ZUNY
The New Generation Telecom

1. Market situation

The telecom sector in Belgium is a highly competitive market, especially in the category known as 'digital natives' (people under 40), representing 35% of the French-speaking market (692k households).

Dominated by Proximus & coveted by Orange, VOO was under-represented (74% of their customer base was over 40) and this category was a huge opportunity. So Zuny was created. With a consultant team in charge, reporting to the VOO CEO. Zuny's mission was to give 'the new gen' the best wifi solution.

Launched in October 2020, the initial foray onto the market didn't reach our ambitious goals, despite a big media launch. Our issues were:

• Only a core group in the 'digital native' scope (genZ & millennials, 18-30) was targeted and were not performing well.
• Various analyzes proved that Zuny's introductory campaign had too many messages and was too complicated.
• We didn't use enough relevant triggers as key momentum to convert: people switch providers based on a trigger (moving, frustration, new needs).

Because the original objectives and KPIs were far from being achieved, a new Sales & Marketing team was asked to take charge of Zuny. A quick deep dive assessment was needed to know: were the Zuny brand and products worth keeping? Almost a 'em>live or die' question, after more than a year of commitment and work…

2021 became a race against the clock: revamp and reintroduction by March, with new objectives to achieve by the end of the year… or the brand wouldn't exist in 2022.

2. Objectives

Gaining credibility and visibility was crucial: with quantifiable increases in awareness, understanding of the offer, and sales!

Quantifiable KPI's

Gross-adds (net sales): increase sales minimum by 20% every quarter and maintain a constant growth.

Cost per sale: constantly decrease the CPL while increasing the conversion rate/leads numbers.

Level of understanding/misunderstanding of our offer:
Our goal was to (compared to Q4 2020):

• reduce the level of misunderstanding our offer below 10%
• increase the level of understanding above 50%

Interest in the Zuny offer: double the subscription potential.

Zuny as a strategic product for VOO :

• Seduce another segment: 80% of Zuny clients portfolio must be under 40 year old (population difficultly reached by VOO)
• Determine if Zuny cannibalizes the VOO offer, or complements it.

Perceptive KPI's

From a Zuny customer point of view: measure the evolution of the NPS (Net Promoter Score), to see if clients are satisfied with the experience & increased internet speed.

From a prospect point of view: measure the assisted awareness and get it to 40% in year 1 (2021).

3. Strategy

Lack of notoriety, and understanding of Zuny's offer, was holding us back: key points moving forward were simplicity (1 product offer update), clarity (1 message communication), a new target audience (digital natives under 40) and new media targeting (persona & need focused).

CVP change of strategy

We reviewed our commercial strategy, to ensure better understanding of the Zuny offer. A focus on exclusively one topic: best value for money wifi, reaching our price sensitive target.

Simplification with improvements to the offer:

• Speed from 100 to 200 Mbps, with no price change
• Promotions to encourage trying ZUNY, activating prospects
• The redesign of our offer reinforced the product's position and increased consideration

Creatives change of strategy

To tackle comprehension, the original 'Vous êtes géniaux' was too abstract. Customers needed to know what Zuny was, and choose them for the offer, AND the lifestyle. We wanted to 'leur donner envie'. Zuny became: L'internet qui donne envie. Communications and creatives revolved around the new persona, showing specific needs with overall the reminder: best value for money wifi!

Media change of strategy

We reviewed media investments to improve overall performance, especially on a digital level (much more actionable than offline media). The media-mix post-revamp was about 74% online vs. 26% offline (before: 45% on; 55% off).

We couldn't wait for people to ‘trigger' into action so we centralized communication towards people with an immediate need as opposed to a broad media approach.

We switched from a global awareness approach to a lower-funnel focused approach while keeping interested segments within the awareness scope. On top of this, we reduced the numbers of media channels to leverage data and media platform algorithms for optimization and switched media strategies.

4. Results

Comparing our KPIs of 2021 (March onwards), vs. the results from Q4 2020.

Quantifiable KPIs

• Gross-adds (net sales) ✔ Check
  Once the revamp started Q1 2021, we saw a substantial increase in gross-adds (sales): +185%! We also maintained constant growth all year.
• Decrease cost per sale & increase leads ✔ Check
  Redefining of our persona had a major impact in March 2021. Our set target was hit consistently as of Q3 2021. From 2020, we decreased the CPL by 67%!
• Increase leads volume (purchases) ✔ Check
  We steadily increased the sales volume over the months with a big boost during the second half of 2021.
• Reduce misunderstanding below 10% ✔ Check
  11% in April, & even better in September with 8%
• Increase understanding above 50% ✔ Check
  61% throughout the year!
  
• Interest in the Zuny offer: double the subscription potential ✔Check
  12% in September compared to 5% in December
  
• Zuny as a strategic product for VOO ± Almost there
  68,10% of Zuny customers are under 40.
  
• Does Zuny cannibalize VOO, or enrich VOO's portfolio? ✔Check
  We found that Zuny reduced churn at VOO and generated additional value for the company.

Our quali/quantitative survey showed 39% of Zuny customers come from VOO: in total 20% of Zuny acquisitions can be considered as direct retention for VOO. Customers that we managed to keep thanks to the Zuny offer: otherwise, they would have left VOO for the competition.

Perceptive KPIs

• Were customers satisfied ? ✔Check
  Our Net promoter score saw a 93% growth!
• From a prospect point of view: reach 40% assisted awareness
  in year 1 (2021) ± Almost there
  30% by the end of 2021. Nonetheless, we saw a big evolution of +92% between April 2021 and the launch (right after the revamped campaign). Spoiler alert: we surpassed the 40% target in year 2, 42% to be precise thanks to our last April 2022 campaign.
  

Overall

After the first Zuny assessment at the end of 2020, it was almost a ‘life or death' moment. With all the communication and CVP revamped, along with the new media investment and targeting strategy, not only did we hit our targets in awareness and offer understanding, but the sales increase surpassed expectations!

All while reducing our cost per sale: a drop of 52% spent, due directly to our efforts, the simplification of our messages, adjusted targeting and offer. We succeeded in keeping up the trend over the year and still do so now.

We have led Zuny to being continued into 2022 and… beyond!