Recommendation Engine & Next Best Action
You can determine the Next Best Action for each of your customers at any point in time. Driven by models capturing life-event patterns, buying behavior, social media interactions, and other aspects, you learn which customers need to be approached and on which channel, so that you can create the right experience on all connected sales points. Here are our key areas of focus:
- 360° Customer View: A key to determining the next best action is having a complete picture of customers in terms of their profiles, needs and current behaviors.This requires being able to collect data from all channels that customers use to interact with an organization. It is important that this data is merged into a single source and available at the customer touch point to obtain meaningful insights not only to describe customer?s' past behavior, but also anticipate future behavior.
- Event Marketing: Event marketing is the hallmark of Next Best Action. It identifies customer events that are key milestones to a customer. These key events can take several forms:
- Major life changes (getting married, having a baby, buying a house etc)
- Interactions with the retailer (purchase of products, call to express dissatisfaction etc)
- Environmental and market changes (change in product pricing, competitor product introduction)
- Analytics enables an organization to mine customer data to identify markers of these events and to send targeted, meaningful communications (for example, sending a special retention offer when a customer is thinking about switching to a competitor).
- Predictive Analytics: With predictive analytics, mine a customer?'s historical and transactional data to identify common behavioral patterns before a certain event, like ?making a purchase, upgrading a service or leaving for a competitor. Based on these patterns, a predictive model can determine if the behavior matches those that would indicate a future purchase. Common applications include predictive scoring for customer value, risk and profitability and market basket analysis to determine which products are often purchased together.
- Coordination of Channels: While next best action is often closely associated with inbound channels, it is also appropriate for outbound channels. Determination of next best action for outbound channels is possible by creating a unified data mart that has access to customer data captured by inbound channels. If the communications via various channels are not coordinated, each could deliver contradictory communications. We make sure that the processes that determine the next best action for each channel take into account the communication by the other channels and maintain consistency by adjusting the next best action as needed.