The Impact Of Westpac's Decision On Funding The Most Effective Data Mining Model

Customer profitability was a determinant used for segmenting and targeting, studies were done on customers’ likes, dislikes and types of products they would benefit from and models were developed to determine their propensity to buy.

4. What is the “Goal”? Why does Alex need two sets of measurement: (1) Net profit, ROI, and Cash flow; and (2) Throughput, Inventory, OE?

The following report will further examine the RBC Royal Bank brand, critically examining two promotional examples and how it uses IMC tools and channels to achieve their positioning. RBC Banking has successfully positioned itself as a friendly, approachable bank successfully reaching out to people who are in a more established stage in their life. This older demographic consists of people or couples who are ready to buy a house or attain a mortgage, going to make a large investment or looking to invest. Despite a more older generation as their primary target audience, they have made significant efforts to appeal to Millennials with targeted advertisements and promotions. As previously in the Positioning Analysis, the connection between

The $400,000-dollar company could be more profitable than the 10-billion-dollar company. An outside investor may want to invest in the new start-up instead of the established company. A creditor may feel safer loaning money to the start-up because the financial statements show that the business will pay its debts. Percentage analysis sidesteps the materiality problems of comparing different companies by measuring changes in percentages rather than absolute amounts (Edmonds, Tsay, & Olds, 2011). The absolute dollar amount can be misleading when comparing businesses. The absolute dollar amount analysis may not be comparing apples to

The company also has many smart objectives to achieve, e.g. they are looking for awareness of the brand, growth and sales to make more profit. However these objectives have to be SMART (specific, measurable, achievable, realistic and time scale) in order to be successful and to see

This marketing plan focuses on the repair of marketing strategies of SAM’S CLUB’s brand image. The main focus is implementing a dynamic data-driven retargeting marketing strategy through data-driving apps to consumers. The company’s message is for consumers to install the Sam’s Club app so that they can successively retarget users in their campaign who most likely to create an account for membership. Sam’s Club will collect data about its consumers attached to the device ID’s, similar to behavior and demographics, to decipher which ones have the greatest potential in becoming high-value users and which ones are most likely to defer. Moreover, with this data, the emphasis will shift to increasing the run-of-the-mill income per user, driving

company should be, which the answer is to make money. The book is about transforming

In the case of Consumer Segmentation Telstra targets seven segments and offers different models which provide different benefits to each segment. The seven segments are: “Friends, Fun & Fashion”, “Work Hard, Play Hard”, “Family& Fun”, “Family Safe Keeper”, “Family & Self Development”, “Principled Professional” and “Safe & Respected”.

Our intentions are to grow company profits and obtain a high/dominant market share within the Crossover vehicle class.

As a corporate executive of a banking institution, the first step to deciding on implementing a data-mining program should be to identify the goal of the data-mining program. The goal could be to determine the potential value of a customer, or to selling the right plan to the right customer at the right time, etc.… It is also important to determine the commercial value of such goal, or how will the bank benefit from it. With clear and reasonable incentives, the executive can then examine the relevant data and/or how to collect relevant data. Keeping in mind the discussion of ethical considerations before consumers gets irritated and turns away from the institution. More importantly, the executive should strictly abide the law to avoid and breach of federal restrictions.

This document is authorized for use only in Financial Management23 by Dr. Raj, at Institute of Management Technology - Dubai from January 2015 to July 2015.

Customers are assets, and their values grow and decline. Segmenting customers based on their lifetime value is a powerful way to target them because marketing mix activities can then aim at enhancing customer value. (Ho, 2006)

P_Youth: Number of youth books purchased. P_Cook: Number of cookbooks purchased. P_DIY: Number of do-it-yourself books purchased. P_Art: Number of art books purchased. To assess the performance of the model, the data set includes a second sheet with 2300 customers--a holdout sample representative of the entire target market. The use of such a validation sample is an appropriate way to compare alternative models.

How data mining can assist bankers in enhancing their businesses is illustrated in this example. Records include information such as age, sex, marital status, occupation, number of children, and etc. of the bank?s customers over the years are used in the mining process. First, an algorithm is used to identify characteristics that distinguish customers who took out a particular kind of loan from those who did not. Eventually, it develops ?rules? by which it can identify customers who are likely to be good candidates for such a loan. These rules are then used to identify such customers on the remainder of the database. Next, another algorithm is used to sort the database into cluster or groups of people with many similar attributes, with the hope that these might reveal interesting and unusual patterns. Finally, the patterns revealed by these clusters are then interpreted by the data miners, in collaboration with bank personnel.4

XYZ analyzed available market research data to identify target segments that would be profitable and fit with our strategy. As a result, we identified three initial target markets – the Cost Cutter, Workhorse, and Traveler. Use patterns and demand data for these customer segments are shown in Appendix A.