Leveraging the Information on Your Customer Database
Collecting, updating and maintaining customer information on your database is only part of the picture. Knowing how to use and exploit that information to your advantage is the real challenge.
In my experience working for and consulting to direct response marketing firms, I have found that the majority of these organizations are not properly leveraging their customer data. Being able to comb through, manipulate and leverage the information on a customer database is a unique skill, maybe even an art form. So, it shouldn’t surprise anyone that relatively few direct response marketers are actually applying sophisticated “data manipulation” techniques in an effort to exploit their customer database.
Most direct response marketers fail to spend the time and resources required to get close to the data in order to gain an understanding of their underlying relationships. Additionally, most direct response marketers fail to properly answer two important questions: “What information will predict my customers’ behavior?” and “How can I derive these predictors using the information I have on my database?”