This document discusses customer analytics and provides an overview of key topics including: 1) Customer journey analytics which tracks how customers interact across channels to provide personalized experiences. 2) Customer segmentation which divides customers into meaningful groups to tailor products, marketing, and offers. 3) Determining a customer's next best action by analyzing their profile and interactions to identify the most appropriate products or services. 4) Sentiment analysis and measuring the impact of marketing campaigns by analyzing social media reactions. 5) Calculating customer lifetime value to prioritize high-value customers and optimize promotions.

1. Customer Analytics
Overview
Jamie Renehan
Customer Analytics @ BOI

2. Customer Analytics Life Cycle

3. Agenda
• Why Customer Analytics Matter
• Customer Journey Analytics
• Customer Segmentation
• Next Best Action
• Sentiment Analysis
• Customer Lifetime Value
• Next Generation Analytics
• Soft Skills in Analytics

4. Why Customer Analytics Matter
• Engage each customer with consistent, personalized and seamless omni-
channel communication.
• Respond to customers in real time with one-to-one communications.
• Increase sales and profitability by using customer context to determine the
best offer for cross-sell and upsell opportunities.
• Anticipate customer behaviour.
• Monitor and track the effectiveness of marketing strategies across all
channels, segments and products.

5. Customer Journey Analytics
• A data-driven approach to discovering, analyzing and influencing your
customers journeys that connects millions of events into journeys from
your customers point of view.
• Ability to deliver a personalized customer experience consistently across
all channels and points of interaction.
• Process of tracking and analyzing the way customers use combinations of
channels to interact with an organization.

6. Customer Segmentation
• Dividing customer base into groups of individuals that are similar in
specific ways relevant to marketing, such as age, gender, interests and
spending habits
• Determine the revenue potential of each segment and target segments
according to their profit potential and the ability of your company to serve
them
• Segment customers according to their stage of life so products can be
tailored to their needs
• Segmentation allows the marketing department to fine tune their approach
and allows the product development team to tailor specific products for
specific segments of customers

7. Customer Segmentation- Money Mindsets
• Fjord’s four Money Mindsets define different people’s attitudes to
spending and saving, segmenting them in a meaningful way.
• ACHIEVERS:- In this mindset, people define success by budgeting for
clear, often tangible goals. This helps them feel in control and prepared
for the future.
• BALANCERS:- In this mindset, people define success by getting the best
deal in each transaction, maximizing rewards and staying on their
financial plan so they don’t have to worry
• EXPERIENCERS:- In this mindset, people define success by enjoying the
present. They seek delight in how they choose to spend money and are
optimistic about the future.
• EXPLORERS:- In this mindset, people define success by saving money
and making trade offs so they can be happy and live comfortably

8. Next Best Action
• Ability to translate all the information you know about a customer into
actions or interactions that make sense to the customer
• Customer centric approach consuming interaction context, customer
profile, analytics results, and a set of business rule to identify the most
appropriate products or services to be presented and promoted to our
customers
• Driving long-term customer loyalty and value, while optimizing for business
considerations – revenue, cost and profitability.
• Be able to determine the most effective communication channel to
facilitate customer engagement
• Personalised marketing and experiences to improve marketing
performance and enhance sale and service experiences

9. Sentiment Analysis
• Campaign and Brand Sentiment Analysis to measure impact
• Measure sentiment on Twitter, and other social media platforms on a
weekly basis to evaluate the impact of marketing campaigns
• Allows the analytics department to give objective feedback to marketing
campaigns based on customers reactions on social media
• Allows the marketing department to continuously adjust their campaigns
to fit more to the target audience
• The analysis is done using R and packages such as Rtweet and Rsentiment

10. Sentiment Analysis

11. Sentiment Analysis

12. Customer Lifetime Value
• The Pareto Principle, also known as the 80-20 rule, posits that 80% of your
sales come from just 20% of your customers.
• One fifth of your customers are worth more to your business than all the
others
• Customer Lifetime Value Analytics gives us the ability to prioritize budgets,
focus on retaining the right customers, and avoid wasting money and effort
when you roll out targeted promotions
• Need to understand your customers’ future value across multiple
dimensions – current spend, cross-sell potential, loyalty and social clout,
among others.
• This information, combined with Advanced Predictive Analytics, helps
determine a single metric, or dollar number, to more accurately quantify
CLV.

13. The Next Generation of Analytics
• Democratization of analytics
• Leveraging new data types and sources - Semistructured and unstructured
data.
• From big data to fast data, reducing the time between data arriving and
data value extraction, enabling real-time decision making.
• Use of machine learning and other AI techniques to help analysts find
patters in customer data, elicit recommendations for optimising
performance.
• Deliver the Right Offer to the Right Customer at the Right Time.
performance.
• Sharing of Analytics with customers (Revolut)

14. Soft Skills in Analytics
• Problem Solving (find the root cause of a problem)
• Critical Thinking (approach problem or task from multiple directions)
• Storytelling (build a compelling and digestible story)
• Communicating (present the results to engineers and senior executives)
• Curiosity (never stop asking “Why?”, explore, investigate, gain knowledge)

15. Questions
Jamie.Renehan@boi.com
@JamieRenehan
www.linkedin.com/in/JamieRenehan/
public.tableau.com/profile/Jamie.Renehan/