Data Mining in CRM - Data Mining Techniques in CRM: Inside Customer Segmentation - page 8

Figure 1.3 The stages of direct marketing campaigns.
Sequence models take into account the order of actions/purchases and can identify
sequences of events.
THE NEXT BEST ACTIVITY STRATEGY AND ''INDIVIDUALIZED''
CUSTOMER MANAGEMENT
The data mining models should be put together and used in the everyday business
operations of an organization to achieve more effective customer management.
The knowledge extracted by data mining can contribute to the design of a next
best activity (NBA) strategy. More specifically, the customer insight gained by
data mining can enable the setting of ''personalized'' marketing objectives. The
organization can decide on a more informed base the next best marketing activity
for each customer and select an ''individualized'' approach which might be the
following:
• An offer for preventing attrition, mainly for high-value, at-risk customers.
• A promotion for the right add-on product and a targeted cross-/up-/deep-selling
offer for customers with growth potential.