Understanding customer behavior is key to creating marketing campaigns that generate high response and revenue. One of the best ways to understand customer behavior is to study migration patterns to learn when and why customers end up in different segments than where they were a while ago. The starting point for these studies is your… Read More
Loyalty Builders targeting outperforms RFM, typically by two to one or more. Compared to random, spray and pray marketing,targeted campaigns can have a ten-fold advantage. Back tests can confirm these claims before a single campaign is run.Using targeting and control groups is a rigorous way to measure the effective lift of a campaign.
Some people consider marketing a “soft” discipline not easily amenable to quantitative assessment. However a growing number of marketers are searching for a more mathematically rigorous way to measure their activities. Loyalty Builders suggests the Marketing Effectiveness Score, a number between zero and one hundred that combines six component metrics of customer behavior into a… Read More
A recession can be a time of opportunity. Here are five proven tactics for smart companies to not only survive but prosper: rebalance acquisition vs. retention spending; market to customers with the best growth potential, not necessarily the biggest spenders; systematically test to lift campaign responses; personalize for higher response rates; and build an early… Read More
This paper outlines an eight step plan to use analytics to reduce attrition and keep your existing customers buying. The steps include benchmarking; determining the loyalty profile and risk profile of the customer population; finding a segmentation that highlights the customers at risk and then campaigning to them; testing the campaigns to increase effectiveness; building… Read More