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www.exeura.com | [email protected] Rialto TM Easy Analytics Everywhere Collaboration With Exeura Aster Group was searching for a better means to analyze marketing data, while Exeura was looking to improve applications with its cutting-edge business analytics products and services. By combining Aster Group’s experience with CRM solutions for the automotive industry and Exeura’s expertise in developing data mining models, Aster Group and Exeura built an innovative solution to optimize business decision-making. Mining Value In Marketing Campaign Data Company Overview Since 1983, Aster Group, managed by the Gestioni Innovative, has been a leader in automotive sales and services and a commercial partner to some of the most important German and Japanese automotive brands. Today, Aster Group represents eight brands, has 80 employees, and generates 50 million Euros of revenue annually. Starting in 2000, Aster Group began a strategic corporate restructuring program focused on total customer service. The program resulted in the first multi-service center located in Rende, Italy, boasting 30,000 square-meters of space as well as numerous technological and business innovations. The restructuring process was driven by a strategy based on a holistic approach to customer relationship management (CRM). The main components of this strategy were: 1. The development of a knowledge platform to support the customer relationship process through a “value-based” approach. 2. The development of a central customer care team, which uses a centralized approach to manage all the inbound and outbound communications between the various business units and customers. 3. The development of a One-to-One Marketing strategy based on relationship value. Additionally, Aster Group collaborates with other important automotive dealerships, consulting them on strategic decisions in Marketing and CRM. In this context, Aster Group plays the role of technology innovator, delivering solutions to improve dealership competitiveness. The Challenge Today, the marketing strategy of Aster Group addresses a customer base of 42,000 customers and conducts approximately 200 One-to-One Marketing campaigns annually. Including its collaborations with other dealerships, Aster Group’s customer base grows to 300,000 individual customers, and conducts more than 1,000 One-to-One Marketing campaigns annually. To improve the reach and effectiveness of its marketing efforts, Aster Group recognized the need to leverage the large amounts of data produced by their marketing campaigns. They invested in business analytics that allowed for the evaluation of the value produced by each marketing campaign, as well as detected the causes and the influencing factors. The value produced by One-to- One Marketing campaigns is estimated by two main factors: 1. Actual value – the revenue produced during a time period. 2. Potential value – the value derived from the qualitative results of customer behavior (i.e., high customer loyalty increases future financial value.) The challenge for Aster Group was to develop One-to-One Marketing campaigns that maximized the value produced while using the results to further predict the optimal usage of assets and resources. Accurate prediction of the results for Aster Group and its partners would increase both their financial returns and competitive advantage. Case Study: Aster Group

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Page 1: Aster Case Study 12.10.2008   Csl

www.exeura.com | [email protected] RialtoTM Easy Analytics Everywhere

Collaboration With Exeura

Aster Group was searching for a better means to analyze marketing data, while Exeura was looking to improve applications with its cutting-edge business analytics products and services. By combining Aster Group’s experience with CRM solutions for the automotive industry and Exeura’s expertise in developing data mining models, Aster Group and Exeura built an innovative solution to optimize business decision-making.

Mining Value In Marketing Campaign Data

Company Overview

Since 1983, Aster Group, managed by the Gestioni Innovative, has been a leader in automotive sales and services and a commercial partner to some of the most important German and Japanese automotive brands. Today, Aster Group represents eight brands, has 80 employees, and generates 50 million Euros of revenue annually.

Starting in 2000, Aster Group began a strategic corporate restructuring program focused on total customer service. The program resulted in the first multi-service center located in Rende, Italy, boasting 30,000 square-meters of space as well as numerous technological and business innovations.

The restructuring process was driven by a strategy based on a holistic approach to customer relationship management (CRM). The main components of this strategy were:

1. The development of a knowledge platform to support the customer relationship process through a “value-based” approach.

2. The development of a central customer care team, which uses a centralized approach to manage all the inbound and outbound communications between the various business units and customers.

3. The development of a One-to-One Marketing strategy based on relationship value.

Additionally, Aster Group collaborates with other important automotive dealerships, consulting them on strategic decisions in Marketing and CRM. In this context, Aster Group plays the role of technology innovator, delivering solutions to improve dealership competitiveness.

The Challenge

Today, the marketing strategy of Aster Group addresses a customer base of 42,000 customers and conducts approximately 200 One-to-One Marketing campaigns annually. Including its collaborations with other dealerships, Aster Group’s customer base grows to 300,000 individual customers, and conducts more than 1,000 One-to-One Marketing campaigns annually.

To improve the reach and effectiveness of its marketing efforts, Aster Group recognized the need to leverage the large amounts of data produced by their marketing campaigns. They invested in business analytics that allowed for the evaluation of the value produced by each marketing campaign, as well as detected the causes and the influencing factors. The value produced by One-to-One Marketing campaigns is estimated by two main factors:

1. Actual value – the revenue produced during a time period.

2. Potential value – the value derived from the qualitative results of customer behavior (i.e., high customer loyalty increases future financial value.)

The challenge for Aster Group was to develop One-to-One Marketing campaigns that maximized the value produced while using the results to further predict the optimal usage of assets and resources.

Accurate prediction of the results for Aster Group and its partners would increase both their financial returns and competitive advantage.

Case Study: Aster Group

Page 2: Aster Case Study 12.10.2008   Csl

www.exeura.com | [email protected]

The Solution

Every quarter, the Marketing and Customer Care functions of Aster Group perform an evaluation of all managed business areas to spot trends that would suggest any missing gaps in planned commercial targets. At the same time, analysis of customer loyalty is performed to determine “life time value.” The results are merged to determine the operating budgets for One-to-One marketing campaigns,thus optimizing the allocation of resources: time, budget, information, and human resources.

The decision process requires the ability to accuratelyforecast the results of each campaign, taking into accountthe distinctive features and targets of each one individually. Exeura and Aster group collaborated to develop a solutionleveraging multivariate regression, allowing Aster Group to discover the key variables that determine the success of a

marketing campaign. As a result, Aster Group is able to perform profit-centric customer segmentation. The solution uses the CRM as a data-source for the Exeura data-mining platform. The CRM data is analyzed to produce predictivemodels that allow a potential marketing campaign to be evaluated based on its forecasted numbers. Campaignvariables are then iteratively tuned to determine the parameters that achieve the desired business goals. The data mining process then returns information (customer priority, service offering, etc.) to the CRM for planning and execution of the marketing campaign.

Case Study: Mining Value In Marketing Campaign Data

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If you have additional questions or would like to see a demo of Rialto™, please contact us at: USA Office 222 Merchandise Mart Plaza, Suite 948 Chicago, IL 60654

Tel: 1-312-329-7835 | Fax: 1-312-377-1970

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The Results

The project highlights the power and flexibility of Exeura’s data-mining platform, Rialto™, and its ability to support the decision-making process.

For Aster Group, Rialto™ delivers important insights that maximize the value of marketing campaigns by discovering:

• The “value drivers” that determine the positive or negative value of a customer to a marketing campaign.

• The automotive brands and models that are likely to produce positive customer response to a marketing campaign.

• The most profitable stages of a customer relationship.

Analytics for the Rest of Us

Exeura Rialto™ combines the functionality of multiple applications into a single, easy-to-use tool, thereby eliminating the need to purchase and use separate solutions. By providing comprehensive support for the entire data mining and analytics lifecycle at an affordable price, Exeura Rialto™ puts analytics within the reach of everyone in every organization.