Banking
Our client needed to expand its services to existing customers, minimize attrition and acquire new customers. They recognized that a Customer Relationship Management (CRM) system would be needed to achieve these goals and that the system must provide the tools and information needed to understand how current and future customers buy new products and services.
This client was one of the first to implement a Closed Loop CRM system. This includes extracting and loading the operational data into an analytical data mart, generating the information needed to make informed decisions and initiating a campaign, and loading back the results into the operational data base, so that a success analysis can be performed. Using a centralized data warehouse containing approximately 1,200 attributes for each of its 4 million customers, Modern Analytics designed and installed a closed loop CRM system and guaranteed its successful implementation. Amongst other things, the system is used to target customer segments for specific promotions, cross selling, and attrition prediction. As a result, marketing response rates increased by 50% and customer lifetime values are projected to increase accordingly.
An important outcome of the project was the significant reduction of model development times. In this case, from four weeks to one week. In addition, our automation of the modeling process also ensured that our client achieved consistent quality and efficient time-to-market promotions.
This CRM system was a critical success factor during and after our client's acquisition and merger with another major international bank. It enabled our client to monitor the behavior of the larger, merged customer base and continuously improve its marketing activities without disruption.
This work received the European SAS Enterprise-Computing award in 2000.
