NA-Total Market View™

NA-Total Market View™ is a set of services that substantially increase revenue and margin yields from data mining and targeting activities by improving the quality of information used to build predictive models.

Conventional data mining uses customer data supplemented by 3rd party information as the foundation for building models that predict who will buy the next widget or widget enhancement. Unfortunately, these data sources provide an incomplete picture of what is purchased, how much is spent, what motivations are driving purchase as well as what brands and products will be purchased in the future. While missing information is particularly severe for non-customers, seasoned professionals estimate that in the case of customers well over half the information necessary for an accurate estimate of future behavior is missing.

NA-Total Market View™ uses surveys to gather critical missing marketing information from a statistically sound sample of customers and prospects. The type of missing information gathered during the course of these surveys includes the products that have been or will be purchased; how much is or will be spent overall and how the spending is or will be distributed across competitive brands; and, what factors motivate purchase and brand choice. These survey data are used in conjunction with existing customer and 3rd party data to build predictive models which in turn generate estimated values for critical missing information. These estimated values are generated for each customer and prospect.

The advantage of using NA-Total Market View™ services as a supplement to your current data mining activities is evident in the following example:

Case Study

In the highly competitive telecommunications services market, one leading supplier invested a considerable amount of money to build sophisticated data mining and targeting capabilities complete with the warehouse, marts and high powered modeling. In the first few years, campaigns that used prospect lists generated by the data miners were considerably more successful than those that did not use prospect lists from the miners. However after a few iterations, revenue and margin yields on data miner supported campaigns leveled off. After some study, it was determined that unless critical missing information was accounted for, even the best “magic models” would produce suboptimal results.

To boost revenue quickly and cost effectively, the supplier decided it needed to locate, target and effectively sell to those who spent a lot on products and services the supplier offered. Testing indicated that the spending information in their existing database was incomplete and misleading. For instance, it was discovered that in a significant number of cases, customers for whom their data suggested were “low value” were in fact “high value”. The supplier was consistently ignoring large spenders because these big spenders were only buying small amounts from the supplier.

To correct this problem, the supplier used NA-Total Market View™ services. A survey was conducted to gather current and future spending from a statistically reliable sample for every product or service category in its portfolio. These comprehensive spending data were used in conjunction with existing warehoused data to build and test predictive models. Ultimately, the NA-Total Market View™ predictive models were used to estimate total spend as well as spend on each product or service for every business in the United States.

As the graphic below demonstrates, the more comprehensive NA-Total Market View™ (NA-TMV) targeting produced twice as many high value prospects as the conventional data mining approach. Moreover, these prospects had 50% more potential wallet, on average, when compared to conventional data mining prospects. The telecommunications supplier concluded that by using NA-Total Market View™ they would could increase revenue yield three-fold without increasing sales force headcount.

Other case studies indicate that campaigns using NA-Total Market View™ services dramatically outperform campaigns using conventional data mining techniques. Click here for more information on NA-Total Market View™ (Requires Powerpoint).