customer

Customer analytics – a recap:
As we’ve seen in previous posts, there are five important elements to the process of marketing/customer analytics:

1. Start with the data: we need to ensure we have the right data, but we should make sure this is individual-level data – data held for each customer. Without it we can’t do effective customer analytics. So a big question for the company is: how to build the right infrastructure to collect that level of data, with that level of granularity?

2. Exploring the data: we shouldn’t start with big complex models, but look always to start simply with a basic exploration of the data. Even when we go on to use complex mathematical or statistical models, we still need to be able to understand the underlying data, to be able to sense check our explorations and predictions against that data which allows us confidence to assert, yes the underlying data does suggest/show that our modelled effects are real or reasonable. [Read more…] about Marketing Analytics: Applications & Innovations

A quick refresher on the three kinds of analytics:
1. Descriptive: collects data which describes customers’ past actions and behaviours, and analyses it to try to find patterns which explain that behaviour;

2. Predictive: takes the historical descriptive data and patterns contained within it and uses that to try to predict what those customer might do in the future;

3. Prescriptive: takes a more strategic approach and uses data, trends and predictions about customer behaviours to help inform recommendations on actions (such as process changes, changes in marketing tactics) which might help change the customers’ behaviours and move the company closer to achieving it’s business goals. [Read more…] about Prescriptive Marketing Analytics: Strategy into Action