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Ensure
the thousands of dollars spent on planning, creative and printing
return the highest possible dollar by targeting only those potentials
that will produce those returns.
Know your customers and know them well. Data Mining removes the randomness
and uncertainty of mail list selection.
From simple data queries to the most sophisticated "machine learning"
techniques, Data Mining is the process of analyzing large databases
and extracting meaningful, actionable knowledge. Hypothesis Testing
and Knowledge Discovery, the two basic forms of Data Mining, uncover
insights into past and current customer trends and patterns. Predictive
Modeling enables the marketer to apply those insights and tighten
the future focus on customers of highest potential and value.
Response Modeling
The analysis of customers' previous purchasing behaviour over a logical
period of time, to allow:
Higher returns from
smaller segments of a database.
Removal of direct-mail
"randomness".
Higher response for
equal dollars.
Improved ROI per marketing
dollar.
Savings on communication
costs.
Segmenting & Profiling
Advanced statistical methods of clustering, and producing decision
trees used to understand customer segments and purchasing behaviours
to:
Establish and understand
strategically meaningful clusters
of customers or prospects.
Identify archetype customer
per cluster.
Understand clusters'
differentiating characteristics.
Customer Valuation
Predicts the future value/profitability of a customer or customers,
permitting:
Early identification
of customers likely to be most profitable over the long-term.
Identify upsell prospects/opportunities.
Enhanced ROI per marketing
dollar.
Improved preferred customer
programs and customer retention.
Cross-Selling Model
Predicts what customers are most likely to buy, based upon purchasing
history. This allows a marketer to:
Maximize up-sells while
minimizing costs of procuring new customers.
Generate more sales
for the same or fewer marketing $$.
Improve inventory control
and supply-side management.
We have merely scratched the surface here.
For detailed information on how Data Mining and Predictive Modeling
can improve your direct marketing profitability, please email for
our booklet: "Data Mining and
Predictive Modeling - A Practical Guide for Retailers and Direct Marketers"
at sales@market-focus.com |
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