Customer analytics software can process customer behavioural data that is used to help make decisions through predictive analytics and segmentation.
It uses a metric-based approach for managing a bank’s customer relationship management and marketing retention. Customer analytics software:
- Provides the customer insights for them to deliver what is relevant, anticipated, and timely to their customers;
- Provides techniques such as data visualisation, predictive modelling, segmentation, and information management;
- Integrates in-house customer data with external data gathered across multiple channels, such as social media;
- Can identify unique customer behaviours and traits that provide insight to getting, growing, and keeping valuable customers;
- Is increasingly important for creating a realistic and achievable marketing plan;
- Helps define the bank’s target market and prospects and how to reach them.
It performs three main tasks:
- Segmentation and identification of target customers;
- Understanding the customers’ need;
- Expressing how the bank’s products or services meet the customer’s needs by highlighting how they are used.
It can create consumer profiles or ‘persona’ that provide forecasts on lifestyle preferences and buying habits through a process of data mining and analysis, examining transactions such as magazine subscriptions, card purchases and customer satisfaction survey feedback.
It can identify loss-making customers, increase cross-sales opportunities, understand customer value and lifetime value, and manage customer attrition.
Customer data software features:
- Data collection – automates data collection from various sources to save time;
- Reporting and analytics – stores data and results for future analysis besides storing historic data to perform predictive analytics that identify future opportunities, vulnerabilities, or trends;
- Dashboards – converts key findings from reports into visual representations such as graphs, tables, and charts;
- Marketing campaign management – to set up target customers, reach them with relevant offers, automate workflows, increase response rates, rack opened emails, and measure return on investment success based on defined metrics;
- Customer segmentation – improve understanding of target customers and deliver the right message to them.