Home Chef Boosts Response Rates over 30% with Direct Mail

“SLM continues to bring new ideas and further evolve our program so it's never stagnant. We're especially impressed with SLM's data modeling capabilities, which they continue to refresh and fine-tune after each send.”

Lisa Fiandaca, Head of Offline Marketing

Overview

Home Chef is a meal kit and food delivery company that delivers pre-portioned ingredients and recipes to subscribers weekly throughout the United States. Home Chef makes delicious home cooking achievable while making its customers' dinner time routines easier.

The Problem

The meal kit industry saw peak performance during the 2020 coronavirus pandemic with the ease of ordering online which eliminated the need for in-person shopping, further boosting already strong results. From the beginning, SLM has taken a test-and-learn approach with Home Chef to optimize campaign performance. Coming out of the height of the pandemic, Home Chef saw results decline across marketing channels as consumers began to shop in stores again.

Our Solution

Home Chef utilized solo DM for prospecting starting back in 2017, and since has scaled up the channel as SLM has systematically proven that mailing consistently can produce strong results. SLM has recommended testing different levers in the channel (targeting, format, paper) in order to optimize Home Chef’s control format and avoid fatigue over time. In 2022, Home Chef first tested into solo DM for a retention use case, and given it performed so well, they’ve scaled that portion of the program to mail all lapsed customers every 60 days to help avoid any monetary waste of remailing those lapsed customers too soon.

Results

With SLM’s strategic guidance and support, direct mail has become one of Home Chef’s stronger, more reliable channels not only driving efficient direct CPAs, but yielding high LTV customers as well. Recently, Home Chef’s December 2022 campaign has been able to generate CPAs close to early pandemic levels, even at an increased scale.