January 19, 2012
Slicing and Dicing Customer Data
The core of any marketing campaign is the data. Poor data leads to poor results; good data leads to improved response rates, which translates to a higher ROI, and ultimately, business growth through true lifetime value of your customers.
A recent article published in EU Services’ News & Insights newsletter describes the Customer Lifecycle and the importance of leveraging data throughout that process. Phase 1 is the Customer Acquisition Phase where you acquire high-value customers cost-effectively. Phase 2 is the Customer Development Phase that concentrates on converting and developing customers using knowledge. Phase 3 is focused on Customer Retention which uses all the accumulated knowledge to continually respond to customer needs, cross-sell, up sell or reacquire customers that have been lost to the competition.
The starting point is raw data which is continually enriched through a series of processes that leads to segmentation: grouping customers; grouping attributes and variables; and predicting response and future group memberships. The result of all of this analysis provides true targeted marketing that gets you in front of the right contact at the right time with the right solution or need.
Of course, the benefits are enormous to your organization. As mentioned initially, you generate better returns and business growth while achieving cost savings by reducing wasted marketing dollars. No matter what your industry may be, data-driven direct marketing should be at the top of your “to-do” list when you plan your next campaign.
For more information or reprints of the full article please email us at marketing@euservices.com.
Posted in Custom Data Solutions, Direct Mail Production
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