Smart CRM Basics: Predictive Customer Behavior Modeling
Watch a quick introduction to the basics and benefits of using predictive models for customer behavior
This is some smart CRM: Rather than trying to make educated guesses based on analyses of historical data – Predictive Behavior Modeling is typically used to select the BEST marketing actions to run in each of your customer groups and to identify which customers will likely change their spending level.
Predictive Behavior Modeling goes way beyond customer analytics. It allows Marketers and Retention Experts to make the right decisions based on expected future results (or, predicted future customer lifetime value.)
The advantages of Predictive Behavior Modeling are vast. Watch the 4-minute video or read the transcript just below it to learn more:
The Advantages of Predictive Behavior Modeling
- When Marketers can target specific customers with a specific marketing action – you are likely to have the most desirable campaign impact. Every marketing campaign and retention tactic will be more successful.
- The ROI of upsell, cross-sell, and retention campaigns will be more significant. For example, imagine being able to predict which customers will churn and the particular marketing actions that will cause them to remain long-term customers.
- Customers will feel the greater relevance of the company’s communications with them – resulting in greater satisfaction, brand loyalty, and word-of-mouth referrals.
The Optimove Approach to Predictive Behavior Modeling
Without revealing too much about Optimove’s customer behavior modeling technology’s secret sauce, the approach combines LTV forecasting, continual dynamic micro-segmentation, and mathematically intensive predictive behavior modeling.
Optimove’s predictive analytics software is dedicated primarily to the mission of predicting which marketing action will be most effective for each micro-segment of customers. It allows you to know exactly what marketing action to run on each individual customer to maximize that customer’s value. At all times.
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