Coupon Redemption Curves
You can use coupon redemption models both during the planning process and the coupon campaign itself to forecast the redemption probability of your coupons and display this graphically as a redemption curve. You can view these redemption curves in coupon campaigns under . For more information, see Determining the Redemption Probability for Coupons.
The functions for coupon redemption models are available in SAP CRM and SAP NetWeaver Business Intelligence (SAP NetWeaver BI): You set up the models in SAP NetWeaver BI. The forecasts and redemption curves provided by these models are used in SAP CRM using a connection to Marketing.
Redemption curves are calculated based on redemption trends for coupon campaigns that have already been executed. A redemption trend displaying the redemption percentage in the first month, second month, and so on, is calculated for each of these past coupons. The redemption curve is generated from the average of all individual redemption trends.
Coupons can have extremely different typical redemption trends, depending on different attributes. For example, there can be characteristic redemption trends for coupons with different product areas, distribution channels, or values, or there can be regional differences. For this reason, it normally makes sense to group together coupons with similar attributes and to calculate an average redemption curve for each of these “coupon classes”. The system enables you to split your coupons into classes according to attributes that you can choose freely. For more information, see Setting Up Coupon Redemption Models in SAP NetWeaver BI.
When making a redemption forecast for a new coupon, the system determines the appropriate class of similar past coupons and uses the respective redemption curve to determine an estimated redemption rate. If the coupon campaign is already running and actual redemption data is already available, the continuation of the trend is predicted according to the curve's development. If no actual redemption data is available, the system uses the average course represented by the course.
The average trend for the class and, if available, the actual and extrapolation data are displayed in both graphical and table format. The system also displays the total calculated redemption forecast as a percentage.
Note
The system is set up so that the analysis and the redemption curve on which it is based are always calculated for all coupons belonging to a particular class. If the redemption phase is still ongoing for some coupons, data is only available for the first redemption months and not for the entire duration of the campaign.
This is taken into account in the calculation of the average curves but still means that the curve is more up to date for the months at the start of the campaign than for the later months. If you want to avoid this minor inaccuracy, you can use the BAdI Determine coupon redemption
model
CRM_MKT_MRMBW_CORM
to define that only completed coupons are used in the display and forecast.