Open Enrollment | Subscribe to Target Marketing HERE
Connect
Follow us on
Advertisement
 

Building Better Database Modeling Outcomes

March 23, 2011 By Andy Pappas
Get the Flash Player to see this rotator.
 

We are all aware that, over time, marketers have gained access to a wealth of data regarding their customers and prospects. This includes purchase information, demographics, lifestyle interest categories and more.

We, as marketers, should view information as a strategic resource and must continue to uncover and utilize the power of that information. The data can direct us in making targeted offers to those most likely to respond and in building long-term relationships and trust as we deliver relevant messaging. Make sure you are collecting and verifying current information on a regular basis as you interact with customers, and use the services of outside marketing firms to help you fill in the blanks, track moves, etc.

Priority Updates
Make sure your entire database is updated regularly. Revisions can include NCOA, PCOA, phone append/verification, email append/verification, demographic or firmographic appends.

Developing the database and filling it with information is only the beginning of database marketing. Segmentation and other research techniques help companies release the full potential of the data. It is this ability to divide the database into subsets containing common sets of characteristics and behaviors that will lead to marketing effectiveness and efficiencies.

The goal of all marketers is to maximize response, customer activation, retention and cross-sell opportunities. There are many techniques we can use. For clients who have not had much exposure in these areas, start with simple profiles or regression models with specific goals in mind.

Start Small, Think Big
Start simply, then add more complex modeling techniques to help achieve specific campaign objectives.

The following is an example of how a client company used each of these methodologies in its acquisition efforts.

  • Customer Profiles: A customer profile provides a descriptive view of the customer base by comparing a sample of the client file to national averages using common demographic and lifestyle variables on a variable-by-variable basis. Profiles can be created for each product category the client offers.

A major national insurance marketer has used profile information to achieve better results in its acquisition efforts. The company currently markets six types of insurance products. The descriptive profiles provided information that was used for its list rental acquisition efforts. While dozens of variables were presented in the actual profile report package, the chart (at right) shows three of the demographic variables used and the potential differences by product.

 

SPONSORED CONTENT

MORE ON DATABASE, LISTS AND CRM >>

FROM THE BOOKSTORE

A guide to delivering a better user experience through A/B testing: Offers best practices and lessons learned from over 100,000 experiments run by over 2,000 Optimizely customersDetails a roadmap for how to use A/B testing to personalize your customer's web experience and a practical guide to start A/B testing todayAuthors Dan Siroker and Pete Koomen are cofounders of Optimizely.com, an user-friendly testing system that more than 2,000 organizations use A/B Testing: The Most Powerful Way to Turn Clicks Into Customers

A guide to delivering a better user experience through A/B testing:
Offers best practices and lessons learned from over 100,000 experiments run by over 2,000 Optimizely customersDetails a roadmap for how to use A/B testing to personalize your customer's web experience and a practical guide to start A/B testing todayAuthors Dan...

ORDER NOW

One of the only books for fundraisers on monthly giving! Tips on how to make monthly giving work alongside other fundraising effortsHow to acquire monthly donors through different channels such as email, social media, direct mail, television and radioAnd much, much more! Monthly Giving: The Sleeping Giant

One of the only books for fundraisers on monthly giving! Tips on how to make monthly giving work alongside other fundraising effortsHow to acquire monthly donors through different channels such as email, social media, direct mail, television and radioAnd much, much more!...

ORDER NOW

 

SPONSORED CONTENT

MORE ON MARKETING STRATEGY >>

FROM THE BOOKSTORE

A guide to delivering a better user experience through A/B testing: Offers best practices and lessons learned from over 100,000 experiments run by over 2,000 Optimizely customersDetails a roadmap for how to use A/B testing to personalize your customer's web experience and a practical guide to start A/B testing todayAuthors Dan Siroker and Pete Koomen are cofounders of Optimizely.com, an user-friendly testing system that more than 2,000 organizations use A/B Testing: The Most Powerful Way to Turn Clicks Into Customers

A guide to delivering a better user experience through A/B testing:
Offers best practices and lessons learned from over 100,000 experiments run by over 2,000 Optimizely customersDetails a roadmap for how to use A/B testing to personalize your customer's web experience and a practical guide to start A/B testing todayAuthors Dan...

ORDER NOW

One of the only books for fundraisers on monthly giving! Tips on how to make monthly giving work alongside other fundraising effortsHow to acquire monthly donors through different channels such as email, social media, direct mail, television and radioAnd much, much more! Monthly Giving: The Sleeping Giant

One of the only books for fundraisers on monthly giving! Tips on how to make monthly giving work alongside other fundraising effortsHow to acquire monthly donors through different channels such as email, social media, direct mail, television and radioAnd much, much more!...

ORDER NOW

 

COMMENTS

Click here to leave a comment...
Comment *
Most Recent Comments: