|
Our logit and neural network modeling techniques help predict response, attrition and a customers next most likely product to buy.
Modeling results are appended to your database to enhance ongoing targeting efforts.
• Response Modeling and Customer File Segmentation
Customer segmentation analysis requires an understanding of specific business objectives. Following a consultation to address business requirements, various segmentation methodologies are evaluated to assess the optimal approach. Our experience shows the predictive power of models is vastly improved when a combined segmentation and model approach is employed.
• Outside List Response Models and Clones
To improve acquisition efforts, Results Direct offers a variety of quantitative solutions to raise response and find new names.
- Clone or Look-a-Like Models
These models work on large compiled files or internal house files. By supplying your ideal customers, a clone model defines their attributes and identifies replicates on the compiled file. A key benefit of a clone model is the speed with which you can roll-out and gauge its success.
One drawback is the possibility of not identifying new markets for your product since you are basing the analysis on current customers. In addition, care must be taken when defining the ideal customers for cloning. If proper names are not selected, the strength of the model may weaken in a roll-out.
- Acquisition Response Models
Response models require information on responders and non-responders to your direct mail or telemarketing offer in addition to a "snap shot" of their attributes at the point-in-time the offer was extended. These models provide a means of discriminating between prospects that will and will not accept your offer. The benefit is better targeting of your best prospects.
The drawback is a longer lead time to read results and apply in a roll-out versus a clone model. However, without question, a response model will always outperform a clone.
- Third Party Models
Third party models are employed to revitalize response from lists showing declining response rates to your offers. Most list owners now allow direct marketers to model their names for selection purposes. Again, taking the time to understand the relationships in third party data is the key to success.
Results Direct has several unique approaches to ensure the data is well understood and fully exploited before the development of the final model.
|
