April 05, 2011

Lifecycle Marketing and Touchpoints: Variables

In our example, there are six channels (your mileage will vary ... some folks use a hundred different channels/touchpoints in their analysis).

Each variable is expressed as a percentage of weighted historical spend.  For instance, a customer that only ever purchases via the telephone will have 0% values for email, search, mobile, social, and your website, and 100% for phone.

A customer that purchased via search last year and via mobile this year might have 66% values for mobile, 34% for search, and 0% values for all other channel-based variables.

Finally, I add two 1/0 variables into the mix ... a variable that indicates whether the customer is a new customer in the past year (1 = new, 0 = otherwise), and a variable that indicates whether the customer is a loyal customer (1 = loyal, 0 = otherwise).

Up next ... the math that helps us map the customer life cycle.

Pay Attention To Winning New Item Trends

Here's something I see all the time. 2017 New Items. 4 Winners. 12 Contenders. 403 Others. Total Demand = $15,000,0000. 2...