2007 copley press_02

MaaX Applications –

Linking Segmentation Strategy to Action

MaaX User Group

March 2007

Core Business Drivers

• Understand Consumers & Market

• Understand Products & Services

• Understand Sales Channels & Competition

• Transition from Reactive to Proactive

Data Application

Database Access

Data Driven Processes

Data Driven Initiatives - Success Factors

• Organization

• Database

• Tools – End User

• Measurement

• Communication

– Evolution of each aspect over time

Business Intelligence Organization Curve

Organization

No awareness

Isolated

pockets

One area of

business

Growing

importance

Integrated

Org’l focus

and approach

Early

trials

Basic skills

and processes

Corporate strategy, High

skills and processes

“Culture”

of Rel’ship

Mktg

Segmentation Schemes – Comparison

Schema Source Universality Predictability

Demographic Compiled Moderate Descriptive

GeoDemographic Multi-Level Broad Good

Behavioral/Attitudinal Survey Narrow Very Good

Product Usage Transactional Customers Excellent

Combinations Data Mgmt Modeling Best

Segmentation Scheme – Internally Driven

• Current Subscribers

• Subscribers/Past Subscriber/Never Subscribed

• Subscriber Product Usage

• Subscriber Tenure/Loyalty

• Subscriber Payment Activity

Current Subscribers – Multi Segment

New Subscriber – Survey Targeting

Past Subscribers – Days Since Stop

Subscribers/Past Subscribers/Never

0

50,000

100,000

150,000

Households

Current Subscriber

Past Subscriber

Never Subscribed

Circulation Applications

Subscriber Loyalty

Subscriber Loyalty

• What is “loyalty” and how do we “see” it?

• Is it Method of Payment, Term Length, Complaints,

Pay in Advance, Late Pays?

• Can we “model” it with external tools?

• Subscriber Tenure – Longevity

• Internally driven measure based on Start Date

and Stop Dates for a given Subscription Account

• Keep it simple, Keep it dynamic!

Subscriber Tenure – Subscriber Days

Subscriber Tenure – Bandings

Subscriber Tenure by Status

Subscriber Tenure – Current/Past/Never

0

50,000

100,000

150,000

Sub Past Sub Never

< 13 Weeks> 13 Weeks> 26 Weeks> 52 Weeks> 2 Years

AZ Republic – Loyalty Ladder Bands

Best Record – Multi Source Data

• Marketing fields available from multiple sources

• Sources have different rules of compilation

• Sources have different rules for timeliness

• Sources have different “footprint”, coverage

• Sources are not mutually exclusive – Priority ?

– Best Last Name, First Name

– Best Area Code, Phone Number

– Best Home Value, Demographics

Data Sources – Overlap/Non Overlap

Circulation Sales – Target Criteria

Best LName – IF ( ) Error - Domains

Best LName – Domain Navigation

Best LName – Virtual Field Logic

BEST LName – Virtual Field Definition

IF( AddressSubscriber.OccupantLastName > " " and

( AddressSubscriber.OccupantLastName <> "OCCUPANT" or

AddressSubscriber.OccupantLastName <> "RESIDENT"),

"O -" + AddressSubscriber.OccupantLastName,

IF( [AddressSubscriber.VF - Best EFX LName] > "", "X -" +

[AddressSubscriber.VF - Best EFX LName], 99))

Best LName – Validation Field Template

Payment Totals – Cross Table Functions

• COUNT(SubscriptionPaymentTran.SubscriptionID)

• SUM( SubscriptionPaymentTran.PaymentAmount)

• SUM( SubscriptionPaymentTran.PaymentAmount,

SubscriptionPaymentTran.EffectiveDate >

YEAR( _TODAY) - 1)

Payment Totals – Sum Total Last 12 Months

Count Stop Reasons – Cross Table Functions

• COUNT(SubscriptionTran, SubscriptionTran.TranTypeID

= "Stop")

• COUNT(SubscriptionTran, (SubscriptionTran.TranTypeID

= "Stop" and (SubscriptionTran.ReasonCode IN

"NonPay","NONPAY","NonPaySB","NSFPay","NSFPymt")))

• COUNT(SubscriptionTran, (SubscriptionTran.TranTypeID

= "Stop" and (SubscriptionTran.ReasonCode IN

"NonPay","NONPAY","NonPaySB","NSFPay","NSFPymt")

and SubscriptionTran.PublishDate > "01032006"))

Count Financial Stops – Last 12 Months

MaaX Applications –

Linking Segmentation Strategy to Action

• The man who built the first wheel was an idiot. The men who built

the other three wheels were geniuses.

Sid Caesar

Al Frowiss

Copley Press, Inc.

al.frowiss@copleypress.com

858-729-8026