Marketing Use of Data Warehouses in Retail Financial Services Companies

11th Dec 2000
This presentation gives an overview of the business need for CRM and outlines some of the benefits. It begins by comparing traditional direct marketing to CRM, and explains how CRM can (1) improve targeting through the use of segmentation and propensity models, and (2) test alternative communications strategies and measure effectiveness (response rates and financial). Several examples from the world of banking are given to support this. The paper goes on to introduce the concepts of segmentation, customer value, propensity modeling and event-driven marketing, and concludes with a case study from the credit card industry.

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