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The Guide to Maximizing Customer Marketing ROI

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Workshops, Project Work: Retail Metrics & Reporting, High ROI
Customer Marketing

Marketing Productivity Blog

8 Customer
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Customer Retention

Customer Loyalty

High ROI Customer Marketing: 3 Key Success Components

LifeTime Value and
True ROI of Ad Spend

Customer Profiling

Intro to Customer
Behavior Modeling

Customer Model:

Customer Model:

Customer Model:
Recent Repeaters

Customer Model:

Customer LifeCycles

LifeTime Value

Calculating ROI

Mapping Visitor

Measuring Retention
in Online Retailing

Measuring CRM ROI

CRM Analytics:
Micro vs. Macro

Pre-CRM Testing for
Marketing ROI

Behavior Profiling

See Customer
Behavior Maps

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About the Author

Book Contents

 What is in the book?
 Productivity Blog
  Simple CRM
 Customer Retention
 Relationship Marketing
 Customer Loyalty
 Retail Optimization
  Visitor Conversion
  Visitor Quality
  Guide to E-Metrics
  Customer Profiles
  Customer LifeCycles
  LifeTime Value
  Calculating ROI

  Recent Repeaters
  Retail Promotion
  Pre-CRM ROI Test
  Tracking CRM ROI
Tutorial: Latency
  Tutorial: Recency
  Scoring Software
  About Jim

Customer Modeling Services

Marketers who use customer data often talk about "customer modeling" instead of customer profiling.  Modeling is kind of like profiling, but it is action oriented.  Models are not about a static state, like "Customer is 50 years old."  Models are about action over time, like "If this customer does not make a purchase in the next 30 days, they are unlikely to come back and make any further purchases with our company."

This kind of model sounds so mystical, and it is.  To see a mathematical model predict customer behavior is astonishing, to say the least.  The model says, "Do this to these people and they will likely do this."  The marketer goes out and does what the model says, and a good bunch of the customers do exactly what the model said they would.

What is a model?  Simply, it looks at customers who are engaging in a certain behavior and tries to find a commonality in them.  The marketer might say to the modeler, "Here’s a list of our very best customers, and here’s a list of our former best customers.  Is there any behavioral signal a best customer gives before they stop shopping?  What does the data say?"

Here are some examples of customer modeling in action to give you a better idea of what is possible:

Example: What kind of web site reporting are your clients using, if any?  Are they just looking at page views, or are they looking at metrics that matter, like what % of people who enter the site through a certain page make a purchase, or what % of them look at this entry page and just leave? Understanding and tracking metrics like these lead to site redesigns that make a difference.

Example:  Looking at response rate and sales versus costs of advertising is the first step to optimizing campaigns.  Buy what if you could predict the future sales of customers by keyword by search engine?  Some campaigns that looked like losers actually turn into very big winners when looked at this way.  Do your clients really know how to optimize an Overture or Google AdWords campaign for maximum benefit? 

Example:  Of course, it's not enough to get customers to buy the first time.  Your clients need customers who will buy again and again.  My models will tell you where to find these customers, and how to create more of them out of the customers you have.  And in the area of customer retention, you can use these models to predict which customers are most likely to stop buying, a critical element of best customer management.

Example:  I can rank the customers of your clients by likelihood to respond to an e-mail campaign.  Instead of sending them all 1 e-mail, if you send 2 e-mails to the top 50% most likely to respond, you spend the same money on e-mails, but drive higher sales.  This increases ROI, and makes paying for more e-mail campaigns attractive to clients.

Example:  Many retailers over-discount.  They always wonder how many of the people who used the discount would have bought anyway without it.  I can tell you who these customers will be, and what's more, show you how to set up a discount customization strategy that only delivers enough discount to get each customer to buy, and no more.  Customers who need no discount get none, and still buy.  This increases response rate while lowering overall promotional discounting costs.

If you are interested in understanding your customers / understanding your client's customers better and creating high ROI Marketing programs to increase profitability, e-mail me or Call (cell) 727.895.5454. 


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