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ROI Model

Win-back campaign ROI for the At-Risk segment — three recovery scenarios, sensitivity analysis, and Indian retail network extrapolation.

At-Risk Segment Baseline

MetricValue (£)Value (₹)Source
At-Risk customers661Observed — RFM segmentation
At-Risk segment historical revenue£88,223₹94.4 lakhObserved — dataset
Average revenue per At-Risk customer£133₹14,231Calculated (£88,223 ÷ 661)
Forward revenue at risk (proxy)£88,223₹94.4 lakhModelled — assumes historical run rate if unrecovered

£1 = ₹107. Revenue figures reflect historical spend across the dataset period (Dec 2010–Dec 2011), not guaranteed forward revenue.

Campaign Cost Assumptions

Indian market benchmarks (deployment context)

Cost ItemAssumptionBasis
Email platform cost per send₹2–₹5 per emailMailmodo, Netcore, SendGrid India pricing (1,000+ volume)
Creative and copywriting₹15,000–₹30,000 (one-time)3-email drip sequence, mid-market agency rate India
Analytics and reporting₹10,000 (one-time)2 analyst days at ₹5,000/day
Total campaign cost (661 sends × ₹5 + fixed)₹58,305Modelled estimate — ~£545 GBP equivalent

Three Win-Back Scenarios

Conservative10% recovery
Customers recovered66
Revenue recovered£8,822
Revenue (₹)₹9.4 lakh
Net revenue (after ₹58K cost)₹8,85,649
Campaign ROI+1,519%
Base15% recovery
Customers recovered99
Revenue recovered£13,233
Revenue (₹)₹14.2 lakh
Net revenue (after ₹58K cost)₹13,57,626
Campaign ROI+2,328%
Optimistic20% recovery
Customers recovered132
Revenue recovered£17,645
Revenue (₹)₹18.9 lakh
Net revenue (after ₹58K cost)₹18,29,510
Campaign ROI+3,138%

ROI formula: (Revenue Recovered − Campaign Cost) / Campaign Cost × 100. Recovery rate = % of At-Risk customers placing at least one qualifying order within 90 days. Benchmarks sourced from Klaviyo and Salesforce Marketing Cloud consumer retail research (2022–2024).

Sensitivity Analysis

Net revenue recovered (₹) across varying recovery rates and campaign costs

Recovery RateCampaign ₹40KCampaign ₹58K (Base)Campaign ₹1L
10%₹9,03,954₹8,85,649₹8,43,954
15%₹13,75,931₹13,57,626₹13,15,931
20%₹18,47,815₹18,29,510₹17,87,815
25%₹23,15,557₹22,97,252₹22,55,557

Break-even recovery rate at ₹58K campaign cost ≈ 0.7% (5 of 661 customers). The campaign is cash-positive above this threshold.

Network Extrapolation — Indian Retail

Applying the same methodology at scale across two Indian retail reference networks. All figures are modelled estimates — explicitly labelled.

DMart — ~350 stores

Avenue Supermarts Ltd (2024, publicly reported store count)

Enrolled customers (350 × 5,000)17.5 lakh(modelled)
At-Risk customers (15%)2,62,500(modelled)
Revenue at risk (₹8,000/customer)₹210 Crore(modelled)
Recovered at Base 15%39,375 customers(modelled)
Revenue recovered₹31.5 Crore
Campaign cost (₹5/email)₹13.1 lakh
Net ROI~₹31.4 Crore

Reliance Retail — ~18,000 stores

Smart Bazaar, Trends, Jio Points, Reliance Digital (2024)

Enrolled customers (18,000 × 2,000)3.6 Crore(modelled)
At-Risk customers (15%)54 lakh(modelled)
Revenue at risk (₹6,500/customer)₹3,510 Crore(modelled)
Recovered at Base 15%8,10,000 customers(modelled)
Revenue recovered₹526.5 Crore
Campaign cost (₹5/email)₹2.7 Crore
Net ROI~₹523.8 Crore

DMart does not operate a traditional loyalty programme as of 2024 — this extrapolation assumes a DMart-equivalent retailer with loyalty enrolment. Store counts from publicly reported 2024 annual reports. Customer-per-store and revenue-per-customer figures are modelled estimates (confidence: low). See Sources for full disclosure.

India Compliance Note — DPDP Act 2023

The Digital Personal Data Protection Act 2023 governs how Indian businesses collect, store, and use customer data for marketing purposes. A win-back campaign of this type would require explicit consent from At-Risk customers before sending email communications, and a clear opt-out mechanism. The agentic workflow architecture in this project includes a human approval gate — a natural integration point for a compliance check before any campaign is dispatched.