Arthur Hughes

Arthur Hughes
When Not to Model (1,934 words)

by Arthur Hughes Many companies are using models successfully to improve their response rates and increase profits in marketing to outside prospect lists. To use a model successfully, the marketer has to have a marketing situation that meets both of the following criteria: 1. The customer response to a promotion must be significantly determined by factors that the marketer can append to a prospect list; and 2. The lift in profits from using the model must more than pay for the cost of the appended data and the cost of building and running the model. For example, if you are selling encyclopedias through the