Proof that Cash Rewards campaigns work
Honda reaps rewards
Honda wanted a more efficient way of managing cash back promotions after experiencing problems handling a huge response to a motorcycle cash back incentive.
"Everything was being double-handled and it took us between two and six weeks to get the cheques in the mail" says Honda Finance Manager Christine Pilbeam. A combination of Australia Post services provided the solution we were looking for.
"Using Post eLetter we set up a template of a letter from Honda that could be personalised for every customer who qualified for a cash-back" explains Australia Post Account Manager, Joe Hassall.
"Honda simply sent a data file listing the eligible cash back customers and we printed, enveloped and lodged the letter.
We also included a redemption barcode that could be scanned at Australia Post retail outlets displaying the Bank@Post sign, enabling customers to claim the relevant cash back instantly."
A healthy result for OHSC Worldcare Australia
One of Australia's largest providers of health insurance for international students, OSHC Worldcare (a company of Mondial Assistance Group), uses Australia Post to process refunds for thousands of students around the country.
Based in Brisbane, but with members spread throughout Australia, OSHC Worldcare wanted a quick and secure way to process health refund claims. So four years ago, the company started using Australia Post's Cash Rewards service to develop a successful solution.
OSHC Worldcare's customer service representatives process refund claims at about 90 educational institutions, issuing a voucher that can be redeemed for cash at any Australia Post retail outlet. OSHC Worldcare can be sure that each claim will be made only once thanks to each voucher's unique barcode, which also gives an audit trail.
"Using Australia Post to provide a cash refund works incredibly well for us," explains Kathleen Newcombe, Executive National Manager Health, Mondial Assistance. "Administering cash isn't a core competency for us and we didn't want our customer service representatives to be handling large amounts of cash on campus. Outsourcing this function to Australia Post means we have a highly secure, reliable and fast means of providing cash to students."
Students are also impressed with the service. More than 25,000 cash redemption transactions have been made at Australia Post retail outlets in the past 12 months.
"As more and more students become aware of the convenience and fast turnaround of our refund claims, the take-up rate of our health care cover is growing faster than the international student population," says Kathleen.
Customer participation improves for Breville
Breville identified improved customer convenience and reduced administrative work as the benefits of the Cash Rewards service.
"We were happy with the performance of the Cash Rewards service" says Breville Trade Promotions Manager, Katerina Kassabalis. "Customers perceived it to be difficult when redeeming cash backs with traditional methods. Using Australia Post ensured our promotions met sales objectives as customer participation increased due to the convenience of this method."
School Start Bonus delivered for the Victorian Government
In 2006, the State Government in Victoria announced it would provide a $300 School Start Bonus to every parent of a child starting Prep or Year 7 at a government or non-government school. The one-off payment was to help meet the cost of purchasing school and sporting uniforms, school bags, and related equipment. The Department of Education and Early Childhood Development's Corporate Services Division was given the responsibility of organising the payment to approximately 130,000 eligible parents. "It was a huge administrative task to carry out," explains Gail Hart, the group's general manager.
Administration proves a challenge
The task of issuing the bonus was initially outsourced to a major Australian bank.
"We collected the data of eligible parents directly from the schools and passed it on to the bank to issue the cheques and send them out," says Gail. "The main problem with this method was that if the name a parent used when enrolling their child in school wasn't an exact match with the name used on their bank account, then the bank couldn't process the cheque."
In 2007, more than 5,000 cheques were returned due to incorrect data, adding a substantial cost to the project. Each cheque cost $5.50 to cancel and reissue.
The other challenge was getting the payments made in time for the start of the school year. The department needed a faster service and one that made the reissuing of the bonus simpler.
The Cash Rewards solution
"As soon as we heard about Australia Post's Cash Rewards service, we knew it was what we were looking for to distribute the 2008 School Start Bonus," says Gail. Cash Rewards enables recipients to present a redemption form, along with proof of identity, at any participating Australia Post retail outlet. Upon validation, cash is paid on the spot and claims are then sent back to the department for its records. Each school recorded details of eligible parents in a computer system provided by the department, printed the redemption vouchers, and distributed them to parents before the end of the school year.
According to Gail, there are many benefits associated with using the Cash Rewards service. "Because each voucher includes a unique barcode, it is quick and easy to reprint if it contains incorrect details, or is lost or damaged." The forms can also include multiple bonus payments for eligible families, plus the option of including the names of two parents, providing the flexibility for either one to collect the cash.
"Most of all, it is easy for parents to redeem, as they can collect the money at their leisure. Most towns have an Australia Post retail outlet, but not all have a bank," says Gail.
Cash Rewards delivered results
More than 96 per cent of the 2008 bonuses were redeemed using Cash Rewards, a result that was highly satisfying for the department.
"We are very happy with how the Cash Rewards service helped us deliver more than 130,000 bonuses to families around Victoria," says Gail.