Direct Marketing

The Direct Marketing option provides a set of tools designed to improve the results of direct marketing campaigns by identifying demographic, purchasing, and other characteristics that define various groups of consumers and targeting specific groups to maximize positive response rates.

RFM Analysis. This technique identifies existing customers who are most likely to respond to a new offer.

Cluster Analysis. This is an exploratory tool designed to reveal natural groupings (or clusters) within your data. For example, it can identify different groups of customers based on various demographic and purchasing characteristics. See the topic Cluster analysis for more information.

Prospect Profiles. This technique uses results from a previous or test campaign to create descriptive profiles. You can use the profiles to target specific groups of contacts in future campaigns. See the topic Prospect profiles for more information.

Postal Code Response Rates. This technique uses results from a previous campaign to calculate postal code response rates. Those rates can be used to target specific postal codes in future campaigns. See the topic Postal Code Response Rates for more information.

Propensity to Purchase. This technique uses results from a test mailing or previous campaign to generate propensity scores. The scores indicate which contacts are most likely to respond. See the topic Propensity to purchase for more information.

Control Package Test. This technique compares marketing campaigns to see if there is a significant difference in effectiveness for different packages or offers. See the topic Control Package Test for more information.

The Direct Marketing dialog for selecting a technique also provides a shortcut to the Scoring Wizard, which allows you to score data based on a predictive model. You can build predictive models with Propensity to Purchase and with many procedures available in other add-on modules. See the topic Scoring data with predictive models for more information.