For example, after integrating uplift modeling into its marketing strategy, one Fortune 50 retail electronics company was able to increase monthly catalog revenue by $2.5M through reaching more "Persuadables" and allowing the "Sure Things" to buy without the need for a catalog. In another example, U.S. Bank saves $400,000 per campaign using uplift modeling to identify and stop sending mailings to those who would have purchased anyway.
In the world of marketing, relevant, targeted campaigns will always yield better results than broad, blanket campaigns, especially when targeting the wrong customers can be detrimental to sales. By incorporating uplift modeling, fueled by intelligent analytics, into their campaigns, marketers can ensure that they're targeting the right customers, while avoiding those who will ignore their outreach or find it annoying. Enhancing your marketing strategy with a more targeted approach not only improves the success of your campaign by increasing incremental sales, but it also greatly reduces your costs.
Mark Smith is executive vice president of sales and marketing at Portrait Software, a leading provider of customer interaction optimization software. Portrait enables organizations to engage with each of their customers as individuals, resulting in improved customer profitability, increased retention, reduced risk and outstanding customer experiences.
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