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Case Study: Aster Group

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




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.




            www.exeura.com | info@exeura.com                                       RialtoTM Easy Analytics Everywhere
Case Study: Mining Value In Marketing Campaign Data

                                                                                                                                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 accurately
                                                                                                                                                                                         forecast the results of each campaign, taking into account
                                                                                                                                                                                         the distinctive features and targets of each one individually.
                                                                                                                                                                                         Exeura and Aster group collaborated to develop a solution
                                                                                                                                                                                         leveraging 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 predictive
                                                                                                                                models that allow a potential marketing campaign to be evaluated based on its forecasted numbers. Campaign
                                                                                                                                variables 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.
© 2008 Exeura s.r.l. All rights reserved. No reproduction of all or any part of this brochure without prior written approval.




                                                                                                                                  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                                                     If you have additional questions or
                                                                                                                                                                                                                  would like to see a demo of Rialto™,
                                                                                                                                 Exeura Rialto™ combines the functionality of multiple applications               please contact us at:
                                                                                                                                 into a single, easy-to-use tool, thereby eliminating the need to                 USA Office
                                                                                                                                 purchase and use separate solutions. By providing comprehensive                  222 Merchandise Mart Plaza, Suite 948
                                                                                                                                                                                                                  Chicago, IL 60654
                                                                                                                                 support for the entire data mining and analytics lifecycle at an
                                                                                                                                                                                                                  Tel: 1-312-329-7835 | Fax: 1-312-377-1970
                                                                                                                                 affordable price, Exeura Rialto™ puts analytics within the reach of
                                                                                                                                                                                                                  EU Office
                                                                                                                                 everyone in every organization.                                                  Via Pedro Alvares Cabrai–C.da Lecco
                                                                                                                                                                                                                  87036 Rende (CS), Italy
                                                                                                                                          www.exeura.com | info@exeura.com                                        Tel: +39-0984-1810480 | Fax: +39-0984-1810738

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Aster Case Study 12.10.2008 Csl

  • 1. Case Study: Aster Group Mining Value In Marketing Campaign Data Company Overview The Challenge Since 1983, Aster Group, managed by the Gestioni Today, the marketing strategy of Aster Group addresses a Innovative, has been a leader in automotive sales and customer base of 42,000 customers and conducts services and a commercial partner to some of the most approximately 200 One-to-One Marketing campaigns important German and Japanese automotive brands. Today, annually. Including its collaborations with other Aster Group represents eight brands, has 80 employees, and dealerships, Aster Group’s customer base grows to generates 50 million Euros of revenue annually. 300,000 individual customers, and conducts more than 1,000 One-to-One Marketing campaigns annually. Starting in 2000, Aster Group began a strategic corporate restructuring program focused on total customer service. To improve the reach and effectiveness of its marketing The program resulted in the first multi-service center located efforts, Aster Group recognized the need to leverage the in Rende, Italy, boasting 30,000 square-meters of space as large amounts of data produced by their marketing well as numerous technological and business innovations. campaigns. They invested in business analytics that allowed for the evaluation of the value produced by each The restructuring process was driven by a strategy based on a marketing campaign, as well as detected the causes and holistic approach to customer relationship management the influencing factors. The value produced by One-to- (CRM). The main components of this strategy were: One Marketing campaigns is estimated by two main factors: 1. The development of a knowledge platform to support the customer relationship process through a “value-based” 1. Actual value – the revenue produced during a time approach. period. 2. The development of a central customer care team, which 2. Potential value – the value derived from the uses a centralized approach to manage all the inbound qualitative results of customer behavior (i.e., high and outbound communications between the various customer loyalty increases future financial value.) business units and customers. The challenge for Aster Group was to develop One-to-One 3. The development of a One-to-One Marketing strategy Marketing campaigns that maximized the value produced based on relationship value. while using the results to further predict the optimal usage of assets and resources. Additionally, Aster Group collaborates with other important automotive dealerships, consulting them on strategic Accurate prediction of the results for Aster Group and its decisions in Marketing and CRM. In this context, Aster partners would increase both their financial returns and Group plays the role of technology innovator, delivering competitive advantage. solutions to improve dealership competitiveness. 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. www.exeura.com | info@exeura.com RialtoTM Easy Analytics Everywhere
  • 2. Case Study: Mining Value In Marketing Campaign Data 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 accurately forecast the results of each campaign, taking into account the distinctive features and targets of each one individually. Exeura and Aster group collaborated to develop a solution leveraging 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 predictive models that allow a potential marketing campaign to be evaluated based on its forecasted numbers. Campaign variables 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. © 2008 Exeura s.r.l. All rights reserved. No reproduction of all or any part of this brochure without prior written approval. 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 If you have additional questions or would like to see a demo of Rialto™, Exeura Rialto™ combines the functionality of multiple applications please contact us at: into a single, easy-to-use tool, thereby eliminating the need to USA Office purchase and use separate solutions. By providing comprehensive 222 Merchandise Mart Plaza, Suite 948 Chicago, IL 60654 support for the entire data mining and analytics lifecycle at an Tel: 1-312-329-7835 | Fax: 1-312-377-1970 affordable price, Exeura Rialto™ puts analytics within the reach of EU Office everyone in every organization. Via Pedro Alvares Cabrai–C.da Lecco 87036 Rende (CS), Italy www.exeura.com | info@exeura.com Tel: +39-0984-1810480 | Fax: +39-0984-1810738