Analytical CRM Consulting

Analytical CRM consultants aim to analyze available customer data in order to understand and to predict customer behavior. Creating intelligence from customer data is indispensable to support the business strategy and to ensure that commercial efforts will create an added value.

Our Consulting offer

The Business & Decision consultants propose a solution to analytical CRM that provides methods and tools to ensure that the right customer is contacted at the right time with the right message via the right channel in each phase of the customer life cycle. This approach guarantees that the return on investment (ROI) of commercial efforts is maximized. Our analytical CRM solution has been proven successful in business-to-business as well as business-to client environments.

A Segmentation-based Marketing Approach

Optimization of customer profitability implies a refinement of the customer strategy and pricing towards different segments. Business & Decision has the expertise to create a customer segmentation that is driven by state-of-the-art statistical techniques as well as knowledge of the business.

Definition

Optimization of customer profitability implies a refinement of the customer strategy and pricing towards different segments. Very profitable customers should be kept from churning or weakening the relationship with the company. Customers with high potential should be stimulated to grow through cross-selling and up-selling campaigns. Customers without much potential should be identified as such in order to control their cost to the company.

Our Consulting Offer

Business & Decision has the expertise to create a customer segmentation that is driven by state-of-the-art statistical techniques as well as knowledge of the business.

A Customer-based Marketing Approach

In a customer-based marketing approach, historic customer data (purchase behaviour, socio-demographic characteristics, business-related variables) is analyzed in order to optimize customer profitability in each phase of the customer life cycle.

The Customers Lifecycle

In the acquisition phase, customers who will have the highest expected revenue if they purchase the offered product are identified. Next, in the growth phase the profitability of existing customers is optimized by determining the next best offer in cross- or up selling campaigns. Finally, in the retention phase, profitable customers who are likely to weaken their client relationship or who have a high probability to churn are identified so that they can be subjected to a customer-retention program.

Our Consulting Offer

To calculate a customers' propensity to buy a product, or the risk to churn, or to obtain an estimate of the expected value contribution, Business & Decision's consultants use state-of-the-art predictive modeling techniques. A Business & Decision modeling toolkit with specialized macro's enhances the fast development of high-quality models.

Enrichment of the customer data with scores that indicate the appetite, the risk to churn or the expected value contribution of a client for a specific product yields a data mining datamart that can serve as input for operational CRM activity when setting up marketing campaigns (Business to client) or when providing leads to account managers (Business to business).

 

An Event-based Marketing Approach

Event detection followed by a personalized message to the customer can be a very powerful basis for cross-selling or to keep a profitable customer from churning.

Definition

An event-based approach to marketing involves the detection of important changes in the customer life stage or in the customer behavior (e.g. buying behavior). To track important events, specific software event detectives can be developed and applied to the customer data base. As detecting an event (e.g. first income, ...) may be a difficult task, complex data mining techniques (e.g. using text mining, predictive models) are often needed. Event detection followed by a personalized message to the customer can be a very powerful basis for cross-selling or to keep a profitable customer from churning.

Our Consulting Offer

In contrast to segmentation-based marketing and customer-based marketing, successful event-based marketing requires daily refreshment of input variables, and a rapid and highly personalized customer contact. Therefore, the implementation of a well-developed operational CRM system becomes indispensable. Business & Decision's consultants have the right skills and knowledge to implement such systems.

 

Evaluation of Marketing Campaign

An important aspect in setting up a marketing campaign is to foresee the possibility to learn from the campaign after it has been conducted. The key question is which messages and which channels are most successful to increase the response rates. To be able to evaluate the effect of messages or channels used in the campaign it is necessary to set aside randomly chosen control groups of customers that will not be contacted.

Business & Decision uses state-of-the-art statistical sample size calculations to decide on the complexity of the marketing campaign and on the size of the control groups given that one aims to test a certain minimal effect with the campaign. Some fixed period after the marketing campaign, the B&D approach uses appropriate statistical tests to evaluate the effect of the marketing campaign