A client with multiple divisions needed a strategic Customer Relationship Management (CRM) framework that would let the client leverage the multidivisional customer database to further build customer loyalty.
Solution
Targetbase developed a dynamic customer segmentation framework that provided unique classifications/views of all of the client's customers within each division as well as across all divisions (a "corporate" view).
Following a thorough review of the available data, conferring with key stakeholders inside the client's organization, and applying the principles of Targetbase's Customer Relationship Value approach to assessing and classifying status and opportunity, Business Intelligence structured and implemented a segmentation scheme that was focused on individual customer behavior profiles over time as well as the value of those customers.
The segmentation is reapplied to the database during periodic updates throughout the year, and any changes in a customer's behavior and value are reflected in their position within the framework.
Through Data Integration, Targetbase turned a massive amount of data into meaningfully summarized and understandable information. The client is able to use this framework to better target current and former customers with timely, pertinent communications designed to bring them back into the dealership for their next automobile purchase when they are most likely to be in the market.
With our Decision Support System, a dynamic segmentation framework such as this is a key component in the client's ability to understand and "relate to" its customers. This framework is leveraged with respect to specific CRM initiatives, providing long-term bottom-line impact. Over time, results from these initiatives will be generated that will quantify the impact of the contribution made by the framework.
Results
- The client has a dynamic and actionable customer-focused view that supports marketing strategy development and tactical executions that reflect both the current and opportunity states of the customers.
- A common segmentation framework across the client's divisions supports cross-selling and up-selling ventures.
- Dynamic segmentation is now available to the client which can easily be used in conjunction with other targeting initiatives (such as multivariate Purchase Models) to increase program ROI.
- A customer classification scheme is in place that can support not only sales initiatives, but other Customer Relations activities as well.
