region-wide level and at an individual customer level. For example, suppose there is an uptick in online searches for ham or turkey recipes around the holidays. In that case, HelloFresh can use this data to provide customers with special offers and promotions. On a personal level, if HelloFresh can see that certain customers commonly eat red meat on Fridays, this insight can allow them to send personalised offers later in the week.
Business intelligence has also provided HelloFresh with data and insights from many sources to inform every part of the decision making process. HelloFresh uses customer feedback in customer surveys and customer care interactions to help drive growth and innovations.
Saving Time and Money
In addition to helping HelloFresh anticipate customer demands and minimise food waste, business intelligence has also saved the company incredible amounts of time and money. Thanks to the automated reporting skills of business intelligence. HelloFresh has saved 10-20 hours of work per day that was previously done manually. Their access to real-time data has also allowed them to make decisions on the spot. They are also reacting to trends in customer behaviour and meeting demands faster than ever.
With subscription-based companies like HelloFresh, customer loyalty and retention are essential in maintaining and growing the business. HelloFresh’s marketing team has used business intelligence to optimise marketing campaigns as they go along. By centralising data across all of their regions, HelloFresh has been able to carry out online marketing campaigns optimised for each regional market. This has led to increased conversion rates and a vast improvement in customer loyalty.
HelloFresh has used business intelligence to develop a set of key performance indicator (KPI) dashboards. These dashboards show them click rates, conversion rates, bounce rates, sales and retention metrics. They have also used automatic refreshes and subscriptions to deliver daily updates to stakeholders worldwide. Their use of business intelligence has enabled them to keep everyone informed about marketing data at all times, ensuring unified leadership.
When it comes to business intelligence, no company provides a better example of its infinite possibilities than HelloFresh. Thanks to their investment in a quality business intelligence platform, they’ve become a business intelligence success story that you’d have to see to believe.