Customer Segmentation Improves Marketing Efforts
When a regional private college lender wanted to bolster its efforts to grow market share in an era of increasing competition, it knew it needed a change. For years, it had been sending the same creative and messaging to every prospect. The lender wondered if it could make better use of marketing dollars and increase audience response by better understanding its customers and applying that knowledge to its prospects. The lender turned to CCG for help.
CCG recommended conducting a profile and segmentation study, with the primary objective of understanding who the lender’s best customers were and what they “looked” like. Then, the findings could be used to drive changes to the lender’s acquisition marketing game plan.
After dividing the lender’s customer base into segments, CCG created profiles showing who their best customers were, what they looked like and their preferred methods of communication. This gave the lender greater insight into its customer base, allowing them to adjust their marketing plan to place more emphasis on prospects that looked like their customers with the best response history.
Based on the results of the segmentation analysis, the lender asked CCG to develop new creative concepts for a test campaign targeting customers most receptive to direct mail. These customers received a series of five targeted communications that more directly addressed their unique needs and interests. Results from the test segment yielded a 16% lift in new loans generated for the lender, compared to the audience who was not part of the segmentation.
By identifying segment profiles and recommending a new creative strategy, CCG was able to create value for the client by helping them increase their profits through a targeted marketing campaign.
Want to get a clearer picture of your customers and what motivates them? CCG is here to help, with experts in data analysis, strategy and implementation. Email us or call 800.525.0313 today.
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