Advanced Database Marketing

Course Overview

A perfect follow-up to What Every Marketer Needs to Know About Marketing Databases, this course takes a deeper dive into the key principles of database marketing including: customer lifetime value, predictive modeling, customer segmentation, RFM segmentation (recency, frequency, monetary), database appending, and tests and controls.  You’ll get detailed instruction on effective use of database marketing in order to identify, profile, segment, target, and talk to your ideal audience. 

Course Content

Learn how to compute RFM (recency, frequency, monetary) and break-even rates as well as determine the optimal test size for your campaigns.  You’ll gain a helpful understanding of the importance of statistical modeling and ways to apply it, as well as the importance of testing, plus the potential pitfalls you’ll want to avoid.

Recency, Frequency, Monetary (RFM) Analysis

• How to compute RFM
• RFM code construction
• Break Even rates
• Optimum test size
• When to use RFM

Statistical Modeling

• 9 steps to begin modeling
• Modeling costs
• CHAID (Chi-square automatic interaction detection)
• Descriptive modeling
• Clarista Clusters (Prizm)

Direct Marketing Testing

• Importance of testing
• A/B Splits
• How to set up test groups
• Analysis tests
• Direct mail vs email testing
• Testing pitfalls